Income Tax Department vs Suyash Exim Private Limited
2023 Latest Caselaw 783 MP

                                                            1
                                     IN THE HIGH COURT OF MADHYA PRADESH
                                                   AT INDORE
                                                      ITA No. 206 of 2022
                                       (INCOME TAX DEPARTMENT Vs SUYASH EXIM PRIVATE LIMITED)

                          Dated : 12-01-2023
                                Ms Veena Mandlik, learned counsel for the appellant.

                                Heard on I.A. No. 8475/2022, an application u/S 5 of Limitation Act
                          for condonation of delay.
                                Fo r the reasons stated in the application, I.A. No. 8475/2022 is
                          hereby allowed. Delay of 80 days in filing this appeal is condoned.

                                Also heard on the question of admission.
                                Appeal is admitted for hearing on the following substantial questions
                          of law:
                                          1. Whether on the facts and in the circumstances of the case,
                                    the ITAT was justified in law in holding that the re-assessment
                                    proceedings are bad in law as the same were based on the Report
                                    from the DDIT (Inv)3(1), Kolkata, without appreciating the
                                    dictum of law pronounced in Multi Commodity Exchange of India
                                    Ltd. Vs. DCIT dt. 14.12.2018(SC) wherein the re-assessment

                                    notice, on the basis of special audit report after completion of
                                    original assessment, was held justified ?
                                          2. Whether on the facts and in the circumstances of the case,
                                    the ITAT was justified in law in placing reliance on GKN Drive
                                    Shafts (India) Ltd. Vs. ITO(SC) without appreciating that the
                                    impugned re-assessment proceedings import their legitimacy from
                                    Section 292B of the Income Tax Act and also from the judgment in

Signature Not Verified
Signed by: SEHAR HASEEN
Signing time: 1/12/2023
5:51:26 PM
                                                               2
                                      the case of Home Finders Housing              Ltd.   Vs.   ITO   dt.
                                      18.05.2018(SC), wherein it has been held that not passing order
                                      on the objections of the assessee to the initiation of re-assessment
                                      proceedings, is not a violation of law and is only a procedural
                                      irregularity which can be cured by remitting the matter to authority
                                      ?
                                            3. Whether on the facts and in the circumstances of the case,
                                      the ITAT was justified in law in deleting the addition of Rs.
                                      4,36,68,123/- on account of speculation loss, while observing that
                                      in the Income Tax proceedings, the principle of consistency has to

                                      be followed, without appreciating that every assessment year is a
                                      separate unit and has thus "de-facto" applied the principle of "res-
                                      judicata" in the instant case ?


                                  Issue notice to respondent(s) on payment of process fee by RAD

mode within seven working days. Notice be made returnable within four weeks.

List for final hearing in due course. Certified copy, as per rules.

                               (S. A. DHARMADHIKARI)                      (PRAKASH CHANDRA GUPTA)
                                        JUDGE                                      JUDGE

                          sh

Signature Not Verified Signed by: SEHAR HASEEN Signing time: 1/12/2023 5:51:26 PM