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Commissioner Of Income-Tax vs M/S. Sun Engineering Works (P.) Ltd. on 17 September, 1992

15. We have considered the rival submissions and perused the facts on record. Both the A.C an, the learned CIT(A) are legally incorrect in holding that the original order no longer exists after reopening under Section 148. The Hon'ole Supreme Court in the case of CIT v. Sun Engineering Works P. Ltd. 198 ITR 297 has held that where reassessment is made under Section 147 in respect of income which had escaped tax, the ITO's jurisdiction is confined only to such income which has escaped tax or has been under assessed and does not extend to revising, reopening or reconsidering the whole assessment or permitting the assessee to are agitate questions which had been decided in the original assessment proceedings. It has further been held by the Apex Court that it is only the underassessment which is set aside and not the entire assessment when reassessment proceedings are initiated. The I.T.O cannot make an order of reassessment inconsistent with the original order of assessment in respect of matters which are not the subject-matter of proceedings under Section 147.
Supreme Court of India Cites 46 - Cited by 1062 - Y Dayal - Full Document
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