S. 147 Reopening, even within 4 years, on basis of retrospective amendment to s. 80-IB(10) invalid

Ganesh Housing Corporation Ltd vs. DCIT (Gujarat High Court)

For AY 2006-07, the assessee claimed s. 80-IB(10) deduction of Rs. 11.38 crores which was accepted by the AO in s. 143(3) assessment. Subsequently, within 4 years from the end of the AY, the AO reopened the assessment u/s 148 on the ground that the assessee had not complied with s. 80-IB(10) including that after the insertion of the Explanation to s. 80-IB(10) by the FA (No. 2) Act 2009 w.r.e.f. 1.4.2000, a contractor was not eligible for deduction u/s 80-IB(10). The assessee challenged the s.148 notice by a Writ Petition. HELD allowing the Petition: