Tax / Income Tax : Reassessment Quashed

Tax / Income Tax : Reassessment Quashed

In an important judgment dealing with income tax, it was held that in case of completed assessment/unabated assessment, in absence of any incriminating material, no addition can be made by the AO and the AO has no jurisdiction to re-open the completed assessment under Income-tax Act, 1961.

In respect of completed / unabated assessments, no addition can be made by the AO in absence of any incriminating material found during the course of search under Section 132 or requisition under Section 132A of the Act, 1961. 

Case reference is PCIT v. Mirage Homes Ltd [2025] GCtR 1833 (Delhi).