AO Bound To Ascertain 'Correctness' Of Information Available Against Assessee, 'Decide' Whether It Is Sufficient To Reopen Assessment: Delhi HC

In a ruling concerning Section 148A of the Income Tax Act, the Delhi High Court emphasized that the Assessing Officer (AO) must ascertain the correctness of information against the assessee before deciding whether it is sufficient to reopen an assessment. The Court stressed that the AO should not reopen an assessment without verifying the validity of the information available. This ruling ensures that the reopening of assessments is based on solid and credible grounds, preventing arbitrary actions by tax authorities.