The case involved the validity of reopening assessment u/s 147...

The case involved the validity of reopening assessment u/s 147 based on a notice u/s 148. The key issue was the burden of proof regarding credible information to initiate reassessment proceedings. The Appellate Tribunal held that the notice was illegal as the AO failed to provide details of alleged receipt of Rs. 35 Lakh, relying on insufficient information. The burden lies on AOs to verify credibility of information, which was not done in this case. Previous assessment on the same issue with the same entity showed no addition was made, indicating lack of proper examination by the AO. Mere reliance on information without applying mind is unsustainable. Assessee's appeal was allowed.