Opportunity to furnish unsecured-loan confirmations is required before reassessment initiation; proceedings require fresh consideration after taxpayer...
Under-reporting on a first reassessment return attracts penalty, while enhanced misreporting penalty requires proof of a statutory misreporting catego...
Mere assertion of "failure to disclose fully and truly all material facts" does not confer jurisdiction for reopening assessment beyond four years. AO must demonstrate assessee's specific failure. Here, assessee duly disclosed sundry creditors and sales details during original assessment proceedings, which AO accepted. Lapse of time alone cannot be deemed cessation of liability or justify reopening. AO cannot draw new inferences without contrary material. Reopening quashed as reasons recorded lack jurisdiction beyond four years from relevant assessment year. Reassessment order quashed. Appeal allowed.
Mere assertion of "failure to disclose fully and truly all material facts" does not confer jurisdiction for reopening assessment beyond four years. AO must demonstrate assessee's specific failure. Here, assessee duly disclosed sundry creditors and sales details during original assessment proceedings, which AO accepted. Lapse of time alone cannot be deemed cessation of liability or justify reopening. AO cannot draw new inferences without contrary material. Reopening quashed as reasons recorded lack jurisdiction beyond four years from relevant assessment year. Reassessment order quashed. Appeal allowed.
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TaxTMI 
TaxTMI 
of 4915 
