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...
The ITAT set aside orders passed by CIT(A) and ACIT under s.154, holding that additions to the assessee's income based solely on admissions made in an application to the Settlement Commission were improper. The Tribunal affirmed that confidential information submitted before the Settlement Commission cannot form the basis for additions in assessment proceedings without independent incriminating material discovered during search and seizure operations. Since the Settlement Commission application was deemed non-maintainable under s.245C(1) and not adjudicated on merits, and the ACIT failed to reference any incriminating material when making the additions, the Tribunal determined the assessment orders were legally unsustainable.
The ITAT set aside orders passed by CIT(A) and ACIT under s.154, holding that additions to the assessee's income based solely on admissions made in an application to the Settlement Commission were improper. The Tribunal affirmed that confidential information submitted before the Settlement Commission cannot form the basis for additions in assessment proceedings without independent incriminating material discovered during search and seizure operations. Since the Settlement Commission application was deemed non-maintainable under s.245C(1) and not adjudicated on merits, and the ACIT failed to reference any incriminating material when making the additions, the Tribunal determined the assessment orders were legally unsustainable.
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