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 held that the CIT(A) lacked jurisdiction to enhance the assessment under section 251 due to failure to issue the mandatory enhancement notice under section 251(2). The addition based on net profit at 8% of turnover was deleted as the assessee was not afforded an opportunity to respond to the enhancement proposal, rendering the addition invalid. Consequently, the addition relating to net profit was set aside, and the assessee's grounds were allowed.
The ITAT held that the CIT(A) lacked jurisdiction to enhance the assessment under section 251 due to failure to issue the mandatory enhancement notice under section 251(2). The addition based on net profit at 8% of turnover was deleted as the assessee was not afforded an opportunity to respond to the enhancement proposal, rendering the addition invalid. Consequently, the addition relating to net profit was set aside, and the assessee's grounds were allowed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4915 
