Attachment and proclamation of sale of immovable property: limitation treated from financial year end; proclamation held within period, petition dismi...
Second Schedule attachment and validity of a post-notice mortgage: TRO cannot declare mortgage void ab initio; sale and appropriation allowed thereaft...
Limitation for final assessment under sections 144C and 153 treated jointly, resulting in quashing of timebarred assessment order and liberty to reviv...
Deductibility of settlement payments for securities law penalties and treatment of unexplained cash credits in share trading -- Tribunal upholds posit...
Threshold for allottee-initiated insolvency petitions in leasehold real estate upheld; petition admitted after possession letters deemed legally ineff...
Revision under Section 263 was sustained because the assessing officer failed to investigate the precise source of cash deposits that constituted the immediate source of unsecured loans and partner capital; this absence of enquiry rendered the assessment erroneous and prejudicial to revenue, justifying setting aside the assessment. The determination clarifies that where equivalent cash deposits are the primary source of declared loans or capital, the AO must verify cash origin; failure to do so is a lack of enquiry (not merely inadequate enquiry). An audit objection may validly initiate revision proceedings depending on facts, and such proceedings can be upheld when enquiry lapses affect assessability.
Revision under Section 263 was sustained because the assessing officer failed to investigate the precise source of cash deposits that constituted the immediate source of unsecured loans and partner capital; this absence of enquiry rendered the assessment erroneous and prejudicial to revenue, justifying setting aside the assessment. The determination clarifies that where equivalent cash deposits are the primary source of declared loans or capital, the AO must verify cash origin; failure to do so is a lack of enquiry (not merely inadequate enquiry). An audit objection may validly initiate revision proceedings depending on facts, and such proceedings can be upheld when enquiry lapses affect assessability.
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