https://www.taxtmi.com/caselaws?id=756107 ITAT Mumbai quashed the reopening notice u/s 148 issued by AO, holding it invalid. The AO had reopened assessment u/s 147 based on adverse information regarding share application money from a company, making additions u/s 68. However, the assessee had already disclosed these transactions during original scrutiny assessment u/s 143(3), which were accepted by AO. ITAT found AO formed belief on incorrect facts without preliminary enquiry. Adverse information should trigger suspicion, not belief required for reopening. The notice was held bad in law and quashed. Assessee's appeal was allowed. en-us Thu, 29 Feb 2024 00:00:00 +0530 Wed, 04 Dec 2024 15:03:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756107 ITAT Mumbai quashed the reopening notice u/s 148 issued by AO, holding it invalid. The AO had reopened assessment u/s 147 based on adverse information regarding share application money from a company, making additions u/s 68. However, the assessee had already disclosed these transactions during original scrutiny assessment u/s 143(3), which were accepted by AO. ITAT found AO formed belief on incorrect facts without preliminary enquiry. Adverse information should trigger suspicion, not belief required for reopening. The notice was held bad in law and quashed. Assessee's appeal was allowed. Case-Laws Income Tax Thu, 29 Feb 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756107