https://www.taxtmi.com/caselaws?id=756418 Gujarat HC held that reassessment proceedings against a cooperative bank were invalid. The bank had deposited substantial cash amounts in its account with another bank, which were immediately debited through cheques and transfers. The court ruled that normal banking transactions involving customer cash deposits cannot constitute income escapement. Since the bank's accounts were properly audited and filed with statutory returns, and cash deposits from customers are standard banking operations, the reassessment notice under Section 148 was legally untenable. The court emphasized that reopening assessments cannot be permitted merely for verification or fishing inquiries without genuine income escapement. The assessee's appeal was allowed. en-us Mon, 08 Jul 2024 00:00:00 +0530 Fri, 02 Aug 2024 08:12:48 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756418 Gujarat HC held that reassessment proceedings against a cooperative bank were invalid. The bank had deposited substantial cash amounts in its account with another bank, which were immediately debited through cheques and transfers. The court ruled that normal banking transactions involving customer cash deposits cannot constitute income escapement. Since the bank's accounts were properly audited and filed with statutory returns, and cash deposits from customers are standard banking operations, the reassessment notice under Section 148 was legally untenable. The court emphasized that reopening assessments cannot be permitted merely for verification or fishing inquiries without genuine income escapement. The assessee's appeal was allowed. Case-Laws Income Tax Mon, 08 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756418