https://www.taxtmi.com/caselaws?id=769125 The ITAT Delhi held that reassessment proceedings initiated solely for verification of bank deposits were invalid, as the AO lacked tangible material to form a belief that income had escaped assessment. The tribunal distinguished between 'reason to believe' and 'reason to suspect', finding the former was not satisfied. The revision proceedings under section 263 were also quashed as they were based on audit objections without proper foundation and denied natural justice. Both the reassessment order under sections 147/143(3) and the revision order under section 263 were set aside as being without jurisdiction. The assessee's appeal was allowed. en-us Wed, 16 Apr 2025 00:00:00 +0530 Sat, 19 Apr 2025 08:32:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=769125 The ITAT Delhi held that reassessment proceedings initiated solely for verification of bank deposits were invalid, as the AO lacked tangible material to form a belief that income had escaped assessment. The tribunal distinguished between 'reason to believe' and 'reason to suspect', finding the former was not satisfied. The revision proceedings under section 263 were also quashed as they were based on audit objections without proper foundation and denied natural justice. Both the reassessment order under sections 147/143(3) and the revision order under section 263 were set aside as being without jurisdiction. The assessee's appeal was allowed. Case-Laws Income Tax Wed, 16 Apr 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=769125