TaxTMI 
TaxTMI 
2015 (2) TMI 104
X X X X Extracts X X X X
X X X X Extracts X X X X
....from the Directorate of Investigation, Jhandewalan, New Delhi, AO issued notice u/s. 148 of the Act on 19.3.2010. After recording the reasons for reopening of the assessment u/s. 148 and after obtaining the due approval of the higher authority for reassessment. Thereafter, a notice u/s. 142(1) alongwith questionnaire was issued on 10.8.2010. In response to the same Director of the company appeared and filed the necessary details and also filed certain objections to the issue of notice to the assessee u/s. 148 of the I.T. Act. After applying the necessary procedures, the AO completed the assessment in the case of the assessee by making various additions and completed the assessment u/s. 143(3) r.w.s. 147 of the I.T. Act on 20.12.2010. 3. Th....
X X X X Extracts X X X X
X X X X Extracts X X X X
....urt of Delhi in the case of CIT vs. Insecticides (India) Ltd. (2013) 357 ITR 330 (Del.) vi) Decision of ITAT Delhi Bench in the case of ITO vs. On Exim Pvt. Ltd. (2013) 157 TTJ 633 (ITAT, Delhi) vii) Decision of ITAT, Delhi Bench in the case of ACIT vs. Shri Devesh Kumar (ITA NO. 2068/Del/2010) dated 31.10.2014. viii) Decision of ITAT, in the case of ITO vs. MB Jewellers P Ltd. ITA No. 2499/Del/2011 dated 14.11.2014 and ix) Decision of ITAT, in the case of RKG International (P) Ltd. vs. ITO (ITA No. 101Del/2013) order dated 14.11.2014. Ld. Counsel of the assessee requested that the reopening of the assessment in the case of the assessee may be quashed and the appeal of the assessee may be accepted. 4. Against the order of the Ld. AO, ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e assesee may be dismissed. 7. We have heard both the parties and perused the records available with us specially the contentions raised by the assessee alongwith various decisions cited by the assessee's counsel on the issue in dispute as well as the documentary evidence filed by the Ld. DR in the shape of Paper Book and orders of the Revenue authorities. Before commenting upon the merits of the case and on the arguments advanced by both the parties, we want to discuss the reasons recorded for reopening of assessment in the case of the assessee vide AO's letter dated 15.9.2010, which is reproduced hereunder:- "Certain investigation were carried out by the Directorate of Investigation, Jhandewalan, New Delhi in respect of the bogus / acco....
X X X X Extracts X X X X
X X X X Extracts X X X X
....rtain information received from the Investigation Wing which was supplied to the assessee vide AO's letter dated 15.9.2010. In our view the reasons are vague and are not based on any tangible material as well as are not acceptable in the eyes of law. The AO had mechanically issued notices u/s. 148 of the Act, on the basis of information allegedly received by him from the Directorate of Investigation, Jhandewalan, New Delhi. Keeping in view of the facts and circumstances of the present case and the law applicable in the case of the assessee, we are of the considered view that the reopening in the case of the assessee for the asstt. year in dispute is bad in law and deserves to be quashed. We draw our support from the judgments of the Hon'ble....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng to Rs. 5 lakhs during F.Y. 2002-03 as stated in the annexure. According to the information, the amount received from a company, S, was nothing but an accommodation entry and the assessee was the beneficiary. The reasons did not satisfy the requirements of section 147 of the Act. There was no reference to any document or statement, except the annexure. The annexure could not be regarded as a material or evidence that prima facie showed or established nexus or link which disclosed escapement of income. The annexure was not a pointer and did not indicate escapement of income. (iv) Further, the Assessing Officer did not apply his own mind to the information and examine the basis and material of the information. There was no dispute that the....