2015 (7) TMI 979

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.... negative cash balance as on 31.03.2002. 2. The ld. CIT(A) further erred in law and on facts in deleting the addition of Rs. 7,38,000/- which was made on account of unexplained receipts. 3. The first ground relates to deletion of addition of Rs. 39,94,398/- which was made on account of negative cash balance. In this case, the assessee has not furnished any evidence of filing of original return for the year at assessment stage. A photocopy of form No.2D has been filed declaring total income of 76,760/- but there was no receipt stamp on said return. Thus evidence of filing of this return was not proved. A search u/s 132 was carried out in this case and the group cases of Shri Rameshbhai Babubhai Shah of Nadiad on 03/04/2008. Many incrim....

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....g Officer. The Assessing Officer considered the submissions/objections but rejected the same. The Assessing Officer has discussed this issue in detail vide para 9(2) of the Assessment Order. The addition was made on the ground that the assessee could not explain the source of cash receipts of Rs. 8,59,350/- and cash payments of Rs. 59,65,178/-. The second addition of Rs. 8,59,350/- was made on account of unexplained cash receipts. The addition of Rs. 59,65,178/- was made as the cash payments including the negative cash balance were more than the cash receipts. 3. The matter was carried in appeal before the first appellate authority, who after considering the submissions of assessee deleted the impugned additions. The Revenue being aggrie....

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.... 148 of the Act vide his letter dated 11.11.2009 which was received by the office of the Assessing Officer on 16.11.2009. Thereafter, the AO passed the impugned re-assessment order on 20.11.2009 disposing off the objections to reassessment proceedings of the assessee in the order itself. Thus these facts show that the objections raised by the assessee against the issuance of notice u/s 148 of the Act were not disposed off by the AO by passing a speaking order thereon and allowing reasonable time to the assessee after communicating the fate of the objections before processing with the reassessment. The Hon'ble Gujarat High Court in the case of General Motors India P. Ltd. vs. DCIT (supra) has held as under :- ''From the aforesaid discussi....