TaxTMI 
TaxTMI 
2007 (5) TMI 51
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....valid jurisdiction and were, therefore, liable to be set aside. After hearing learned counsel for the parties, we admit this appeal and frame the following substantial question of law for consideration: "Whether the Income-tax Appellate Tribunal was correct in law in holding that the notice issued by the Assessing Officer under section 148 of the Income-tax Act, 1961, was bad in law and, therefore, the assessment framed in pursuance thereof was liable to be quashed?" Filing of paper books is dispensed with. The assessment was framed in respect of the assessee under section 143(3) of the Act read with section 147 thereof on March 29, 2004. By this assessment, an addition of Rs. 1,27,650 was made to the assessee's income as a resu....
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....he name of Shri Vipin Batra is included in the list of beneficiaries from the said account of M/s Maheswari Sons in the form of following transaction having received the said amount in his bank account No. 10007 with Syndicate Bank, Mori Gate, Delhi. -------------------------------------- S.No. Date of taking entry Amount -------------------------------------- 1 27-5-1995 1,27,650 -------------------------------------- There was a reason to believe that income of the assessee from undisclosed sources had escaped assessment in the form of bogus capital gain for the assessment year 1996-97." It is not ne....
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....e from the same facts but that those reasons must be based on facts which have subsequently come into the possession of the Assessing Officer. (d) The sufficiency of reasons for forming the belief is not for the court to judge although the assessee can contend that the belief was not bona fide or was based on vague, irrelevant and non-specific information or that the material did not have any rational connection or a live link for the formation of the requisite belief. This is what the Supreme Court said: "From a combined review of the judgments of this court, it follows that an Income-tax Officer acquires jurisdiction to reopen an assessment under section 147(a) read with section 148 of the Income-tax Act, 1961, only if on the bas....
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....onnection or a live link for the formation of the requisite belief." This court also had occasion to deal with the issue of reopening a completed assessment in United Electrical Co. P. Ltd. v. CIT [2002] 258 ITR 317. This decision has been relied upon by the Tribunal but we find that it is clearly distinguishable because in that case the Division Bench came to the conclusion that the statement on the basis of which reopening was sought was too general and it did not mention any name, much less the name of the assessee. It was, therefore, held that there was no information on record which could provide a foundation for the Assessing Officer's belief that the assessee's transaction was not genuine and that this income had escaped assessmen....