TaxTMI 
TaxTMI 
2016 (6) TMI 376
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....e and in the law, the CIT(A) has erred in confirming the assumption of jurisdiction u/s. 148 by the AO which was inherently bad in law. 1.1 That on the facts and circumstances of the case and in the law the assessment order u/s. 148/144 as framed by the AO is bad in law and deserves to be quashed. 2. That on the facts and circumstances of the case and in the law the CIT(A) has grossly erred in confirming the addition of Rs. 12,00,000/- as made by the AO. That the above grounds are independent and without prejudice to one another. That the appellant craves leave to add to and / or amend, modify or withdraw the grounds outlined above before or at the time of hearing of the appeal." 3. The brief facts of the case ....
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....e creditworthiness of the donors which remained unproved on account of the fact that no explanation was filed by the assessee nor any supporting evidence offered. The onus to prove the genuineness of the gifts lay with the assessee and he failed to discharge it. AO also observed that since the case is being decided ex-parte, and in consideration of the fact that the findings of the DIT(Inv.) in the report that the gifts were nothing but accommodation entries the total amount of the gift was treated to be income in the hands of the assessee. The genuineness of the gift remained unproved. Accordingly, the AO assessed the income of the assessee at Rs. 14,47,000/- by making addition of Rs. 12 lacs vide his order dated 30.12.2008 passed u/s. 148....
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..... Counsel for the assessee stated that non-supply of copy of reasons recorded is contrary to the provisions of law as laid down by the Hon'ble Apex Court in the case of GNK Driveshafts (India) ltd. vs. ITO reported in 259 ITR 19 (SC). Therefore, he requested that by following the decision of the Hon'ble Apex Court, as aforesaid, the assessment may be quashed being bad in law. In support of his contention he relied upon the various other case laws and filed a Paper Book containing pages 1 to 44 having the copy of the various following decisions, wherein on similar facts and circumstances the assessment declared null and void. - Hon'ble Bombay High Court in the case of CIT vs. Trend Electronics 2015-TIOL-2393-HC-Mum. - Hon'b....
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.... Income Tax Act, 1961 Office of the Asstt. Commissioner of Income Tax Range-I, Moradabad Dated : 28/3/2008 To Dr. IS Sachdeva, Civil Lines, Moradabad Whereas I have reason to believe that your income chargeable to tax for the assessment year 2001-02 has escaped assessment within the meaning of Section 147 of the Income Tax Act, 1961. I, therefore, proposed to assessee the income for the said assessment year and I hereby request you to deliver to me within 15 days from the date of service of this notice a return in the prescribed form for the said assessment year 2001-02. This notice is being issued after obtaining the necessary satisfaction of the Commissioner of Income....
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....he Appellant inspite of there being a specific request for the same............." 8.3 After going through the Notice dated 28.3.2008; Reply of the Notice dated 9.4.2008 of the assessee and the finding of the Ld. CIT(A) made in his impugned order dated 26.9.2013 vide para no. 3.1 and the law as laid down by the Hon'ble Apex Court in the case of GNK Driveshafts (India) ltd. vs. ITO reported in 259 ITR 19 (SC) and also the various case laws, as cited by the ld. Counsel of the Assessee, we find that the Hon'ble Apex Court in the case of GKN Driveshafts (India) Ltd. vs. ITO 259 ITR 19 (2003) has held that "it is clear that the completion of assessment/reassessment without furnishing the reasons recorded by the AO for initiation of proceedings....