2019 (3) TMI 394

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.... ("the Act" for short). The impugned notice seeks to reopen the assessment for Assessment Year 2011-­12. 3. The undisputed facts are that the regular assessment proceedings were completed on 21st March, 2014 under Section 143(3) of the Act. Thereafter, the Assessing Officer has issued the impugned notice seeking to reopen the assessment for the assessment year 2011­-12. 4. The reasons in support of the impugned notice as communicated to the petitioner read as under: "01. The assessee filed its return of income declaring income of Rs. 1,56,64,480/­ on 28/09/2011. The assessee company is engaged in the business of selling of four wheeler and provide sales services. The assessment was completed u/s 143(3) of the Income Tax....

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..... This method was also applied for siphoning off fund from public limited company to the Pvt. Limited companies of the same group. iii) He used to take cheques of the beneficiary companies and used to issue them sale bills, mainly of fabrics and related articles. This cheque amount was either withdrawn immediately or after rotating the same amongst its group entities. The cash was then returned back to the beneficiary companies. This method was adopted by some concerns who wanted to inflate their purchases. 4. M/s MY CAR PUNE PRIVATE LIMITED, the assessee has taken accommodation entry from Himanshu Verma Group in F.Y. 2010­-11 as follows: Name PAN Name of Himanshu Verma & Group Company   MY CAR PUNE PRIVA....

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....ous information/material were disclosed. However, the requisite full and true disclosure of material facts for necessary for assessment has not been made as noted above. It is pertinent to mention here that even though the assessee has produced annual report, P & L a/c, balance sheet alongwith return of income as mentioned above, the requisite material facts as noted above in the reasons for reopening were embedded in such a manner that material evidences could not be discovered by the AO and could have been discovered with due diligence, according provisions of explanation 1 of section 147 of the Income Tax Act, 1961. (iii) It is pertinent to mention here that material facts relevant for the assessment year on the issues under considera....

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....,42,00,000/­, siphoning off fund from Public Ltd. Co. to Pvt. Ltd. Co., inflation of beneficiaries purchases) during the relevant financial year. The assessee has filed the return of income declaring total income of Rs. 1,56,64,480/­ but all the above activities need to be verified. Therefore, I am also satisfied that income has escaped assessment in this case. Hence, the approval u/s 151(1) of the Income tax Act is being accorded for Issue of Notice u/s 147 r.w.s. 148 of the Income tax Act. Dated 31/03/2018 (Ashok Kumar Pandey) Pr.Commissioner of Income tax­6, Pune." 5. On receipt of the reasons, the petitioner filed its objections to the above reasons on 18th September, 2018 with the Assessing Officer. By an order ....