2021 (3) TMI 822

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....unds have been raised which are verbatim the same. For the sake of ready reference, the grounds of appeal in the case of Ms. Rukman Agarwal is incorporated as under :- 1. "The Ld. AO/CIT Appeals have erred in law and on facts in disturbing the assessment already completed without there being any incriminating material found during search qua subject Assessment Year ignoring Apex Court Judgment and thus the proceedings initiated and conducted were beyond the scope of reassessment U/s 153A of the IT Act, 1961. 2. That non-consideration of additional evidence after admission under rule 46A by Ld. CIT Appeals, on account of non-submission of remand report by AO in time, with the given facts and circumstances of the case, is against the principles of natural justice and therefore, the same is liable to be admitted and considered. 3. The addition of Rs. 2,00,00,000/- was bad in law, illegal, unjustified and contrary to the facts and law on merits alone, by recording incorrect facts and findings and without considering the replies filed and material on records justifying identity, creditworthiness and genuineness of the transaction. 4. The Ld. AO failed....

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....hawri Vypaar Pvt. Rs. 10,00,000/- 08/11/2011 RTGS -ORBCH 11312020259/Siddheshawri Vypaar Rs. 72,00,000/- 11/11/201t RTGS -ORBCH 1131 5047108/Siddheshawri Vypaar Pvt.. Rs. 33,00,000/- Abhishek Agarwal Date Cheque No. Particulars Credit 15.10.2011   RTGS-ORBCH 11288046229 Siddheshwari Vyapaar Pvt. Ltd. 55,00,000/- 15.10.2011   RTGS-ORBCH 11288050575 Siddheshwar Vyapaar Pvt. Ltd. 16,00,000/- 17.10.2011   RTGS-ORBCH 11290052503 Siddheshwari Vyapaar Pvt. Ltd. 50,00,000/- 17. 10.2011   RTGS-ORBCH 11290060380 Siddheshwari Vyapaar Pvt. 'Ltd, 44,00,000/- 18.10.2011   RTGS-ORBCH 11291064949 Siddheshwari Vyapaar Pvt. Ltd. 20,00,000/- 18.10.2011   RTGS-ORBCH 11291070149 15,00,000/- 3. The Ld. AO thus observed that in these bank statements, huge amount aggregating to Rs. 2,00,00,000/- in each of the assessees have been received either from M/s. Sunview Retail Pvt. Ltd. or M/s. Siddheswari Vyapaar Pvt. Ltd. However, the same are not appearing anywhere in the balance sheet or profit and loss account except the bank statement. He accordingly, asked the as....

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....he amount of Rs. 2,00,00,000/- each received in the Axis Bank account from M/s. Siddheshwari Vyapar Pvt. Ltd. Kolkata against proposed sale of the property at plot No. 41/50 Kishanpur Canal Road, Dehradun including super structure in terms of agreement to sell dated 11th November, 2011. In all these cases following documents were filed:- i) Copy of agreement to sell. ii) Copy of confirmation of account and balance dated 1st April, 2012. iii) Copy of bank account of M/s Sunview Retail Pvt. Ltd. and M/s. Siddheshwari Vyapar Pvt. Ltd. showing the subject transfer. iv) Copy of annual accounts of the company as per MCA records. v) Copy of loans and advances showing name of the assessee. It was further submitted that the said transaction could not be completed as the purchaser was not able to make payments as per the terms and conditions of agreement due to sudden downfall in the prices of real estate in Uttarakhand and finally the assessee has forfeited the advance against sale of property and transferred the said amount to the capital account to the individual balance sheet. Apart from that, various other submissions were made. 6. Ld. ....

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.... "When once the proceedings are initiated under section 153A of the Act, the legal effect is even in case where the assessment order is passed it stands reopened. In the eye of law there is no order of assessment. Re-opened means to deal with or begin with again. It means the Assessing Officer shall assess or reassess the total income of six assessment years. Once the assessment is reopened, the assessing authority can take note of the income disclosed in the earlier return, any undisclosed income found during search or and also any other income which is not disclosed in the earlier return or which in not unearthed during the search, in order to find, out what is the "total income" of each year and then pass the assessment order." 10. On merits, he submitted that, firstly in the inquiry made by the AO u/s 133(6) either the notices returned back or no reply was received. Neither the directors were produced despite AO specifically asked to the assessee. Accordingly, the onus cast upon the assessee was not discharged. Thus addition has rightly been confirmed by the Ld. CIT (A). 11. We have heard the rival submissions and also perused the relevant findings given in the i....