2021 (12) TMI 865

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.... the case in deleting the addition of Rs. 4,15,00,000/- made by the AO on account of unexplained cash credits u/s 68 of the IT Act. 2. The appellant craves leave to add, amedn or forego any ground(s) of appeal at any time before or during the hearing of this appeal 3. Limitation for filing appeal before the Hon'ble ITAT expires on 10.9.2018." ITA No. 5809/Del/2018 1. "That the notice issued under Section 148 and reassessment order passed under Section 147 r.w.s. 143(3) are illegal, bad in law and without jurisdiction. 2. That there has been no application of mind or investigation on the basis of tangible material which has live nexus to the income by the Learned Assessing Officer in recording his reasons to believe escapement of in....

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....he case and of the intention of law." 3. The assessee is a Private Limited Company incorporated under the Companies Act, 1956. The assessee company filed its Return of income for the Assessment Year 2010-11 on 16/08/2010 declaring total loss of (-) Rs. 23,754/-. The assessee's case for assessment year 2010-11 was reopened u/s 147. After assessment proceedings, the Ld. Assessing Officer passed an order u/s 143(3)/147 of the Income Tax Act, 1961 by making the following addition : a) U/s 68 as unexplained credits u/s 68 Rs. 3,00,00,000.00 b) U/s 68 as unexplained credits u/s 68 Rs. 1,15,00,000.00     Rs. 4,15,00,000.00 4. Being aggrieved by the assessment order, the assessee filed an appeal before the CIT(A). The CIT(A....

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....iven a categorical finding in para 2.2 related to reasons recorded for reopening proceedings u/s 147 and there is no discrepancy in the reasons. Hence assessee's appeal is dismissed. It is seen that the information received from investigation wing was part of the reopening, yet the reopening was based on the records and facts of the assessee's case. It was observed in the reasons for reopening that certain cash withdrawals was seen in respect of assessee company's records. The CIT(A) has correctly stated that the information on the basis of which Assessing Officer had initiated proceedings under Section 147 was certain and it could be construed to be sufficient and relevant material on the basis of which a reasonable person could have forme....