2022 (12) TMI 1219

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....ished his original return. Thereafter, the Assessing Officer (AO) received information from DDIT(Inv) Unit II(1), Pune indicating that the assessee held an account with HSBC, Bund Garden Road, Pune branch jointly with his wife, in which deposits of Rs.33.31 lacs and withdrawals of Rs.53.14 lacs were made. On the basis of above information, the AO recorded reasons and issued notice u/s 148 of the Income-tax Act, 1961 (hereinafter referred to as "the Act‟) requiring the assessee to furnish return. The assessee replied to the AO submitting that his original return may be taken as a return in response to the notice u/s 148. Thereafter, the assessment was completed determining the total income at Rs.5,31,500. The assessee remained unsucces....

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.... Rs.86,44,336 Further the entire bank account of Shri Lalchand Jagwani for A.Y. 2008-09 and A.Y. 2009-10 was examined and the findings are as under : A.Y. 2008-09 A.Y. 2009-10 Deposits in Rs. Withdrawals in Rs. Deposits in Rs. Withdrawals in Rs. Cash Cheque Cash Cheque Cash Cheque Cash Cheque 22,00,89 4 1,04,96,08 1 50,94,65 0 67,61,57 2 19,94,965 64,12,28 1 20,96,00 0 54,88,83 0 2. It is verified from the ITD application that the Shri Lalchand Jagwani has furnished the return of income for the A.Y. 2008-09 declaring total income of Rs.3,32,500/- only. In the return, he has shown the income of Rs.4,90,000 under the head House Property only and claimed deduc....

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....us, it is evident that the AO initiated re-assessment proceedings just to verify the transactions of deposits and withdrawals in/from the bank account. 6. Section 147 of the Act, dealing with the reassessment, opens with the words "If any income chargeable to tax, in the case of an assessee, has escaped assessment for any assessment year, the Assessing Officer may, subject to the provisions of sections 148 to 153, assess or reassess such income ....". It is ostensible that the action u/s 147 can be taken when the AO has formed reasons to believe that some income chargeable to tax has escaped assessment. Ex consequenti, belief of the AO about any income escaping assessment is sine qua non for initiating re-assessment. No jurisdiction can ....