2021 (3) TMI 1396

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....eal)-2/Guwahati has erred in facts and in law by estimating the total taxable income of the appellant of Rs.4,00,000/- without any basis whatsoever. Such action of the Ld. CIT (Appeals) is bad in law. 2. That the Ld. CIT (Appeals) has erred in law by estimating the taxable income of the appellant after accepting the audited financial statements which were on record at the assessment stage also without any noting anything adverse against them. That such action of the Ld. CIT (Appeals) can at best be on conjectures and surmises. 3. That on the facts and circumstances of the case, the appellant had received an amount of Rs.4,00,000/- on account of sale of investments( shares) which was duly reflected in books of accounts but ....

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....age-15 of the paper-book, which is the copy of the reasons recorded. The relevant portion of which for the sake of ready reference is reproduced hereunder: "Reasons recorded u/s 148 of the I.T. Act. 1961 Information is in possession that M/s MLB Commercial Private Limited, PAN: AADCM1728M has brought back unaccounted income to the tune of Rs.4,00,000/- into their books during the Financial Year 2010-11 relevant to the Asst. Year 2011-12. The unaccounted cash/fund has been layered through bank accounts of Jamakharachi/shell concerns which hare having no real existence & business activities and involved in providing accommodation entries to beneficiaries/parties in lieu of commission in cash. In view of the above, I....

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.... companies has not been mentioned in the reasons recorded. The ld. AR has pointed out that the assessee during the year did not get any profit on the alleged shares held/sold by him. The shares were sold by the assessee at cost price, therefore, there was no question of routing any unaccounted income by way of share profit. A perusal of the reasons recorded reveals that the Assessing Officer did not correlate the information received by him from the Investigation Wing with the Income-Tax Return/accounts of the assessee. He reopened the assessment on the basis of borrowed satisfaction without verifying about the genuineness of the information received. Such an information from Investigation Wing may give the Assessing Officer the reasons to ....