TaxTMI 
TaxTMI 
2023 (6) TMI 733
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....7/2018-19 for the assessment year 2010-11, arising out of assessment order dated 29.12.2017 u/s 147 of the Income-tax Act, 1961 (hereinafter referred as the "Act"), passed by the Income-tax Officer Ward-63(5), New Delhi (hereinafter referred in short as "Ld. AO"). 2. The assessee derives income from business of trading of computer hardware and components. It is also engaged in the accounting work, book writing etc. The return was filed declaring taxable income at Rs. 2,92,763/- and the same was processed u/s 143(1) of the Act. However, subsequently, the learned AO had information regarding accommodation entry being taken by the assessee from Anand Kumar Jain and Naresh Kumar Jain. The reasons were recorded in the case for reopening of th....
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....complying with mandatory conditions U/s 147 to 151 as envisaged under the Income Tax Act, 1961. 2. The Ld. CIT(A) has erred in law and on facts in confirming the action of Ld. A.O. in framing the impugned assessment order and that too by recording incorrect facts and finding and without considering the submission of the assessee and without observing the principles of Natural Justice. 3. That the learned CIT(A) wrongly confirmed the action of assessing officer that amount received against sale is unaccounted money while all the purchases and sales duly vouched, supported with audited books of account and VAT returns. 4. That the authority below erred in law in making the addition of Rs. 3,44,19,731/- being receive....
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....43 (3) the AO has not issued and served the mandatory notice U/s 143(2) in view of assessee file the e-return on 28.09.2010 and confirmed such return U/s 148 vide letter dt. 14.08.2017 which is mentioned in the assessment order. Hence assessment order is wrong , illegal and deserves to be quashed." 5. Heard and perused the record. 6. At the outset it is mentioned that at the time of final arguments nothing specific was submitted on behalf of the assessee in regard to additional grounds. Further, ground no. 2 was also not pressed. 6.1 As with regard to remaining grounds, Learned counsel appearing for the assessee submitted that the assessee had brought before the lower authorities the trading account as made available at page no. 29....
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....rsus G & G Pharma India Ltd., [2016] 384 ITR 147 (iii) Pr. Commissioner of Income Tax Versus RMG Polyvinyl (I) Ltd., [2017] 396 ITR 5 (iv) Anirudh Kumar vs ITO,ITA No. 1167/Del/2019, dt. 21.07.2022 (v) Ranbaxy Laboratories Ltd. Vs. CIT, (2011) 336 ITR 136 (Del) (vi) CIT vs. Jet Airways Other Citation: (2011) 331 ITR 236 (Bom) (vii) Rajesh Kumar Vs. ITO, ITA No. 1465/Del/2020, dt. 03.08.2022 7. On the other hand learned DR supported the orders of learned tax authorities below. 8. Appreciating the material on record it can be observed from the copy of reasons recorded, as made available at page no. 79 to 81 of the PB, that after prefacing the reasons on the basis of search and seizure operati....
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....t as the same is getting barred by limitation on 31.03.2017." 9. Now when the aforesaid grounds are considered in the light of the assessment order it becomes apparent that apart from mentioning the name of the two Jain Brothers, to have given the accommodation, entry no specific query was raised from the assessee to explain any particular entry in the books of a/c from the firm M/s Danodia Impex Pvt. Ltd. The Bench is of the considered view that when an addition has to be made u/s 68 read with section 147/148 of the Act expecting the assessee to discharge the burden then in the notice u/s 148 or the reassessment proceedings there should be specific show cause to the assessee calling upon the assessee to explain the genuineness of transa....
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....s and supplies the same after procuring from market. It purchase goods from Danodia Impex Private Limited and copy of purchase and sales invoice have been submitted. The sale has been reflected on VAT returns amount was received in the banks after getting letter of credit (LC) discounted from bank and payment was made to Danodia Impex Private Limited through RTGS. No amount was received from Jain Brothers and assessee was not beneficiary. It was further submitted that the assessee was not aware of the fact that Jain Brothers were owners aid company (Danodia Impex Private Limited)." 11. Thus it appears that name of the firm M/s Danodia Impex Pvt. Ltd appeared not from the reasons but reply of assessee but assessee was then not show caused....