TaxTMI 
TaxTMI 
TaxTMI 
2020 (12) TMI 1378
X X X X Extracts X X X X
X X X X Extracts X X X X
....mind, unwarranted and mechanical and unsustainable. 2. That the Ld. A.O., since failed in adjudicating all objections against reopening proceedings, properly, as per law and in totality and as per the directions of Hon'ble Supreme Court in the case of G.K.N. Drive Shafts, hence consequential proceedings an impugned asstt. is illegal and without jurisdiction. 3. That under the facts and circumstances, the approval u/s. 151 is fatally defective, mechanical and without application of mind which makes the whole proceedings without jurisdiction, illegal and unwarranted. 4. That under the facts and circumstances, both the lower authorities erred in law and on merits in making and sustaining addition to the extent of Rs.1,10,00,000/- ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....2017 wherein a copy of return of income was filed on 26.4.2017 in response to notice under section 148 had been submitted. A Notice u/s. 143(2) of the Act was issued on 7.9.2017. A notice u/s. 142(1) of the Act alongwith questionnaire was also issued on 7.9.2017. In response to the statutory notices, the AR of the assessee filed the details which was placed on record by the AO. After considering all the documentary evidences filed by the assessee as well as the written submission, the AO completed the assessment on 28.12.2017 u/s. 147 of the Act and added the unexplained credit u/s. 68 of the Act amounting to Rs. 2,47,50,000/- and commission of Rs. 6,18,750/- totaling to Rs. 3,44,02,310/-. Aggrieved with the Assessing Officer, assessee file....
X X X X Extracts X X X X
X X X X Extracts X X X X
....sfied i.e. it's stand prepared within time, it has been addressed correctly and it has been posted / give for delivery within time so that it become out of control and reach of the sender to take it back. In the case of the assessee, he stated that these 03 conditions are not fulfilled. In support of his contention, he draw our attention towards the paper book and stated that notice u/s. 148 of the Act is time barred and on this ground the assessment framed by the AO on the basis of this notice deserve to be declared null and void. In support of this contention, Ld. Counsel for the assessee relied upon the decision of the Hon'ble Gujarat High Court in the case of Kanubahi M. Patel (HUF) vs. Hiren Bhattr or His Successors to office and other....
X X X X Extracts X X X X
X X X X Extracts X X X X
....en substantiated the claim before the revenue authorities and the Ld. CIT(A) has rightly been upheld the addition. Therefore, a well reasoned order has been passed by the Ld. CIT(A) and the same may be upheld. 5. We have heard both the parties and perused the orders passed by the revenue authorities alongwith documentary evidences filed by the assessee. We find that initiation of assessment are on Wrong and non-existing facts, because it mentions that "M/s. Binary Semantics Ltd." is shown to have received following entries". Thereafter 07 entries have been given for which re-asstt. proceedings have been initiated. The initiation has been done for Rs. 2,47,50,000/- from 07 parties against correctly received only Rs. 1,10,00,000/- from 03 pa....
X X X X Extracts X X X X
X X X X Extracts X X X X
....case initiation of reopening proceedings is mechanical and Non-application of Mind and Borrowed satisfaction because the initiation is on the basis of report of Inv. wing only; No prime facie enquiry done by A.O. before initiating proceedings; Hence, it is a case of initiation on wrong facts and on borrowed satisfaction without application of mind which makes the proceedings un-sustainable. Our view is fortified by the decision of the Hon'ble High Court of Delhi in the case of Sarthak Securities Co. (P) Ltd. 329 ITR 110 (Del) wherein it has been held that no independent application of mind by the AO by acting under information from Inv. Wing. - Notice u/s. 147 to be quashed. 5.2 As regards the limitation issue is concerned, we have perused....