2018 (4) TMI 1960

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....ed by the ITO, Neemuch. 2. The assessee has raised the following grounds of appeal :- "1.1 That on the facts and in the circumstances of the case, the learned CIT(A) erred in confirming the reassessment proceedings as started by the ld. A.O. u/s 148 of the Income Tax Act without properly appreciating the facts of the case and submission made before him. The said proceedings as started by A.O. and confirmed by the CIT(A) are illegal and bad in law. The reassessment proceedings so initiated and assessment framed thereon requires to be quashed. 1.2 That on the facts and in the circumstances of the case, the learned CIT(A) erred in confirming the other additions as made by the ld. A.O. while passing the order u/s 143(3) of ....

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....nd tubes. The income of Rs.3,30,890/- was declared in the return of income filed on 30.9.2009. The return was processed u/s 143(1)(a) of the Act. Subsequently, as per the AIR information the Assessing Officer noticed that during the F.Y. 2008-09 the assessee has deposited cash of Rs.17,92,600/- in the saving bank account of Union Bank of India, Neemuch Branch. The Assessing Officer accordingly issued notice u/s 148 of the Act for initiating reassessment proceedings u/s 147 of the Act. During the course of assessment proceedings the Assessing Officer was satisfied that the alleged cash deposit was actually the sales which were deposited in cash in the bank account of sole proprietor and thereafter cheques were issued in the account of the pr....

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....validity of notice u/s 148 of the Act and the reassessment proceedings u/s 147/143(3) of the Act, we find that the return of income filed on 30.9.2009 was processed u/s 143(1)(a) of the Act which means that there was no scrutiny of accounts and records of the assessee. Subsequently, the Assessing Officer received information on the basis of AIR received by the Income Tax Department which revealed that during the F.Y. 2008-09 total cash of Rs. 17,92,602/- has been deposited in the savings bank account of the assessee held with Union Bank of India, Neemuch. In our view, this information supported by the material; evidence in the shape of AIR information was sufficient enough for the Assessing Officer to issue notice u/s 148 of the Act. The ac....