2025 (5) TMI 2033

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....ereinafter referred to as "the Act") dated 04.03.2022 by the Assessing Officer, DCIT, Central Circle-29, New Delhi (hereinafter referred to as "ld. AO"). 2. Though the assessee has raised several grounds of appeal before us, the preliminary ground raised is challenging the assumption of jurisdiction under section 147 of the Act by the Learned AO. We deem it fit and appropriate to address the said ground first. 3. We have heard the rival submissions and perused the materials available on record. The Assessee company is engaged in the business of manufacturing of flavoured chewing tobacco, kivam, paan masala, mouth fresheners, confectionaries, silver leaf, ayurvedic medicaments etc. under the brand name "BABA". The Assessee company filed it....

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....ted their approval in a mechanical manner. Now the short point that arises for our consideration is whether approval under section 151 of the Act granted in a mechanical manner for reopening the assessment would become fatal to the reassessment proceedings or not. This question is no longer res integra in view of the decision of Hon'ble Madhya Pradesh High Court in the case of CIT Vs. S. Goyenka Lime and Chemicals Ltd reported in 56 taxmann.com 390 (MP HC). The Special Leave Petition (SLP) filed by the revenue against this decision was dismissed by the Hon'ble Supreme Court reported in 64 taxmann.com 313. Further, we find that the Hon'ble Jurisdictional High court in the case of PCIT Vs. NC Cables Ltd reported in 391 ITR 11 (Del) had al....

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....ssment. Admittedly, the unsecured loans received by the Assessee were sought to be examined by the Learned AO in the original scrutiny assessment proceedings vide notice under section 142(1) of the Act dated 17-11-2016 which are enclosed in Pages 1 to 4 of the paper book dated 23-2-2024. The assessee had filed its reply vide letter dated 12- 12-2016 which is enclosed in Page 6 para 5 of the paper book by furnishing the list of parties from whom unsecured loans have been received together with the confirmation. The Learned AO was duly satisfied with the same and did not proceed to make any addition in the assessment. Hence the Learned AO had indeed formed his opinion on the same. The said opinion is being sought to be disturbed in the reasse....