TaxTMI 
TaxTMI 
TaxTMI 
2025 (8) TMI 944
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....Assessing Officer (in short 'AO') u/s 147 r.w.s. 144B of the Income tax Act, 1961, dated 20.03.2022. 2. The grounds of appeal raised by the assessee are as follows: "1. The Ld. CIT(A) erred in law as well as on fact in upholding addition of Rs. 7,20,96,670/- made by Id.assessing officer being total amount deposited in bank account u/s.68 of the Act without considering facts and circumstances of the case and remand report of assessing officer. 2. Ld. CIT(A) erred in law as well as on fact in upholding reopening of assessment on insufficient, invalid, incorrect and vague reasons recorded for reopening." 3. Succinctly, the factual panorama of the case is that assessee before us is a Firm. The income tax return was filed by M/s Pallav (....
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....tal income of Rs. 6,00,410/-on 28/05/2021. Subsequently the notice u/s 143(2) was issued on 27/08/2021. The assessee did not comply to this notice. The notice u/s 142(1) was issued on 25/11/2021. The assessee, again did not comply to this notice also. Further, notices u/s 142(1) of the Act, was again issued on 27/01/2022 & 28/02/2022 respectively, however, there were no compliance of these notices by the assessee. Non -compliant attitude of the assessee, towards various notices issued to the assessee, clearly indicates that the assessee is intentionally avoiding to make any compliance to the notices issued to the assessee, despite the fact that ITR in response to the notice u/s 148 of the Act, has been filed by the assessee. Despite suffici....
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....m the amounts were received during the year under consideration. During the present proceedings, the assessee failed to explain the source of receipts. The assessee has never come forward to explain the entries in the bank account even after providing various opportunities to do so at various levels of the proceedings. Therefore, the Ld. CIT(A) confirmed the addition of Rs. 7,20,96,670/- treating the same as unexplained credits u/s 68 of the Act. 7. Aggrieved by the order of Ld. CIT(A), the assessee is in further appeal before us. 8. Learned Counsel for the assessee, argued that reasons recorded by the assessing officer for reopening of assessment are bad in law and there is no application of mind by the assessing officer. Therefore, the ....
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....considered facts of the case in the light of the applicable legal position. We find that section 147 of the Act, lays down that the reopening the assessment can be done by the Assessing Officer, if he has 'reason to believe' that the income has escaped assessment. Escapement of income chargeable to tax can be due to not filing of return of income by the assessee despite having taxable income, receipt of information from other agencies, or failure on part of the assessing officer during the initial assessment proceedings to account for a portion of the income or allowing of excess loss or depreciation etc. In such a case, the provisions of Section 147 of the Act, would be applicable and the assessment can be reopened. The very fact that reas....
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....elow. "1. The assessee is a partnership, engaged in the business of retail trading of man, women and children cloths and wearing accessories over the counter. 2. Appellant has filed his return of income u/s. 139(1) of the Act for A. Y. 2017-18 on 16.10.2017 declaring total income at Rs. 6,00,410/-. 3. Notice u/s 148 was issued on 31.03.2021, on the basis of reasons recorded for reopening as mentioned on page no. 2 and 3 of assessment order. 4. During the course of assessment, Ld. assessing officer had made an addition of Rs. 7,20,96,670/- being total credits appearing in and treated as deposits in bank accounts no. 03670200000679 with Bank of Baroda, Jamnagar, in order passed u/s 147 r.w.s. 144 of the IT act. Since, all notices w....
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.... Rs. 1,80,88,225 The said deposit out of cash sales and receipts from debtors duly account for in books of accounts. We enclose herewith cash book, sales register, tax audit report and audited accounts. 4. Cheque return (New Favorite Garments) - Rs. 85,870 Cheque return unpaid duly reflected in bank statement on credit and debit side. Ld. assessing officer has only considered debit side of bank statement. 5. Sales through Cheques / POS / Credit Card - Rs. 95,42,141 Sales is duly accounted for, credited to profit and loss account and declared as income in tax audit report and income tax return. Hence, same cannot be treated as unexplained deposit. Also addition was made of income already disclosed amounts to double addition. W....