TaxTMI 
TaxTMI 
TaxTMI 
2025 (8) TMI 1434
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....e case and in Law, the Ld. COMMISSIONER NFAC /Assessing Officer has erred in addition of Rs 1,38,24,984/- may please be deleted". That under noted Addition has been made without any legal legs and findings and without providing any opportunity to the assessee:- A. Income of Rs. 1,38,24,984/- to be added in the income of assessee which is not correct in view of the undernoted facts. I was posted as an engineer in Nagar Parishad and worked as and engineer and the amount credited in my bank account is departmental advance to carry out departmental work no cash deposit was made as dealt in the order. As the entire source is explain hence no penalty proceeding has no legal legs to stand in court of law. Further, as discussed in the assessment order supra, the assessee has failed to comply with the notices issued u/s 142(1) of the Act and served upon the assessee during the course of e-scrutiny proceedings, penalty u/s. 272A(1)(d) of the Act is also initiated. The assessee has not filed his return of income for A.Y. 2017-18, penalty u/s. 271F of the Act is also initiated for failure to furnish the return of income I. That it is prayed that as the order is not passed on merits hence, ....
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....LARY STATEMENT ALONG WITH AMOUNT CREDITED TO BANK ACCOUNT IS ATTACHED AS PER ANNEXURE B 6. That having regard to the facts and circumstances of the case, Ld. Assessing Officer has erred in law and on facts in making above the order without giving an adequate opportunity of being heard and by not observing the principles of natural justice"; draft assessment order has not been issued by Ld. AO which made the order not only bad but also illegal. Apart from justifying additions on merits, they disputed the absence of service of the draft assessment order and lack of opportunity of hearing to Petitioner. It is stated that there is no violation of provisions of the Act as ample opportunity was granted to petitioner from time to time to explain its claim with supporting documents. That the order of the LD Assessing officer was received by post and the appeal was filed within the due date from receiving the order even through the order was passed and uploaded, assessee do not check the mail as I am computer illiterate in view of the above fact the matter should have been heard on merit 7. That the conclusion and inferences of the Assessing Officer are based on suspicious, conjectures,....
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....as been issued to assessee, can the assessment be completed under section 143(3) of the Act? Further, whether in the circumstances where no return of income has been filed and no notice under section 143(2) of the Act could be issued, then what was course of action which was available for completing the assessment. There is no requirement of the law that if the return is filed any time before Assessing Officer u/s 148 read with 143 (3) of the Act, the Assessing Officer should have been issued notice u/s 143(2). The question will arise then that if the assessee was issued a notice u/s 148 of the Act and he does not file any return of income till the date of framing of the assessment order or also filed a return before passing of the assessment order u/s 143(2) of the Act, then what is the stand Revenue should take? In such case, it is not at all possible that the assessee can contest that notice u/s 143(2) should have been issued, in all such cases where reassessment is required to be made. The onus of filing of return of income on the assessee is a responsibility which is cast upon him to be fulfilled by him, if he fails to take benefit of any of the provisions of law the assessee ....
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....e Petitioner filed its response giving the quantitative details which was sought for in the show cause notice issued. On 08.06.2021, the AO issued the impugned assessment order, show cause notice and notice of demand. The Petitioner challenged the assessment order and the consequential show cause notice issued with the notice of demand on the contentions that the assessment order is an exact reproduction of the draft assessment order except one sentence which shows that the Petitioner's request for an adjournment had not been considered, request for personal hearing had not been considered and most importantly the objection filed in response to the show cause notice with the draft assessment order had not been considered. The said contentions were accepted by the Hon'ble Bombay High Court. The Court observed that any assessment made under Section 144B (9) of the Act shall be non-est if such assessment is not made in accordance with the procedure laid down under this section. It was held that the impugned order was non-est as it is an exact replica of the draft assessment order with the exception of one sentence which shows that no application of mind took place while making the ord....
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.... GKN Drive Shafts (India) Ltd. v. ITO held as under "We find that the impugned order merely applies the decision of the Apex Court in GKN Driveshafts (India) Ltd. (supra). Further it also follows the decision of this Court in Videsh Sanchar Nigam Ltd. (supra) in holding that an order passed in reassessment proceedings are bad in law in the absence of reasons recorded for issuing a reopening notice under section 148 of the Act being furnished to the assessee when sought for. It is axiomatic that power to reopen a completed assessment under the Act is an exceptional power and whenever revenue seeks to exercise such power, they must strictly comply with the prerequisite conditions viz. reopening of reasons to believe that income chargeable to tax has escaped assessment which would warrant the reopening of an assessment 16. That Penalty proceeding u/s 272A(2)(l)(d) of the Income Tax Act,'61 is initiated for noncompliance to the Notice u/s 142(1) dated 24/03/2022. It is not possible for a assessee to comply in short span of time to make reply which is unjustified and against the principal of natural justice. 17. That Penalty proceeding u/s 271AAC is also initiated as the income dete....
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.... of the total contract receipts was treated as profit of the assessee and added to the income of the assessee. A sum of Rs.8,08,000/- being cash payments for goods and services purchased from Chetmani Ornaments (P) Ltd. was also added as unexplained expenditure as the assessee failed to file a reply and the total income was assessed at Rs.1,38,24,984/-. The penalty proceeding u/s 271AAC(1) of the Act was also initiated and the assessment was made u/s 147 r.w.s. 144 r.w.s. 144B of the Act. Penalty under other sections for various defaults were also initiated. 5. Aggrieved with the assessment order, the assessee filed an appeal before the Ld. CIT(A) who vide the impugned order dated 17.02.2025 dismissed the appeal of the assessee against the assessment order by holding on page 2 of the order as under: "The income of the appellant was assessed at Rs. 1,38,24,984/- u/s 147 r.w.s 144 read with section 144B of the Income Tax Act, 1961. The appellant preferred appeal. 3.1 In this case, the appellant has misrepresented the facts. Vide point no 2C of the form 35 submitted by the appellant, he has claimed date of service of order/notice of demand as 16.02.2024. Appellant filed the appea....