TaxTMI 
TaxTMI 
2025 (12) TMI 1269
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....issioner of Income Tax (Appeals) (hereinafter referred as "CIT(A)" is bad both in the eyes of law and on facts. 2. That on the facts and in the circumstances of the case, assessment order passed u/s 147 of the Act is liable to be quashed being reopening of proceedings u/s 147 is barred by limitation i.e. after expiry of four years from end of the relevant assessment year, as case of appellant was already assessed u/s 143(3) and there is no failure on the part of appellant to disclose fully and truly all material facts necessary for its assessment. 3. That on the facts and in the circumstances of the case, assessment order passed u/s 147 of the Act is liable to be quashed being proceedings u/s 147 initiated merely on the ba....
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....iple of natural justice. 7. That on the facts and circumstances of the case, the learned CIT(A) has erred both on facts & in law in confirming addition of Rs. 1,70,00,000/- on account of share application money by treating the same as accommodation entry without appreciating the fact that the appellant has duly discharged its primary onus by furnishing abundant documentary evidences to prove identity & creditworthiness of investor companies and genuineness of transaction in which no defect has been brought on record by both the authorities i.e. AO & Ld. CIT(A). 8. That on the facts and circumstances of the case, the learned CIT(A) has erred both on facts & in law in confirming addition of Rs. 1,70,00,000/- on account of sh....
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.... assessed u/s 143(3) and there is no failure on the part of appellant to disclose fully and truly all material facts necessary for its assessment. 4. Per contra the ld DR relied on the orders of the AO and the CIT(A). 5. We have heard the rival submission and have carefully perused the materials on record. We find that in the instant case, the assessee had filed the original ITR for A.Y 2012-13 on 24.10.2012. An assessment u/s 143(3) was framed vide order dated 17.03.2015. Thereafter, the Assessing Officer has issued notice u/s 148 of the Income-tax Act, 1961 [the Act, for short] dated 29.03.2019. In response to which the assessee filed an ITR 26.04.2019. The AO issued a notice u/s 143(2) dated 25.07.2019. 6. We find that the AO ha....
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....e reasons recorded by the Assessing Officer do not show that the conditions laid down in the proviso to section 147 is fulfilled. 9. The proviso to section 147, provides that where an assessment under section 143(3) or section 147 has been made for the relevant assessment year, no action shall be taken under section 147 after the expiry of four years from the end of the relevant assessment year, * unless any income chargeable to tax has escaped assessment for such assessment year by reason of the failure on the part of the assessee to make a return under section 139 or in response to a notice issued under section 142(1) or section 148 or * to disclose fully and truly all material facts necessary for his assessment for t....
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....lure on the part of the assessee to disclose fully and truly should not only be integral to the reasons but it must also be spelt out in the reasons as to what was to be disclosed but had not been disclosed. The absence of such averments in the reasons renders the whole exercise nugatory. Such lapse on the part of the AO cannot be regarded as a mere procedural irregularity but is a defect which goes to the root of the matter. The purported reasons that prompted the AO to reassess and disallow the expenditure incurred on DAP and production and translation expenses only demonstrate a change of opinion on the part of the AO, which cannot form the basis of reopening the assessment. *** 28. Consequently, one of the essential in....