TaxTMI 
TaxTMI 
2026 (7) TMI 788
X X X X Extracts X X X X
X X X X Extracts X X X X
.... three years. The impugned orders emanated from the order of the Assessment Unit Income Tax Department (for brevity the 'Ld. AO') order passed under section 147 r.w.s. 144 r.w.s. 144B of the Act date of order 25.05.2023 for A.Y. 2014-15, 24.05.2023 for A.Y. 2015-16 and 30.03.2022 for A.Y. 2016-17. 2. The appeals were called for hearing; however, none appeared on behalf of the assessee. Upon perusal of the record, it is observed that the matters had been adjourned on several occasions. Considering the facts and merits of the case, we proceed to dispose of the appeals ex parte qua the assessee after hearing the submissions of the Ld. DR. 3. Since all the appeals pertain to the same assessee and arise from a common issue, they were heard....
X X X X Extracts X X X X
X X X X Extracts X X X X
....rieved assessee filed an appeal before us. 5. We have heard the submissions of the Ld. DR and perused the material available on record. It was submitted that the assessee's case was reopened on account of deposits/credits aggregating to Rs. 1,80,34,91,094 in various bank accounts maintained by the assessee. During the course of investigation, the Ld. AO conducted detailed enquiries and found that the assessee's bank accounts had been utilized by Mr. Satish C. Harchwani for routing accommodation entries on behalf of his associates, friends, and related parties. It was further found that the assessee had no direct involvement in the transactions carried out through the said bank accounts. The statements of Mr. Satish C. Harchwani recorded ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....atives for the purpose of providing bogus accommodation entries. As per the instruction of Sh. Satish C harchwani, Therefore, the A.O. added cash commission @ of 0.05% of total credits appearing in the bank account of the appellant as its commission income and assessment was completed by making addition of Rs. 9,01,745/-. 6.3 The appellant in its grounds of appeal no 1 assailed that On the facts and in the circumstances of the case and in law, the Notice issued u/s. 148 and assessment order passed u/s 147r.w.s. 144 of the Act is bad in law. 6.3.1 I have considered facts of the case, Assessment order and other material available on record. In this case it is noticed that It is an admitted fact that the present case emanates....
X X X X Extracts X X X X
X X X X Extracts X X X X
....n produced to substantiate the claim. The bank account stands in the name of the appellant and he failed to identify the persons involved or furnish confirmations. The appellant has also not lodged any police complaint regarding alleged misuse of bank account. The fact that substantial credits and debits have been routed through the bank account is undisputed. The AO has discussed in detail in para 4(4.1 to 4.9), detailed modus-operendi of accommodation entries of Sh. Satish C harchwani and it is undisputed fact that the bank account of the appellant was used by Sh. Satish C harchwani to provide bogus accommodation entries, Hence A.O. correctly applied a commission rate of 0.05% on total turnover, which is consistent with settled judicial p....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... any cogent evidence to rebut the findings recorded by the Ld. AO or to substantiate the claim that the transactions did not belong to him. In these circumstances, we find no infirmity in the action of the Ld. AO in estimating the commission income at 0.05% of the total credits routed through the bank accounts and in making the consequential addition. The findings recorded by the Ld. CIT(A) are well-reasoned and call for no interference. 8. As regards the legal ground challenging the validity of the notice issued under section 148 and the assumption of jurisdiction under section 147 read with section 144 of the Act, we note that the assessee has neither appeared before us nor placed any material on record to substantiate the challenge. N....