TaxTMI 
TaxTMI 
2025 (3) TMI 2156
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....itiated by the Assessing Officer under section 147 of the Income-tax Act, 1961 ('the Act'). 2 The ACIT(A) erred in not quashing the reassessment proceedings initiated by issuance of notice u/s. 148 without appreciating that the basis for reopening was itself bad in law as a) The reasons for reopening the assessment is based on mere change of opinion. b) In the scrutiny assessment proceeding completed u/s. 143(3), the learned ITO had accepted the explanation of the assessee that no disallowance under section 14A should be made and reopening on the same basis clearly amounted to review of the earlier decision. c) The reasons for reopening is based on the tax audit report already submitted during the....
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....file return of income. It was submitted that, the assessee furnished all financials of the income offered to tax and paid during the year and that investments were made out of own funds. It is submitted that no expenditure was incurred by the assessee, to earn the exempt income and therefore the same was not disallowed while computing the total income in ROI. It was submitted that the disallowance of Rs. 3,32,528/- in Form 3CD was an error on behalf of the auditor. The Ld.AO after considering the submissions of the assessee rejected the same and computed the disallowance in the hands of the assessee as per Form 3CD. Aggrieved by the order of the Ld.AO assessee preferred appeal before the Ld.CIT(A). 3. The Ld.CIT(A) after considering t....
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....s. All the expenses related to are also debited to personal capital account. Therefore provisions of section 14A cannot be invoked. 4.2 It is submitted that based on the submissions of the assessee the Ld.AO did not make any disallowance in the assessment order. It is submitted that, once the issue is considered in the original assessment proceedings the same cannot be a reason to believe for the reopening proceedings to the initiated against the assessee. It is submitted that, the notice u/s. 148 issued on 31/03/2019 is thus bad in law and based on change of opinion because the only information in connection to the reasons for reopening was already available on record. The Ld.AR placed reliance on following decision expert of t....
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....available on record cannot be held to be valid procedure as laid down under the Act. 5.2 Accordingly, the notice dated 31/03/2019 is held to be bad in law and void ab initio. Consequent to the notice being quashed the reassessment order passed also stands quashed and nullified. Accordingly Ground no.1 and 2 raised by the assessee stands allowed. 6. Ground no. 3 raised by the assessee is on merit of the addition made. As we have already quashed the assessment order the addition made pursuant to an invalid notice becomes bad in law. 7. The Ld.AR submitted that, assessee has raised an additional ground challenging the authority who recorded satisfaction and approved the reopening of assessment. At the outset the Ld.DR filed notice ....
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....me, please explain.as to why the above expenses should not be disallowed. il As seen from the individual transaction statement, you had received income tax refund for A.Y.2007-08 and 2009-10 during the year under consideration and interest thereon was paid of Rs. 17,356 and Rs.1,57,986/- respectively. On perusal of the computation of income it is seen that you have not offered the said interest for taxation, please explain as to why the above said interest should not be added to the total income. On perusal of the details of fixed asset, it is seen that during the year under consideration, you have purchased the Motor Car and date of registration is of 04.10.2013. It means the Motor Car was put to use after 04.10.2013. The depreciatio....