9911796707
TMI Blog2017 (9) TMI 1035X X X X Extracts X X X X X X X X Extracts X X X X ..... age. In a writ petition, the court would be primarily concerned with the question whether the Assessing Officer had information enabling him to form a bonafide belief that income chargeable to tax had escaped assessment. The court would not evaluate the evidence at that stage nor is the Assessing Officer expected to demonstrate with certainty that the addition will certainly be sustained in the reassessment proceedings. What is required at this stage to enable the Assessing Officer to issue the notice for reopening the assessment is the tangible material on record upon consideration of which he can form a reasonable belief that income chargeable to tax had escaped assessment. Such belief has to be one which is formed bona fide upon perusal of the materials at his command and unless it can be stated that the formation of the belief is perverse in the sense no reasonable person could on the available material on record form such a belief, the court would not interfere with the notice for reopening. - Petition dismissed. - Special Civil Application No. 10745 of 2016 - - - Dated:- 11-9-2017 - MR. AKIL KURESHI AND MR. BIREN VAISHNAV, JJ. For The Petitioner : Mr Tushar P Hemani, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ings of the case are as under: 1. Grounds of Suspicion:- M/s. S.R. Sales Corporation maintained an current account No. 073305000084. The account has been triggered for large value cash transaction. On 17 December 2009 there were large cash withdrawal amounting to ₹ 30,00,000/- lacs. It is observed that the customer is getting money from its other account which is 0172050048255 and a/c of another customer in the name of M/s. Sharda Traders. The customer initially used to get the fund transferred from these 2 accounts and withdraw it is cash in the amounts close to ₹ 9 lakhs. Customer also receives RTGS. 2. Report :- 2.1 Account statement of account Nos 73305000084, 430002101007301, 17205004589 017205004822 of M/s. S.R. Sales Corporation, Shop No. 52-B, Anaj Mandi, Fatehabad were obtained from ICICI Bank Ltd. On enquiry it was reported by ICICI Bank Ltd. account No. 017205004822 of M/s. S.R. Sales Corporation (mentioned in STR) does not exist/incorrect . The transactions of F.Y. 2008-09 are being reported being barred by limitation of time as on 31.03.2016 and report w.r.t F.Y. 2009-10 2010-11 will be submitted later on after completion of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee appeared nor any written reply was filed. Once again, summons was issued vide no. 166 dated 13.08.2015 at the business premises of M/s. S.R. Sales Corporation at Shop No. 52-B, Anaj Mandi, Fatehabad giving an opportunity to furnish the information by 25.03.2015. But again assessee failed to furnish any reply. From the local enquiries it is also revealed that no such concerns are existing at the given addresses. Further, this office has issued summons vide letter No. 310 490 dated 02.11.2015 27.01.2016 respectively to Sh. Milakh Raj prop, of M/s. SR Sales Corporation R/o No. 407, VPO, Kalpdha, Dist. Fatehabad. The above mentioned summons were received back from the Postal Authorities with me remarks that Assessee not found at home and others refused to receive . Again fresh Summons vide letter No. 491 492 dated 27.01.2016 were issued to Sh. Milakh Raj at Anaj Mandi, Ukalana M/s. S.R. Sales Corporation. But both the summons were received back from the postal authorities with remarks Assessee not found at home and others refused to receive . Summons vide no. 594 dated 01.03.2016 was also issued to the Principal Officer, M/s. Sharda Traders, SCF, IInd Addl. Mandi, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ad escaped assessment. Such information was unearthed subsequent to the passing of the order of assessment. There was a clear failure on the part of the assessee to disclose truly and fully all material facts. The Assessing Officer having recorded proper reasons and issued the impugned notice, at this stage, the court would not examine the sufficiency of such reasons in the context of testing the formation of the belief of the Assessing Officer that income chargeable to tax had escaped assessment. 5. The reasons recorded by the Assessing Officer suggest that according to him the purchases made by the assessee from one S.R Sales Corporation were bogus. We may record that the purchases by the assessee from S.R. Sales were admittedly not part of the original assessment proceedings. In that view of the matter, the Assessing Officer not having scrutinized these purchases, he had no information on the genuineness of such sales and the question of change of opinion therefore would not arise. While examining the reasons recorded we would also bear in mind that in the present case, the notice for reopening the assessment has been issued beyond a period of four years from the end of relev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to tax had escaped assessment. The reasons recorded must be seen in entirety pointing out that there were serious infirmities noticed in the transactions of M/s. S.R. Sales Corporation. Substantial amounts were received from various sources in the bank accounts which were withdrawn in cash shortly after receipt. Summons issued by the department were not responded. Even the entity was not found existing at the given address. The proprietor of the concern could not be served since he was not found at the address supplied and the rest of the members present refused to accept the summons. Genuine and repeated efforts were made by the department to serve the summons to the said entity to produce documents and information. No response was received from M/s. S.R. Sales Corporation. Independently of the non service or non response to the summons by M/s. S.R. Sales Corporation, there were other transactions which clearly prima facie indicate being dubious. The petitioner assessee had paid a sum of ₹ 4.48 crores to the said concern by way of purchases. 8. Undisputedly, these transactions were not examined by the Assessing Officer during the original assessment proceedings though he ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
