9911796707
TMI Blog2022 (8) TMI 760X X X X Extracts X X X X X X X X Extracts X X X X ..... and re assessment proceeding violate fundamental right of the petitioner guaranteed under Article 14 and 21 of the Constitution of India. Since despite time granted for the last more than one month, no counter affidavit has been filed by the respondent nos. 2,3 and 4, therefore, we direct the respondent no.1 to file counter affidavit by means of his personal affidavit along with copies of the evidences of cash deposit by the petitioner in his bank account. The respondent no.1. shall also clearly state in his affidavit justification, if any, for initiation of the reassessment proceedings against the petitioner under the facts and circumstances of the case. Respondent No.1 shall further state the action he proposes to take against the respondent Nos. 2, 3 and 4 in case he finds that there was absolutely no valid material before the Assessing Officer for reason to believe that income of the petitioner has escaped assessment to tax. The respondent Nos.2, 3 and 4 shall also file a detailed counter affidavit annexing therewith the evidence of cash deposit by the petitioner in his bank account. On the next date fixed, the respondents shall also produce records before this court rela ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... phs-4.1 and 5 of the aforesaid draft assessment order/ show cause notice, the respondent No.4 has alleged as under: 4.1 As per record / information available with the Department it is seen that during the financial year 2016-17 relevant to A.Y. 2017-18 there are cash deposits of Rs.13,67,24,000/- made by the assessee firm at Bank of Baroda, Kanpur, which is not commensurate with turnover and return of income filed by the assessee, firm. Hence cash deposits of Rs. 13,67,24,000/- made by the assessee is added to the total income of the assessee as income u/s. 68 of the Income lax Act, 1961 as unexplained cash credit. Penalty u/s 271AAC(1) of the I.T. Act, 1961 is initiated in respect of certain income. [Addition: Rs. 13,67,24,000/-] 5. Subject to the above discussion, total income of the assessee is computed as under: Total Income declared as per return Rs. 11,55,020 As discussed in para 4.1 Rs. 13,67,24,000/- Total Assessed Income Rs. 13,78,79,020/- 4. The petitioner submitted a reply dated 25.03.2022 to the aforesaid show cause notice. In p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d upon the assessee. 4. The assessee furnished details and submitted explanation which are considered. 4. FACTS OF THE CASE: 4.1 As per record / information available with the Department it is seen that during the financial year 2016-17 relevant to A.Y. 2017-18 there are cash deposits of Rs13,67,24,000/- made by the assessee firm at Bank of Baroda, Kanpur, which is not commensurate with turnover and return of income filed by the assessee, firm. Hence cash deposits of Rs13,67,24,000/- made by the assessee is added to the total income of the assessee as income u/s. 68 of the Income Tax Act, 1961 as unexplained cash credit. Penalty u/s 271AAC(1) of the I.T. Act, 1961 is initiated in respect of certain income. [Addition: Rs. 13,67,24,000/-] 5. Subject to the above discussion, total income of the assessee is computed as under: Total Income declared as per return Rs. 11,55,020 As discussed in para 4.1 Rs. 13,67,24,000/- Total Assessed Income Rs. 13,78,79,020/- 6. Subject to the above, the total income of the assessee for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... made in the income of the petitioner for the A.Y. 2017-18 without there being any material disclosing escapement of income by the petitioner. The petitioner has been continuously bringing it to the notice of the respondents that he has not deposited any amount in his bank account i.e. Bank of Baroda and also filed copy of the bank account, a copy of which has also been filed along with supplementary affidavit; and yet the respondents have made addition of Rs. 13,67,24,000/-. Basic principles of rule of law and justice has been deliberately denied to the assessee by the respondents. This prima facie shows conscious attempt to cause serious harassment to the assessee for reasons best known to the respondents. We are frequently coming across orders passed by the respondents including the National Faceless Assessment Centre which show that the respondents have made up their mind to act arbitrarily and not to adhere to the settled principles of law including natural justice and are passing reassessment orders in a whimsical manner. Such prevailing situation causing serious prejudice to the assessees and flagrant violation of basic principles of law by the respondents, needs to be ar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e aforesaid Bank. Copy of the bank account has already been filed along with certificate of Chartered Accountant with supplementary affidavit dated 30.05.2022, yet the respondents have neither replied the contents of the writ petition nor the contents of the supplementary affidavit. 6. A short counter affidavit has been filed by the respondents. Even in the short counter affidavit, the respondents have not filed any evidences which may even indicate remotely that any cash was deposit by the petitioner in his Bank account with Bank of Baroda, Shivrajpur Branch, Kanpur. Thus, the initiation of re assessment proceedings and the impugned assessment order are not only without jurisdiction and perverse but also, the impugned reassessment order and re assessment proceeding violate fundamental right of the petitioner guaranteed under Article 14 and 21 of the Constitution of India. 7. Since despite time granted for the last more than one month, no counter affidavit has been filed by the respondent nos. 2,3 and 4, therefore, we direct the respondent no.1 to file counter affidavit by means of his personal affidavit along with copies of the evidences of cash deposit of Rs.13,67,24,000/- ..... X X X X Extracts X X X X X X X X Extracts X X X X
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