9911796707
TMI Blog2018 (4) TMI 1960X X X X Extracts X X X X X X X X Extracts X X X X ..... has raised the following grounds of appeal :- "1.1 That on the facts and in the circumstances of the case, the learned CIT(A) erred in confirming the reassessment proceedings as started by the ld. A.O. u/s 148 of the Income Tax Act without properly appreciating the facts of the case and submission made before him. The said proceedings as started by A.O. and confirmed by the CIT(A) are illegal and bad in law. The reassessment proceedings so initiated and assessment framed thereon requires to be quashed. 1.2 That on the facts and in the circumstances of the case, the learned CIT(A) erred in confirming the other additions as made by the ld. A.O. while passing the order u/s 143(3) of the Act even when no addition was made in respect of re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 30.9.2009. The return was processed u/s 143(1)(a) of the Act. Subsequently, as per the AIR information the Assessing Officer noticed that during the F.Y. 2008-09 the assessee has deposited cash of Rs.17,92,600/- in the saving bank account of Union Bank of India, Neemuch Branch. The Assessing Officer accordingly issued notice u/s 148 of the Act for initiating reassessment proceedings u/s 147 of the Act. During the course of assessment proceedings the Assessing Officer was satisfied that the alleged cash deposit was actually the sales which were deposited in cash in the bank account of sole proprietor and thereafter cheques were issued in the account of the proprietorship concern. The learned Assessing Officer made certain disallowances o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d that the return of income filed on 30.9.2009 was processed u/s 143(1)(a) of the Act which means that there was no scrutiny of accounts and records of the assessee. Subsequently, the Assessing Officer received information on the basis of AIR received by the Income Tax Department which revealed that during the F.Y. 2008-09 total cash of Rs. 17,92,602/- has been deposited in the savings bank account of the assessee held with Union Bank of India, Neemuch. In our view, this information supported by the material; evidence in the shape of AIR information was sufficient enough for the Assessing Officer to issue notice u/s 148 of the Act. The action taken by the Assessing Officer further seems to be correct because the alleged cash was deposited i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any addition on the count of alleged cash deposit, further scrutinised the account books and without pointing out any specific mistake made an ad hoc disallowance of 15% of various expenses treating them to be personal in nature. Similarly, addition for household withdrawals was made just for the lack of information to be received by the assessee. In our view, to make such disallowances the Assessing Officer should have made a test check of the bills and vouchers and should have brought on record sample of such expenditure which were personal in nature and had been booked as business expenditure. However, in the instant case, no such finding has been brought on record by the Assessing Officer. We, therefore, find no basis for the disallowan ..... X X X X Extracts X X X X X X X X Extracts X X X X
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