9911796707
TMI Blog2024 (4) TMI 346X X X X Extracts X X X X X X X X Extracts X X X X ..... tion of belief for the ld AO to conclude that income of the assessee had escaped assessment. Under these circumstances alone, the assessment could be reopened by the ld AO. This view of ours is fortified by the decision of Kelvinator of India Ltd [ 2010 (1) TMI 11 - SUPREME COURT] . Admittedly, in the instant case, the reopening has been triggered only on reappraisal and re-verification of Form 26AS of the assessee which was very much available before the ld AO during the course of original assessment proceedings itself and there was absolutely no fresh information or tangible material that had come into the possession of the ld AO subsequent to conclusion of original assessment u/s 143(1) - Grounds raised by the revenue are dismissed. X X X X Extracts X X X X X X X X Extracts X X X X ..... ef about escapement of income could be formed. 3. On the facts and in the circumstances of the case and in law, the Ld. CIT(Appeals) has grossly erred in holding that the information / material on the basis of which the Assessing Officer has formed a belief about escapement of income of Rs. 4,28,880/- was already available in the assessment records as there was no assessment in the case of the assessee within the meaning of Section 2(8) of the Income-tax Act, 1961 and there was no application of mind as the return filed by the assessee for A.Y.2009-10 on 25.07.2009 was only processed u/s 143(1) of the Income-tax Act, 1961. 4. On the facts and in the circumstances of the case and in law, the Ld. CIT(Appeals) has grossly erred in holding ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6,358/- u/s 143(3) read with section 147 of the Act on 29.12.2016. Before the ld CIT(A), the assessee challenged the validity of reopening of assessment as well as the additions made by the ld AO on merits. The ld CIT(A) quashed the reassessment proceedings stating that the ld AO did not have any tangible material with him which would enable him to form a belief that income of the assessee has escaped assessment. The categorical findings recorded by the ld CIT(A) in this regard are reflected at para 4.5 and 4.6 of his order which is reproduced herein for the sake of convenience:- 4.5 From the above, it is clear that the AO was not having any tangible material in his possession for the purpose of initiating the reassessment proceedings in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the jurisdiction u/s 147 of IT Act. 4.6 In view of the above, it is held that neither the AO was having any tangible material in his possession nor could he establish any live link between the said material and formation of belief in the case of appellant. He has merely verified and reviewed the information already available in records and formed a belief that the income has escaped assessment on the case of the appellant. In such situation, the initiation of assessment proceedings u/s 147 of the Act and issuance of notice u/s 148 of the Act are not valid in the case of appellant. Consequently, the reassessment proceedings in the said section are also held invalid. It is, therefore, held that reopening of assessment proceedings and subse ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Admittedly, in the instant case, the reopening has been triggered only on reappraisal and re-verification of Form 26AS of the assessee which was very much available before the ld AO during the course of original assessment proceedings itself and there was absolutely no fresh information or tangible material that had come into the possession of the ld AO subsequent to conclusion of original assessment u/s 143(1) of the Act. We hold that the ld CIT(A) had rightly quashed the reassessment proceedings on which we do not deem it fit to interfere. Accordingly, grounds raised by the revenue are dismissed. 7. In the result, the appeal of the revenue in ITA No. 4491/Del/2019 is dismissed. 8. Since, the entire reassessment proceeding is quashed, t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
