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TMI Blog2024 (4) TMI 403X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Income Tax Act, 1961 (hereinafter referred to as "the Act"), dated 15.11.2019. 2. The grounds of appeal raised by the assessee are as follows: "1) On the facts and in the circumstances of the case, as well as law on the subject, The learned Commissioner of Income Tax(Appeals), NFAC has erred in validating reopening of assessment u/s. 147 even if the notice issued u/s. 148 of the Act is bad in law and without jurisdiction. 2) On the facts and in the circumstances of the case as well as law on the subject, the learned commissioner of the Income Tax (Appeals), NFAC has erred in confirming total addition of Rs. 14,50,659/- out of which the addition of Rs. 10,59,000/- was on account of cash deposit in bank & Rs. 3,91,659/- was on acc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of income in response to notice under section 148 within the time limit prescribed in the said notice. Thereafter, assessing officer has issued five notices of hearing, however, the assessee did not make the compliance. Therefore, assessing officer noted that the assessee has failed to furnish any details relating to business activities undertaken by the assessee, nature of Income earned, details of bank accounts, details of cash deposits made in the bank accounts, sources of cash deposits and details of interest earned with Dena bank. In absence of requisite details/explanation the Assessing Officer is left with no option but to complete the best judgment assessment on the basis of material evidences gathered during the assessment proceed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t filed Income Tax Return (ITR), not declared his true income and has not paid taxes due thereon. The Assessee has not responded to notices issued u/s 148/142(1) of the Act and show cause notice issued during assessment proceedings. The Assessee also failed to give any explanation about the nature and source of all credit entries (Including cash deposits), hence the value of credit entries Rs. 17,87,146/-, appearing in the Bank Account, were treated by the assessing officer as unexplained money u/s 69A of the Income Tax Act, 1961 and added to the total income of the assessee. 6. Aggrieved by the order of the Assessing Officer, the assessee carried the matter in appeal before the ld. CIT(A), who has dismissed the appeal of the assessee on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ch has been redeposited in the bank account and hence it is explained. However, the same is not convincing argument, as it is not clear what was the purpose for withdrawal and why withdrawals were not utilized for any other purpose but were kept with him. Why there was delayed redeposit, were part withdrawals utilized eg. for specific purpose such as construction/ renovation of property, then evidence of such construction/ renovation having been carried out, if after withdrawal it was given to somebody else as loan or deposit, or advance, then complete evidence regarding identity of the person, his confirmation of accepting and returning money; if given on interest, then offering interest income for taxation. Nothing is available on record ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sented proof on record which has not been controverted in any manner in remand report also. In view of the same, addition will reduce by that amount." 8. Therefore, the ld CIT(A) sustained the addition to Rs. 14,50,683/- (Rs. 17,87,146- Rs. 3,20,999- Rs. 5,455- Rs. 10,009). 9. Aggrieved by the order of ld. CIT(A), the assessee is in further appeal before us. 10. Learned Counsel for the assessee has argued that notice issued under section 147/148 and the reasons recorded by the Assessing Officer were bad in law. The Ld. Counsel submitted that Assessing Officer, although mentioned in the assessment order that notice under section 148 was issued, however no any notice under section 148 was issued to the assessee, therefore appeal of the ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the facts of the case including the findings of the ld. CIT(A) and other material brought on record. We have gone through the assessment order and noted that the reason recorded in the assessment order clearly shows that income has escaped assessment. The Assessing Officer, having gone through the information and the bank statement concluded that the income has escaped assessment and therefore the reasons were recorded by the Assessing Officer based on tangible material, which are valid reasons for reopening the assessment. We note that the case laws relied by the Ld. Counsel for the assessee, are not squarely applicable to the facts of the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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