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TMI Blog2022 (2) TMI 1457X X X X Extracts X X X X X X X X Extracts X X X X ..... ] relied upon by the Ld. DR, the Hon ble Supreme Court has discussed the issue of denial of natural justice to the assessee and invoking section 149(1)(c) by the AO while dealing with the objection of the assessee to the reopening proceedings. In the case of Soignee R. Kothari [ 2016 (12) TMI 59 - BOMBAY HIGH COURT ] also the writ filed by the assessee against the reassessment proceedings was dismissed by the Hon ble High Court on the ground that the assessee did not co-operate in giving consent waivers for obtaining copy of the accounts. Therefore, the ratio of the said decision also does not apply in the case of the assessee. We do not find any error in the order of Ld. CIT(A) on the issue in dispute and accordingly, we uphold the same. The grounds raised by the Revenue are dismissed. - SHRI OM PRAKASH KANT (ACCOUNTANT MEMBER) AND SHRI PAVAN KUMAR GADALE (JUDICIAL MEMBER) For the Revenue : Mr. Sunil A. Umap, CIT-DR For the Assessee : Mr. Dilip Thakkar, AR ORDER PER OM PRAKASH KANT, AM This appeal has been preferred by the Revenue against the order dated 26th November 2019 passed by the Ld. Commissioner of Income Tax (Appeals)- 54, Mumbai [in short CIT(A) ], for assessment year ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... aintained with HSBC Bank Geneva received under exchange of information from French Authorities through GIT (Inv) Mumbai is independent of the maturity proceeds of Resurgent India Bonds (RIB) contrary to the claim made by the assessee Smt Indira D Thakkar. And in fact the two have no correlation and are therefore separate amounts. And therefore are to be treated separately and independently for the purpose of taxation. iv. That the Chhaganlal Suchak Family Trust (CSFT) is created by the assessee Smt Indira D Thakkar in collusion with his family member and in laws as special purpose vehicle to channelize the unaccounted income and park it outside India in the HSBC Bank Geneva. 9.10. Therefore, the Chhaganlal Suchak Family Trust is merely a colourable device only to route unaccounted money through RIB channel. Apparent is not real is to be proved by the assessee. In this case the assessee has failed to adduce any corroborative evidence in support of the contention that the maturity proceeds of the RIB not linked with the Chhaganlal Suchak Family Trust created and the assessee herself was the trustee thereof not only that but the reliance is also placed in judgment of Hon ble Supreme C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of 16 years does not apply to this case. In the light of the judgments of the Hon'ble Delhi High Court and the Hon'ble Supreme Court (supra), reopening proceedings which are beyond the relevant period are quashed. 4. Before us, the Ld. Departmental Representative (DR) relied on the decision of the Hon ble Supreme Court in the case of New Delhi Television Ltd. v. DCIT [2020] 116 taxamnn.com 151 (SC) and decision of Hon ble Bombay High Court in the case of Soignee R. Kothari v. DCIT, Central Circle-8(3), Mumbai [2017] 81 taxmann.com 340 (Bombay). 5. Whereas on the other hand, the Ld. counsel of the assessee relied upon the order of Ld. CIT(A) and submitted that decision cited by the Ld. DR are not applicable in the instant case. 6. We have heard rival submissions of the parties on the issue in dispute and perused the relevant material on record. The only dispute is whether in the case of the assessee, the assessment for AY 1999-2000 can be reopened beyond six years invoking provisions of section 149(1)(c) of the Act. Under the provision of section 149(1)(c), in the case of detection of foreign assets, assessment can be reopened upto a period of 16 years from the end of the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntioned, then the notice can be said to be a notice under the provision which empowers the revenue to issue such notice. There can be no quarrel with this proposition of law. However, the noticee or the assesee should not be prejudiced or be taken by surprise. The uncontroverted fact is that in the notice dated 31.03.2015 there is no mention of any foreign entity. There is only mention of the Section 148. Even after the assessee 6 (1978) 2 SCR 272 specifically asked for reasons, the revenue only relied upon facts to show that there was reason to believe that income has escaped assessment and this escapement was due to the nondisclosure of material facts. There is nothing in the reasons to indicate that the revenue was intending to apply the extended period of 16 years. It is only after the assessee filed its reply to the reasons given, that in the order of rejection for the first time reference was made to the second proviso by the revenue. 41. In our view this is not a fair or proper procedure. If not in the first notice, at least at the time of furnishing the reasons the assessee should have been informed that the revenue relied upon the second proviso. The assessee must be put t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ari (supra) is reproduced for ready reference : 11. However, on enquiry by the Revenue from HSBC, Geneva, it was learnt that a modified Consent Waiver Form would not enable the bank to give copies of the bank statement of A/c. No. 5091404580 since the Waiver would have to be provided without modifications. We notice that the principal contention of the Petitioner before us has been that she is nonresident and it is only her income which is received or accrued or arising in India which can be brought to tax under the Act. Thus, it is submitted that it is for the Revenue to establish that the income had accrued or arisen in India which was lying on 26th March, 2006 in A/c. No. 5091404580 in HSBC, Geneva. We find that the Petitioner and/or her uncle Dilip Mehta i.e. Executor of the Estate of late Ramniklal N. Mehta who could probably amongst others be able to produce copies of the bank statement either by giving a Consent Waiver Form to the Income Tax Department or in the alternative Mr. Dilip Mehta could instruct the Director of M/s. White Cedar to apply for and furnish to him copies of the bank statement in A/c. No. 5091404580 of HSBC, Geneva. The fact that it is within the authorit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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