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2018 (12) TMI 1073 - ITAT DELHIReopening of assessment - information received by the AO from the Investigation Wing that the Assessee had obtained accommodation entries from certain entry operators during the relevant period - Held that:- As decided in M/S. MULTIPLEX TRADING & INDUSTRIAL CO. LTD. [2015 (10) TMI 23 - DELHI HIGH COURT] this Court in M/s Haryana Acrylic Manufacturing Co. (P) Ltd. (2008 (11) TMI 2 - DELHI HIGH COURT) had observed that the requirements regarding recording the reasons to believe; communicating the same to the Assessee; permitting the Assessee to file the objections; and passing a speaking order disposing of the objections are all designed to ensure that the AO does not reopen assessments, which have been finalized, on his mere whim and fancy and that he does so only on the basis of lawful reasons. A deviation from the directions issued by the Supreme Court in G.K.N Driveshafts (India) Ltd. [2002 (11) TMI 7 - SUPREME COURT] would entail nullifying the proceedings. Although the AO is required to provide reasons, receive objections and pass a speaking order thereon, only after the notice under Section 148 of the Act has been issued; these requirements are an integral part of the safeguards which have been inbuilt for ensuring that the assessments are reopened only for lawful reasons and in a transparent manner. If the said safeguards are flouted, it would invalidate the exercise of jurisdiction under Section 147 and 148 - Decided in favour of assessee.
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