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2020 (11) TMI 222 - ITAT DLEHIReassessment proceeding u/s 148 - accommodation entries received - Notice on the basis of the information of ADIT (Inv.)-Unit- 2(1), New Delhi - as argued mechanical approval granted by the Pr. CIT u/s 151 - HELD THAT:- There is no whisper in the recorded reason that there was any omission or failure on the part of the assessee in disclosing fully and truly material facts in the return of income. The contentions of the Ld. AR that the information received by the AO nowhere in reasons recorded mentioned the name of the bank, cheque number through which assessee have received the amount from the parties, appears to be correct in our opinion. In reasons recorded, AO has merely mentioned that the assessee received ₹ 45,00,000/- as share capital but from whom the same has been received is not mentioned in the said reasons. In reasons recorded, it is mentioned that the AO has the information that the assessee received ₹ 65,00,000/- from Focus Industrial Resources Ltd. while addition to share capital & share premium shows that the assessee company has received the accommodation entry of at least ₹ 45,00,000/- from various entities as bogus share capital & share premium during the year. But the Assessing Officer has not made out any case from the transaction specific valid material which can justify the reopening action u/s 148 - Reassessment cannot be merely based on the basis of the information of ADIT (Inv.)-Unit-2(1), New Delhi. Such reassessment shall not be valid as the Assessing Officer held no belief on his own at any point of time, that income of assessee has escaped assessment on account of non disclosure of the relevant income. The reasons recorded must be based on evidence. The reasons recorded by the Assessing Officer cannot be supplemented by assessment order, otherwise, the reasons which were lacking in the material particulars would get supplemented, by the time the matter reaches to the Court, on the strength of assessment order - reasons of the Assessing Officer for reopening should be based on direct and circumstantial evidence. All these aspects are missing in the reasons recorded in the present assessee’s case - Decided in favour of assessee.
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