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2021 (10) TMI 912 - ITAT KOLKATARevision u/s 263 by CIT - Reopening of assessment u/s 147 initiated - huge value of deposits were made in the bank account of one company called M/s. Miracle and thereafter the money was transferred to some third party account and that further investigation had revealed that large amount of money was routed to the assessee company - whether the AO had the requisite jurisdiction to re-open/re-assess the escaped income of the assessee? - HELD THAT:- Foundation on which the reason to believe escapement of income by the AO to issue notice u/s. 148 of the Act on 17.03.2017 itself was on wrong assumption of fact as is evident from the finding of fact by the Ld. PCIT that no money from M/s Miracle has been routed to the assessee company directly or indirectly whereas the foundation fact on the basis of which reopened the assessment as is evident from the reasons recorded was that high value of money was deposited in the bank account of M/s Miracle which in-turn has been routed to the assessee through third party in the form of share subscription to the tune of ₹ 8.34 crores which fact was found by Ld. PCIT to be absent. So, the AO’s belief of escapement of income was on wrong assumption of facts and so invocation of reopening jurisdiction by issue of notice u/s 148 of the Act is bad in law and, therefore, the consequent re-assessment order dated 29.12.2017 of the AO is a nullity and, therefore, the order of the Ld. Pr. CIT to interfere in the order of the AO dated 29.12.2017 u/s. 144/147 of the Act is also a nullity and, therefore, the action of the Ld. Pr. CIT to invoke his jurisdiction u/s. 263 of the Act itself was without jurisdiction - Decided in favour of assessee.
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