Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2024 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2024 (5) TMI 296 - ITAT MUMBAIReopening of assessment - Reasons to believe - ACIT jurisdiction to issue the notice u/s 148 - notice was issued by another officer (i.e. ACIT) while jurisdiction over the case was with ITO - HELD THAT:- AO had recorded the reasons to believe based on the specific and credible information received from the Investigation Wing of the department which prima facie showed escapement of income. Reasons recorded were duly furnished to the appellant. Since the return of income u/s. 139(1) was filed at an income of Rs. 53,77,300/-. (well above the prescribed monetary limits) the ACIT had jurisdiction to issue the notice u/s. 148 of the I.T. Act. Necessary approval has also been taken from the Competent authority. Subsequently, the case was transferred u/s. 127 from ACIT Circle 1(1), Mumbai to ITO Ward (1)(1), Mumbai. As such the grounds of appeal relating to reopening of assessment and the procedure followed are found to be without merit and hence rejected. Estimation of income - bogus purchases - HELD THAT:- AO has rightly held that books of accounts are not reliable and, after rejecting the same, made as addition of 30% of the disputed purchase amount. The CIT(A) has sustained the addition to the extent of 12.5% of total disputed purchases. The same is considered reasonable and is therefore upheld. Assessee appeal dismissed.
|