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2013 (5) TMI 612 - HC - Income TaxReopening of assessment - commission income was not declared in the return of income filed by the assessee - extended period of limitation invoked - a list was sent by the Additional Director of Investigation-VI, New Delhi revealed that the assessee had provided a large number of accommodation entries to other beneficiaries from its bank account - ITAT quashed reassessment proceedings - review petition - Held that:- Once it is conceded on behalf of the revenue that the list was not produced before this Court at the time of the hearing of the appeal and is only being produced along with the review petition after locating the same in other files subsequently, then there is no merit in the review petition. This Court had perused the reasons recorded but the list was not found to be part of the assessment record which was seen by this Court. This Court had also noted – “shockingly” – that the assessment record did not contain even the forwarding letter alleged to have been written by the ADIT to the assessing officer. It was open to the revenue to produce the list when the appeal was heard by this Court, though it would have been even then a matter of debate as to whether, in the absence of the list in the assessment record of the assessee, the reasons for reopening the assessment can be said to have been properly recorded by relying on a list which is not found in the assessment record. The prime requirement for the validity of a notice issued under section 148 is that the reasons recorded should have a live link or nexus with the material on record. This Court on an examination of the assessment record did not find therein the list on the basis of which the reasons were recorded. No merit in the review petition
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