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2018 (11) TMI 1599 - AT - Income TaxValidity of reopening of assessment u/s 147 - assessee not filed return of income u/s 139(1) - AO on the basis of AIR information found that the assessee has deposited cash amounting to more than ₹ 10,00,000/- in his bank account - borrowed satisfaction - non independent application of mind by AO - HELD THAT:- The provision of Section 147 of the Act requires forming a belief on tangible material which should provide live link i.e. the income of the assessee has escaped assessment. In the case before us, the material which was available with the AO was AIR information which in our considered view does not establish the fact that the income of the assessee has escaped assessment. See BIR BAHADUR SINGH SIJWALI VERSUS INCOME TAX OFFICER WARD 1, HALDWANI [2015 (2) TMI 60 - ITAT DELHI] AO has not applied his mind to reach to the conclusion that the income of the assessee has escaped assessment. The AO initiated proceedings u/s 147 of the Act merely on the basis of AIR which in our considered view is not sufficient material for initiating the proceedings under section 147 of the Act. - decided in favour of assessee.
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