Home
Forgot password New User/ Regiser Register to get Live Demo
2019 (12) TMI 1339 - AT - Income TaxValidity of reopening of assessment - reopening on the basis of audit objections raised by the Department audit officer - non Independent application of mind - no interest was charged on debit balance of the partner's (Shri Apurva Jagdish Nanavati) capital account - CIT-A quashed reopening notice - HELD THAT:- CIT(A) has passed a very reasoned and detailed order wherein it has been stated that AO himself has not accepted the audit objection and thus on the basis of same reason the AO could not have reason to believe that income has escaped assessment. CIT(A) has held that AO has acted at the behest of the audit party without applying his own mind and thus quashed the assessment on the technical and legal issue. In the case of ICICI Home Finance Co. Ltd. vs. ACIT [2012 (8) TMI 312 - BOMBAY HIGH COURT] has held that there was no application of mind by the AO as the reasons recorded by the AO were identical to objections of the audit party and existing material was already on record and accordingly notice under section 148 was held to be without jurisdiction. Supreme Court in the case of Pr. CIT vs. S. Chand & Co. Ltd. [2018 (11) TMI 1067 - SC ORDER ] has held that reassessment proceedings based on the audit objection can not be sustained - Decided in favour of assessee.
|