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2019 (1) TMI 1877 - AT - Income TaxReopening of assessment u/s.148 - addition on account of share capital and premium u/s.68 and addition on account of unexplained expenditure for obtaining the accommodation entry - HELD THAT:- Assessing Officer in the reasons for reopening of the assessment has also mentioned above information regarding accommodation entries of bogus purchases through bills without any delivery of goods by M/s. Maa Durga Trading Company. However, in the assessment order no such addition have been made by the Assessing Officer, because nothing adverse was found against the assessee. Payment for purchase could not be regarded escaped income u/s.148 of IT Act. AO without verifying an information against the assessee merely acted on suspicion against assessee. The Assessing Officer without application of mind recorded the reasons for reopening of assessment. No specific material has been brought on record to justify reopening of the assessment, therefore, Assessing Officer has not validly assumed jurisdiction u/s.148 of the IT Act for reopening of the assessment in the matter. The documentary evidence filed on record also proved that assessee proved identity of the investor company, its creditworthiness and genuineness of the transaction in the matter. There was thus no justification to make any addition against the assessee. No evidence have been brought on record if assessee paid any amount as commission etc. for obtaining any accommodation entry. The issues are therefore covered by order of A.P. Refinery Pvt. Ltd.[2016 (5) TMI 55 - ITAT CHANDIGARH]. The decisions cited by ld. D.R. in the written submission would not support case of the Revenue. Appeal of the assessee is allowed.
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