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2016 (9) TMI 655 - AT - Income TaxReopening of assessment - Held that:- As far as arguments of the ld.counsel for the assessee that there is no quantification of escaped income in the reasons recorded by the AO is concerned, we find no substance in it, because, the AO has duly quantified the income in Column no.6 and this complete form is in accordance with law and part of the reasons recorded by the AO. It contained various details i.e. name and address of the assessee, PAN, status, assessment year and many other things. From the reasons, one has to find out whether the AO was possessing any information which could enable him to harbor a belief that the income has escaped assessment. On complete reading of the reasons, it is ascertainable that income has escaped assessment in the case of the assessee. As far as the objection with regard to territorial jurisdiction of the AO is concerned, as find that ITO, Ward-10(4) has recorded reasons, because, the transaction was carried out from address situated within his territorial jurisdiction. Moment, the assessee appraised him about his new address, jurisdiction to the AO having territorial jurisdiction over new address has been given. No prejudice is being caused to the assessee on the basis of this procedure. bogus accommodation entries with regard to short-term/long term capital gain/loss - Held that:- The AO has directed the assessee to produce evidence demonstrating the genuineness of this transaction. The assessee failed to produce any documents. Firstly, onus is upon the assessee to demonstrate that his claim towards long term capital gain is a genuine claim. The AO has not made reliance either upon the statement of Mukesh Chokshi or any other information from Mahasagar Securities Pvt. Ltd. He has made reference to the facts and circumstances revealed during the course of search, but he has deducted defects in the conduct of the assessee only. In para-13, he has specifically mentioned that the assessee has not submitted delivery notes, issued by Goldstar Finvest P.Ltd. indicating that the assessee has purchased shares. The assessee has not produced DEMAT account, and thereafter an additional circumstances was mentioned by the AO that Buniyad Chemicals went into liquidation and it was wound up on 9.7.1999. According to the AO no prudent businessmen would purchase shares of such company, and that will ever generate profit to an assessee. The assessee failed to produce share certificate numbers, distinctive numbers and how these shares were dealt with. In other words, nothing has been brought on record for justifying the transaction. Even if for arguments sake, the contention made by the assessee that no opportunity to cross-examination was given, and therefore, that material is excluded is accepted, then also it would come that ld.AO did not rely upon on those evidence. There is no evidence produced by the assessee to justify the genuineness of his transaction. In the present case, assessee failed to discharge his primary onus of establishing claim of genuine capital gain. - Decided against assessee.
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