Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2018 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (4) TMI 43 - AT - Income TaxReopening of assessment - eligible reasons to believe - no allegation against the petitioner of failing to disclose fully and truly all material facts - pre-requisite for issuing notice u/s 148 - unexplained receipt of share capital - Held that:- No reassessment framed under Section 143(3) will be reopened after a period of 4 years unless AO record a satisfaction that on the basis of the information received that he is of the view that there is a failure on the part of the assessee. Not mentioning of this formation of belief that there is a failure on the part of the assessee, in the reasons, means that AO has not applied his mind on this aspect and merely on the receipt of the information from Investigation Wing, he has straight away reopened the assessment. In the present case, in the absence of any such satisfaction being recorded that there was a failure on the part of the assessee to disclose fully and truly all material and facts which led to escapement of income, it is of the view that reopening of the assessment framed originally under Section 143(3) after a period of 4 years will be barred by limitation For unexplained receipt of share capital addition there is a difference in making an allegation and sustaining the allegation. On the basis of allegation, the AO can carry out the investigation but the addition can be sustained only when there are sufficient evidences to support the allegation. In the present case, it is of the view that the assessee has fairly discharged this onus. - Decided in favour of assessee
|