Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2019 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2019 (5) TMI 1597 - AT - Income TaxReopening of assessment u/s 148 - information received from DDIT Investigation - Borrowed information - unexplained sources of funds from which the assessee has made donations for his daughter - HELD THAT:- A perusal of the certificate shows that the tuition fees for the first year is ₹ 4 lacs and the total tuition fees for the entire course of four and half years is 18 lacs. I find that neither the A.O nor the CIT(A) has made any enquiry from the Institution regarding this certificate. Thus, the AO has acted mechanically and without any independent application of mind. It is also evident that while alleging cash payment , it is not even known or stated on which date and on what basis such sums was allegedly paid by assessee; the reasons recorded are therefore vague, highly non specific and reflect complete non-application of mind. That reasons recorded are 'reason to suspect' and, is a mere attempt to carry out fishing and roving expedition. It is also noted that in the absence of specific and incriminating material much less tangible and, relevant material to form even prime facie belief that there was alleged payment is also apparent from the fact that the alleged document found and seized during the course of search/survey action u/s 132/133A does not reflect any figure and in the absence of any independent enquiry or examination of facts on record or noticing the content of alleged documents in the reasons recorded and, reasons being silent as to the specific facts, the vague allegation shows that action has been taken mechanically on the basis of alleged report of investigation wing, and, not on independent application of mind and therefore on this ground too, the proceedings are without jurisdiction. It is also noted that there is no live link or direct nexus between alleged material and, inference. It is a case of investigation in the garb of action u/s 148 on the basis that proceedings have been initiated on the basis of no material much less any tangible and, relevant material and as such reasons record do not constitute valid reason to believe for initiating proceedings u/s 147. Therefore, respectfully following the findings of the Co-ordinate Benches SHRI SHIV CHARAN GOEL VERSUS ITO [2018 (6) TMI 884 - ITAT DELHI] and MEGHA GUPTA VERSUS ITO [2018 (3) TMI 1767 - ITAT DELHI] , I am of the considered view that the proceedings initiated by invoking provisions of Section 147 of the Act are non east of law and without jurisdiction. Hence, the assessment is quashed. - Decided in favour of assessee
|