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2020 (5) TMI 385 - AT - Income TaxReopening of assessment u/s 147 - basis of information with regard to cash deposit in a bank account - HELD THAT:- In the present case the information was received by the Assessing Officer and the proper reasoning has been recorded after taking necessary approval as per the mandate of Section 147 of the Income Tax Act. AR could not point out that there is lack of reasoning or no necessary approval taken from the higher authorities. The case laws submitted by the Ld. AR also factually different from the present case as in the present case, the assessee has not filed any return prior to issuance of Section 148 notice and has not given any details to the AO as relates to cash deposits. CIT(A) was right in holding that there is no infirmity in the reopening proceedings. Ground No. 2 is dismissed. No valid notice u/s 143(2) - HELD THAT:- From the perusal of records, the Ld. AR could not point out that the notice was not duly served upon the assessee. In fact, the records shows that the notice was served to the assessee, but the assessee could not attend the assessment proceedings which leads to passing of Assessment Order u/s 144 of the Act. The reliance of case laws by the Ld. AR will not help in the present case, as the assessee could not demonstrate that the notice was not served to him at his address mentioned in the records. Approval/satisfaction as required u/s 151 is not proper and valid in law - HELD THAT:- In the present case the information was received by the Assessing Officer and the proper reasoning has been recorded after taking necessary approval as per the mandate of Section 147 of the Income Tax Act. The Ld. AR could not point out that there is lack of reasoning or no necessary approval taken from the higher authorities. The case laws submitted by the Ld. AR also factually different. The approval is not mechanical but is in conformity with the reasoning given by the Assessing Officer which describes the nature of cash transactions and its relevance to the escapement of tax liability on behalf of the assessee. Thus, the CIT(A) was right in holding that there is no infirmity in the re-opening proceedings. Ground No. 4 and 5 are dismissed. Admission of additional evidence - HELD THAT:- In the present case, the assessment order was passed under Section 144 of the Act which shows that the AO has not seen any evidences while making additions. Thus, we are admitting the additional evidence filed before the CIT(A). We further find that it is just and proper to remand back the issue on merit to the file of the AO in the present case for proper adjudication after taking cognizance of the additional evidences. Needless to say, the assessee be given proper opportunity of hearing by following principles of natural justice. Ground No. 1 is partly allowed for statistical purpose.
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