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2021 (6) TMI 540 - AT - Income TaxReopening assessment u/s. 148 - incomplete information and unconcluded proceedings - AO considering the Value of Land Sold u/s 50C, as against the Stamp Authorities own Certified Value at the time of actual Registration of Conveyance of property and its sale transaction - HELD THAT:- It is a settled legal proposition that reassessment proceedings can be initiated basis the information and material in possession of the Assessing officer and where on review and examination thereof, where he forms a reasonable belief that the income has escaped assessment and pursuant thereto, he records his reasons for reopening the assessment, seek appropriate approvals from the competent authority and thereafter, issue notice u/s 148 of the Act. In the instant case, we find that there is nothing on record which can demonstrate that the AO was in receipt of any information or having any material in possession prior to recording of the reasons and issuance of notice u/s 148. Very foundation in terms of material and information in possession of the AO, prior to recording of the reasons and issuance of notice u/s 148, for formation of reasonable belief that income has escaped assessment and reopening the assessment proceedings is conspicuously absent in the instant case. It is not a question of sufficiency or materiality of information in possession of the AO rather it is a case of complete absence of any information or material prior to recording of reasons and issuance of notice u/s 148 and in light of the same, the reassessment proceedings deserve to be quashed and set-aside. Thus the sole basis for adopting the enhanced value of the property is a communication received from the sub-registrar regarding revaluation of the property and reference made to this effect to the higher authorities dated 21.09.2009. However, such a communication is not supported by any revaluation order and even during the course of the present proceedings, no such revaluation order is either brought to our notice or placed on record. Further, we find that Deputy Director of Stamps vide reply dated 5.02.2018 in response to assessee’s RTI application has confirmed that no such reference was either received from Sub-Registrar 4 Jaipur vide letter no. 57 dated 21.01.2009 or no such order passed in any such reference as evident from contents. We therefore find that even on merits, the case of the Revenue has no legs to stand in absence of any material in support of any revaluation/enhancement in value of the property by the stamp duty authority and the addition so made is hereby directed to be deleted. Appeal of the assessee is allowed.
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