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2022 (3) TMI 294 - AT - Income TaxReopening of assessment u/s 147 - eligibility of reasons to believe - unexplained cash deposits - borrowed satisfaction - non independent application of mind - HELD THAT:- AO has never disputed that the assessee has not filed the return of income or that the copy of the acknowledgment of the return of income dated 25.07.2011 is false or untrue. Therefore, AO has recorded wrong facts while recording reasons that the assessee has not filed the return of income Approval given by the Pr. CIT - Even the superior authority has also given her approval in a mechanical manner and without independent application of mind especially when the assessee has filed her return of income and reopening was made on the ground that no return has been filed. It has been held in various decisions that reopening of the assessment on incorrect or wrong facts is a nullity - reopening of the assessment on wrong facts or incorrect facts and without independent application of mind by the AO and on borrowed satisfaction makes such reopening a nullity. Since, the AO in the instant case, has reopened the assessment on the basis that the assessee has made cash deposits of ₹ 21,10,000/- and has not filed the return of income, whereas, the assessee in fact has filed her return of income on 25.07.2011 declaring total income of ₹ 3,03,640/-, therefore, it is established that the reopening was based on incorrect/wrong facts and without application of mind and on borrowed satisfaction. Therefore, it has been held that the reopening of assessment on incorrect/wrong facts makes such reopening a nullity - Decided in favour of assessee.
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