Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (4) TMI 860 - AT - Income TaxReopening of assessment u/s 147 - unexplained cash deposits made in the bank account - HELD THAT:- In this case, original assessment was completed under section 143(1) of the Act and therefore, there was no occasion for the Assessing Officer to examine all the relevant information to complete the assessment. Subsequently, the Assessing Officer has noted that there is a huge credits and debits on various dates and therefore, the Assessing Officer was of the opinion that there is an escapement of income chargeable to tax and reopened the assessment. In view of the above facts, we find that the Assessing Officer has validly reopened the assessment. We find no merits in the arguments of the ld. Counsel and accordingly, the ground of reopening of assessment raised by the assessee is dismissed. Unexplained cash deposits - As assessee has submitted with regard to the addition of ₹ 86,500/- that the assessee has received the said amount from Arihant Capital Markets Limited, share broker and member of NSE and is registered with SEBI. It was further submitted that the receipt of funds from Arihant Capital Markets Limited are from trading of securities only and that all the receipts and payments are being made through banking channel only. Once the receipts and payments are being made through banking channel and not disputed by the authorities below, we are of the opinion that the addition made by the Assessing Officer is liable to be deleted and accordingly, the addition is deleted. For amount shown as opening cash balance as on 01.04.2009 since no wealth tax return has been filed by the assessee - assessee has submitted that the net wealth of the assessee is far below the taxable limit and there is no need for the assessee to file her wealth tax return. In case, the AO is of the opinion that the net wealth of the assessee is more than the prescribed limit, the Assessing Officer can proceed for making wealth tax assessment than adding the sum under the income tax assessment. Accordingly, the addition made by the Assessing Officer is deleted. Thus, the grounds raised by the assessee on merits are allowed.
|