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2022 (5) TMI 550 - HC - Income TaxReopening of assessment u/s 147 - Notice under Section 148 issued on the basis of information that the petitioner has deposited a sum in bank account during the assessment year 2017-18 - objection of the petitioner was rejected by the National Faceless Assessment Centre, Delhi observing that the petitioner-assessee has deposited cash in his bank account which has not been disclosed by him in his return of income and thus, reasons recorded by the assessing officer are crystal clear in the light of the strong evidences which came to the notice of the assessing officer - HELD THAT:- The entire proceeding under Section 148 of the Act, 1961 have been initiated by the respondents on the basis of an anonymous letter in which also the petitioner has not been named and instead one Vishwanath Singh Katiyar @ Munnu Bhaiya owner of M/S S.R. Cold Storage has been named. Even in his verification report, the respondents have found that the information relates to M/S S.R. Cold Storage. There was absolutely no evidence that the petitioner has deposited cash of Rs. 12,50,14,500/- in his bank account during the assessment year 2017-18. Perusal of the impugned re-assessment order dated 29.3.2022 passed by the National Faceless Assessment Centre, Delhi also completely affirms that position that there was absolutely no information against the petitioner regarding cash deposit by him in his bank account. The petitioner is a cold storage company in which business dealings are mainly with farmers who usually transact in cash. The total cash deposit as has been taken in the impugned reassessment order, was fully disclosed by the petitioner-assessee in his books of account and in the audited balance sheet filed along with the return. Thus, there was absolutely no material before the assessing authority for initiating proceedings under Section 148 of the Act, 1961 and the reasons to believe recorded by the respondents were totally unfounded. The manner in which the proceedings under Section 148 of the Act, 1961 has been initiated against the petitioner, prima facie, reflects illegal and arbitrary approach of the respondents on one hand and on the other hand to cause harassment to the petitioner/assessee. - Decided in favour of assessee.
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