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2023 (5) TMI 150 - AT - Income TaxReopening of assessment u/s 147 - Cash deposited in the bank account - HELD THAT:- Only information in the possession of the AO for assuming jurisdiction to reopen the case of the assessee was that of cash deposited in the bank account of the assessee, and this information has been held in various decisions of the ITAT cited by assessee before us, is not sufficient for formation of belief of escapement of income. There is no information on record that on receipt of this information by the AO any inquiry or investigation was conducted by him so as to gather information regarding source of cash deposits either from the assessee or from any other source. In the absence of the same, mere information of cash deposits could not have lead to formation of belief of escapement of income. The issue is squarely covered by the decision of the ITAT in the cases Mariyam Ismail Rajwani and Bir Bahadur Singh Sijwali [2016 (8) TMI 1472 - ITAT AHMEDABAD] We hold that jurisdiction assumed by the AO to reopen the case of the assessee was not in accordance with law in the absence of formation of belief of escapement of income by the AO. The assessment order so framed is therefore not sustainable in law, and is set aside as invalid. Appeal of assessee allowed.
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