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2024 (1) TMI 855 - AT - Income TaxReopening of assessment - investment made by the Appellant towards subscribing to equity shares treated as undisclosed business income earned in India and should be taxed at the rate of 40% as per the provisions of the Act - HELD THAT:- We find that the assessee has remitted an amount Rs. 28.82 crores and also filed form 15CA from which the Revenue came to know the information pertaining to the remittances. From the above reasons nothing could be deciphered has to how the AO come to conclusion of escapement of income. The case has been reopened just because of assessee made remittances which is from the sale of investments made by the assessee. Though the merits of the matter is relevant at the time of reopening, the Assessing Officer at the stage of reopening is required to form only a prima facie believe are satisfaction that income chargeable to tax has escapement assessment. In this case we don’t find any such prima facie satisfaction from the reasons recorded. Hence it can be concluded that there was no escapement of income during the year and hence, the notice issued u/s. 148 is considered to be void ab initio and consequently the assessment is treated as nullity. Appeal of the assessee is allowed.
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