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2017 (6) TMI 1035 - AT - Income TaxValidity of re-assessment order - no notice u/s 143(2) have been issued and served upon assessee subsequent to the filing of the return accepted by AO - Held that:- Since the assessee did not file valid return of income within the stipulated period as directed in the notice under section 148, therefore, there is no question of issuing any notice under section 143(2) of Income Tax Act to the assessee. The proviso to Section 143(2) deals with the period of service of notice from the end of the month in which the return is furnished. Since no valid return is filed, therefore, there is no question of compliance of proviso to Section 143(2) of the Act. The assessee filed return of income belatedly at the fag end of completion of re assessment proceedings on 13.02.2013. Therefore, there is no question of service of notice upon assessee under section 143(2) of the Act when assessment was completed in March,2013 itself. - Deided against assessee. Addition u/s 69 - proof of agricultural income - Held that:- Assessee has been able to prove earning of genuine agriculture income which were only source of income for assessee which have been deposited in the bank account of the assessee. Therefore, there was no justification to make the addition of ₹ 8,71,000/- against the assessee on account of peak of investment in the bank account. In this view of the matter, set aside the orders of authorities below and delete the addition. This ground of appeal of the assessee is allowed. Addition as bank interest on bank deposit - This income is not shown in the return of income despite assessee earned it during the year under consideration - Held that:- As we have deleted the substantial addition of ₹ 8,71,000/- therefore, no taxable income is left for consideration. Accordingly, the addition made by Assessing Officer of ₹ 2990/- is confirmed in principle. However, since no taxable income is left, therefore, Assessing Officer will not make it taxable in the computation of income because the addition would be below taxable income. This ground is accordingly, disposed off in terms above.
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