2014 (2) TMI 790
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....e Tribunal allowed the appeal, pertaining to the assessment year 1995-96, filed by the respondent- assessee. Appeal before the Tribunal was directed against the order dated 30-03-2004 passed by the Commissioner of Income Tax (Appeals)-VI, Bangalore, (for short the 'Appellate Authority') whereby the said appeal, filed by the assessee against the assessment order dated 28-3-2003, was dismissed. 2. In the present appeal, the respondent formulated the following substantial questions of law: 1. Whether the Tribunal was justified in holding that the fixed deposits of Rs.70,00,000/- noticed during the search, in the name of 10 persons, who were not identified by the assessee, could be treated as income of the assessee overlooking th....
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....ugh we may not agree with the findings recorded by the Tribunal in respect thereof, we have examined whether prior approval of the Commissioner as contemplated by Section 151 of the Act was obtained, taking the case of Revenue that the reasons recorded under Section 148(2) of the Act were sufficient and were in proper format. 5. Having regard to the scheme of the provisions contained in Sections 147, 148 and 151 of the Act, it is clear as crystal that if the assessment is reopened after expiry of the four years from the end of relevant assessment year, no notice under Section 148 of the Act shall be issued unless the Chief Commissioner or Commissioner is satisfied on the reasons recorded by the Assessing Officer that it is a fit case for i....
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....n the connected ITA No.641/2006 dated 26-02-2004, of the very same assessee, pertaining to the assessment year 1996-97. He submitted that insofar as reopening of the assessment for the assessment year 1996-97 is concerned, the approval of the Commissioner of Income Tax, as required under Section 151 of the Act was obtained and it was also placed on record in that case. In support of this contention, he invited our attention to the observations made by the Assessing Officer at paragraph 2. In this paragraph, the Assessing Officer has observed that "Notice under Section 148 was issued to the assessee on 26-3-2003, with the approval of the Commissioner of Income Tax." He submitted that such observations do not find place in the order for the a....
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....low including the Tribunal that approval as contemplated by Section 151 of the Act was either referred to or mentioned in the orders. The Tribunal has, at length, considered the issue whether the reasons recorded by the Assessing Officer for reopening of the assessment were in proper format, and held that no such reasons were recorded. The Tribunal recorded such finding and further observed that the note sent to the Commissioner by the Assessing Officer was not sanctioned/approved under Section 151 of the Act. In the absence of the order granting approval by the Commissioner under Section 151 or in the absence of any indication in the orders passed by the authorities below including the order of the Tribunal or the materials on record that ....