9911796707
TMI Blog2016 (12) TMI 1285X X X X Extracts X X X X X X X X Extracts X X X X ..... cation in a nut shell are as under; [4.1] The petitioner - assessee filed the return of income for the Assessment Year 2010-11 declaring the total income at Rs. 3291/-. During the year under consideration the petitioner received share capital and share premium aggregating to Rs. 76,00,000/-, which, as such, was reflected in its audit balance sheet under "Schedule A - Share Capital" and "Schedule B - Reserves & Surplus". The case was selected for scrutiny assessment under Section 143(3) of the Income Tax Act. The Assessing Officer vide notice dated 27/01/2012 under Section 142(1) of the Income Tax Act called for various information, including complete name, address, PAN with copy of acknowledgment of return of income, contra account, etc in respect of share capital and share application money and share premium received during the year under consideration. In response to the above notice, the petitioner vide communication /letter dated 18/06/2012 furnished confirmation of share holders to whom shares were allotted during the year under consideration alongwith photocopy of their income tax acknowledgments and statement showing details of share capital, share premium and share allotte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m Manish Verma, another investor having current a/c No.CA2416. Incidentally Shri Verma has also invested Rs. 5 lakh after getting transferred from Radhe Shayam Mali a/c No. CA2251. Shri Mali has also invested Rs. 5 lakh after getting transferred fund of the same amount from Niranjan Agrawal, another investor having current a/c No.CA1621. Shri Agarwal has also invested Rs. 5 lakh after getting transferred fund from Bharatkumar Parmar a/c No.CA1715. Shri Parmar has also invested Rs. 5 lakh after getting transferred fund of the same amount from current a/c No.CA1498. iv. All the investors, whose copies of returns submitted, were filed very late from the due date of filing of returns. In all such returns, income was shown at in and around Rs. 2 lakhs. v. Address of one investor, who has invested Rs. 5 lakh, was noticed to be residing in chawl. Few has not shown any bank details. In light of this, it has become crystal clear that introduction of capital in the form of share and share premium was nothing but a coloured device to introduce unaccounted money as capital. As assessee company has not proved the genuineness and creditworthiness of investors, the amount of introduction of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r - assessee in not disclosing true and correct facts necessary for the assessment. It is submitted that in the present case in the scrutiny assessment full particulars with respect to the share capital, share application, money received alongwith name and address of the share holders with their confirmation alongwith copy of their income tax returns and copy of the bank statement were produced before the Assessing Officer. It is submitted that thereafter after scrutiny of the material produced, the Assessing Officer was convinced with the genuineness of the share capital and share premium received during the year under consideration and hence no addition was made in respect of the same while framing the assessment under Section 143(3) of the Income Tax Act vide order dated 22/03/2013. It is further submitted that even from the reasons recorded the Assessing Officer had specifically stated that on scrutiny of the material on record and on detail verification of the related documents it is noticed that the income chargeable to tax to the extent of Rs. 75 lakhs has escaped the assessment for the Assessment Year 2010-11 in the case of the petitioner - assessee. It is submitted that if ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the respective parties at length. We have considered the material on record. We have also gone through the reasons recorded to reopen the assessment for the Assessment Year 2010-11. At the outset, it is required to be noted that the assessment for the Assessment Year 2010-11 is sought to be reopened in exercise of powers under Section 147 of the Income Tax Act beyond the period of four years, and therefore, unless and until the condition precedent to reopen the assessment beyond four years, as provided under Section 147 of the Income Tax Act, are satisfied, the opening of the assessment beyond four years is not permissible. [7.1] Considering Section 147 of the Income Tax Act assessment beyond four years can be reopened if it is found that there was any failure on the part of the petitioner - assessee in not disclosing true and correct facts necessary for assessment, and therefore, unless and until it has been found that there was any non disclosure on the part of the petitioner - assessee in not disclosing true and correct facts necessary for assessment, the assessment beyond four years cannot be reopened. [7.2] In the present case, from the reasons recorded, it appears that t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
