TMI Blog2017 (6) TMI 1036X X X X Extracts X X X X X X X X Extracts X X X X ..... unts. Since assessee’s incomes were accepted u/s 44AF, after due examination of assessee’s cash deposits in the first assessment completed u/s. 143(3) r.w.s. 148 vide order dt. 09-02-2009, the addition made in the second assessment order is not sustainable. - I.T.A. No. 895/HYD/2016 - - - Dated:- 15-3-2017 - SHRI B. RAMAKOTAIAH, ACCOUNTANT MEMBER For The Assessee : Shri D. Satyanarayana, AR For The Revenue :Shri K.J. Rao, DR ORDER This is an appeal by assessee against the order of the Commissioner of Income Tax (Appeals)-2, Hyderabad dated 30-03-2016, confirming the action of the Assessing Officer (AO) in bringing to tax the peak credit of ₹ 3,41,000/-. 2. Briefly stated, assessee is a trader in tractor spa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubsequently, AO was of the view that instead of making round-sum disallowance of ₹ 5,000/-, peak credits out of the deposits to an extent of ₹ 3,21,100/- should have been assessed and as there was escapement of income, he was of the opinion that there is sufficient reason to believe that income chargeable to tax has escaped income for the AY. 2005-06. The case was again reopened by issuing notice u/s. 148 on 12-12-2011 with prior approval of CIT-2, Hyderabad. In the consequential proceedings, the AO determined the peak credit at ₹ 3,41,000/- and has brought the same to tax, in addition to the originally assessed income of ₹ 1,03,000/-. 3. Assessee is aggrieved and has raised the objections before the CIT(A). Ld.CI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... It was also submitted that AO originally completed the assessment u/s. 148 itself and after due examination of the cash deposits in the bank account, particularly of the Union Bank of India, Kamalapur Branch, Karimnagar Dist. has accepted the explanation and completed the assessment. Therefore, reopening of assessment on the very same facts is bad in law. He also submitted that on merits, there is no case as assessee has already offered higher income than the turnover, as assessee is a small trader and referred to the computation of income wherein assessee has admitted 5% u/s. 44AF turnover of ₹ 5,60,000/- which worked out to ₹ 28,000/-, but declared income at ₹ 60,000/- considering that assessee is a retail seller and ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion Return [AIR] data received by this office, Shri B. Dasharatham has made cash deposits of ₹ 10,31,100/- during the FY. 2004-05 relevant to the AY. 2005-06 in the bank held with Union Bank of India, Kamalapur Branch, Karimnagar Dist . For that reason notice u/s. 148 was issued on 04-07-2008 and the assessment has been completed, after due verification of the cash deposits made in the bank account. As extracted in para 2, assessee s explanation was accepted by the AO. Therefore, reopening on the very same issue on the very same details of cash deposits by the same officer in the re-assessment proceedings, again u/s. 147 is nothing but change of opinion and review of the earlier order, which is not permitted unless any supervisory aut ..... X X X X Extracts X X X X X X X X Extracts X X X X
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