2018 (2) TMI 676

1 lacs was a loss claimed by the assessee. In fact, the balance sheet would show that the said figure was the assessee's receipt through sales. If the case of the Revenue was that after showing the sale of the commodities at ₹ 16.51 lacs, the assessee had claimed artificial losses. No such ground has come on record in the reasons recorded. The Revenue is bound by the reasons recorded by the Assessing Officer for reopening assessment which reasons are shown to be palpably incorrect. On the basis of the reasons recorded, it would not be possible to allow the Revenue to carry out fresh assessment. Facts are similar in all cases. Respective impugned notices are set aside. - Decided in favour of assessee - Special Civil Application No. 167 .....

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s. As per the information provided, the assessee, Narendrakumar Mahasukhbhai Patel, has booked contrived losses of ₹ 16,51,096/- by misutilization of NMCE platform, through the broker R P Jambuwala. This loss has been used to set off against the other income and thereby income has been under reported. In view of the above, it is clear that the assessee has under reported the income by ₹ 16,51,096/- by misutilizationn of NMCE platform, through the broker R P Jambuwala and evaded the taxes thereon. Hence the income of the assessee is under assessed by ₹ 16,51,096/-. I have, therefore, reason to believe that the income chargeable to tax has escaped assessment to the extent of ₹ 16,51,096/-. Hence I satisfied that it is .....

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was indulging in booking the contrive losses by utilizing NMCE platform. These losses would be set off against other income. In case of the assessee he had booked such contrived losses to the extent of ₹ 16.51 lacs (rounded off) through NMCE platform operating through the proper M/s. R. P. Jambuwala. Such contrived losses were set off against the assessee's other return of income. 6. According to the assessee, however, he had never claimed loss of ₹ 16.51 lacs and, in fact, the said figure appearing in his balance-sheet was on the credit side. The assessee had thus received the said sum of ₹ 16.51 lacs and not suffered such a loss, as alleged. The assessee pointed out this aspect to the Assessing Officer in the object .....

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