TMI Blog2019 (3) TMI 582X X X X Extracts X X X X X X X X Extracts X X X X ..... ormation which suggests escapement of income, the Assessing Officer must examine the information in the context of the facts of the case and only on satisfaction leading to a reasonable belief that income chargeable to tax has escaped assessment, that reopening notice is to be issued. On receipt of information, the least that is expected of the Assessing Officer is to examine the same in the context of the facts of this case and satisfy himself whether the information received does prima facie lead to a reasonable belief that income chargeable to tax has escaped assessment. In this case, the reasons indicate that the Assessing Officer has not carried out such exercise and accepted the report of the Deputy Collector of Income Tax (Investi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tition under Article 226 of the Constitution of India challenges a notice dated 29.3.2018 issued by respondent no.1Assessing Officer under section 148 of the Income Tax Act, 1961 (for short, 'the Act'). The impugned notice seeks to reopen assessment for A.Y.2011-12. 3. For the Assessment Year 2011-12 the petitioner filed its return of income on 29.9.2012 declaring an income of ₹ 12.52 lacs (rounded off). The return was taken up for scrutiny assessment by the Assessing Officer. On 1.11.2013 the Assessing Officer passed an order under section 143 (3) of the Act enhancing the petitioner's income to ₹ 20.14 lacs. 4. Thereafter on 29.3.2018, the Assessing Officer issued the impugned notice seeking to reopen assess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ne of ₹ 35040000000000000000. 2.3. The DDIT (Inv) Unit 8 (3) Mumbai has given a finding that enquiries have been conducted in the penny scrip namely M/s Nivyah Infrastructure Telecom Services Ltd vis-a-vis facilitating introduction of unaccounted income of members of beneficiaries in the form of exempt Capital gain or Short term Capital Loss in their books of account. These transactions are mostly in view of cash of equal amount and commission is charged over and above at certain fixed percentage for providing such accommodation entry. These accommodation entries were taken from various beneficiaries for introducing their unaccounted cash into their books of accounts without paying the due taxes. 2.4 The detailed investi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e, necessary sanction to issue the notice u/s148 has been obtained separately from the Pr.Commissioner of Income Tax as per the provisions of section 151 of the Act. 5. Notice u/s 148 was issued with prior approval of Pr. Commissioner of Income Tax-6 Mumbai. 5. On receipt of above reasons on 9.8.2018, the petitioner filed its objections to the reasons in support of the impugned notice and in particular pointed out that the assessee had dealt with a company called S.V.Electricals Ltd and not with M/s Nivyah Infrastructure Telecom Services Ltd. The name of company S.V.Electricals Ltd had subsequently changed on 14.2.2012 to M/s Nivyah Infrastructure and Telecom Ltd. It had also pointed out in its objection that during the re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Officer on his own satisfaction. It is not open to an Assessing Officer issue a reopening notice at the dictate and/or satisfaction of some other authority. Therefore, on receipt of any information which suggests escapement of income, the Assessing Officer must examine the information in the context of the facts of the case and only on satisfaction leading to a reasonable belief that income chargeable to tax has escaped assessment, that reopening notice is to be issued. 8. From the reasons, it is evident that the impugned notice has been issued on the basis of information received from the Deputy Collector Income Tax (Investigation) alleging that M/s Nivyah Infrastructure Telecom Services Ltd is a penny stock listed on the Bombay Stock ..... X X X X Extracts X X X X X X X X Extracts X X X X
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