TMI Blog2022 (2) TMI 188X X X X Extracts X X X X X X X X Extracts X X X X ..... rn at all, were, sufficient as well as relevant to the formation of reason to believe. Therefore, no case is made out to interfere with the impugned notice and the impugned order. Though we are dismissing the present petition, we make it clear that none of the observations in this order should either influence or affect the assessment proceedings taken out in pursuance of the impugned notice - respondents examine the matter in some detail, including, the defense of the petitioner herein in the context of the letter subsequently issued by the Goa Urban Cooperative Bank. The assessment will have to be completed by adverting to all this material no doubt after verifying the same in accord with the law. To this extent, therefore, even the pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -partnership firm and a proprietary concern of one of the partners. Mr. Panandikar submits that for Income Tax Act, 1961 (said Act) the firm and its partner are distinct legal entities. He relies on Mohanlal Champalal Jain v/s. ITO 2019 (102) Taxman.com 293 (Bombay) to submit that non-consideration of a vital objection raised by the assessee vitiates the order disposing of objections. He points out that this decision was confirmed by the Hon'ble Supreme Court in the matter reported in 2019 (111) taxmann.com 67 (SC). For all these reasons he submits that the impugned notice and order are liable to be set aside. 4. Ms. Linhares learned Standing Counsel for the respondents submits that the alleged letter addressed by the bank ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... irm for the Assessment Year 2017-18. Therefore, when the respondents discovered that a cash deposit of almost ₹ 4.39 crores was made as against the petitioner's PAN number in the Goa Urban Cooperative Bank, the respondents, issued the impugned notice within the prescribed period of limitation seeking to reopen the assessment for the Assessment Year 2017- 18. 8. The petitioner, consistent with the practice followed, was granted an opportunity to file objections. Such objections were indeed filed by the petitioner and the same was disposed of vide order dated 16.08.2021. 9. The reasoning reflected in the impugned order dated 16.08.2021 is to be found in paragraphs 4, 5, and 6 thereof which read as follows:- 4. As far as, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tioned as above. 6. The case has been re-opened within the permissible time limit i.e. before the expiry of 06 years from the end of the relevant assessment year as the failure in disclosing correct income chargeable to tax is attributable to the assessee. In the instant case, the assessee has not filed its return of income (ROI) us/139 of I.T. Act for the year under consideration. In this regard, reliance is placed on the decision held by the Hon ble Apex Court in the case of ACIT Vs. Rajesh Jhaveri Stock Brokers (P.) Ltd. (2007) 161 . 10. The letter dated 27.08.2021 addressed by the Goa Urban Cooperative Bank to the petitioner was not before the respondents and therefore, Mr. Panandikar is not justified in contending that such ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e assessee's PAN number. Therefore, the ruling in Mohanlal Champalal Jain (supra) is distinguishable and cannot assist the petitioner's case where facts, are not comparable. 12. In Asa v/s. CIT 26 ITR 270 and in CIT v/s. Agarwalla Brothers 189 ITR 786 it is held that to decide whether the Assessment officer (AO) has reason to believe that income escaped assessment it is only those materials that were before the AO at the time of initiating the proceedings that have to be taken into account and not some further materials which subsequently came to light in the course of proceedings under the said Act. Similarly, it is well settled that the adequacy or sufficiency as distinct from the existence or relevance of the material ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the impugned order. 15. Though we are dismissing the present petition, we make it clear that none of the observations in this order should either influence or affect the assessment proceedings taken out in pursuance of the impugned notice. There, it is expected that the respondents examine the matter in some detail, including, the defense of the petitioner herein in the context of the letter subsequently issued by the Goa Urban Cooperative Bank. The assessment will have to be completed by adverting to all this material no doubt after verifying the same in accord with the law. To this extent, therefore, even the petitioner will not be seriously prejudiced. 16. For all the aforesaid reasons this petition is dismissed. There shall be n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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