TMI Blog2022 (12) TMI 375X X X X Extracts X X X X X X X X Extracts X X X X ..... hases together with the stock registers and bank statements. Payments to M/s. Balaji Enterprises had been made by way of account payee cheques by the assessee. Since M/s. Balaji Enterprises was one of the concerns managed by Shri B A Desai whose bank accounts operation were found to be suspicious as detailed hereinabove, the lower authorities had doubted the veracity of transactions carried out by the assessee with M/s. Balaji Enterprises. Even though it has been recorded in the orders of the lower authorities that soon after the cheques are deposited in the bank account of M/s. Balaji Enterprises, the amounts were withdrawn in cash, there is absolutely no evidence brought on record by the lower authorities to prove that the said cash ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... value of purchases, which in our considered opinion, would meet the ends of justice. Appeal of the assessee is partly allowed. - ITA No.577/Mum/2020 - - - Dated:- 29-4-2022 - SHRI M.BALAGANESH, ACCOUNTANT MEMBER AND MS. KAVITHA RAJAGOPAL, JUDICIAL MEMBER Assessee by: None Revenue by: Shri R A Dhyani ORDER PER M. BALAGANESH (A.M): This appeal in ITA No.577/Mum/2020 for A.Y.2008-09 arises out of the order by the ld. Commissioner of Income Tax (Appeals)-55, Mumbai in appeal No.CIT(A)-55/ITO-20(2)(5)/IT-72/2019-20 dated 28/11/2019 (ld. CIT(A) in short) against the order of assessment passed u/s.143(3) r.w.s. 147 of the Income Tax Act, 1961 (hereinafter referred to as Act) dated 29/03/2016 by the ld. Income Tax Off ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat there was violation of principles of natural justice is dismissed herein. 3.1. The ground No.2 raised by the assessee is challenging the validity of re-assessment. We find that assessee is an individual and proprietor of M/s. Nakoda Silver House engaged in wholesale trading and manufacturing of silver utensils and ornaments. The return of income for the A.Y.2008-09 had been filed by the assessee u/s.139(1) of the Act on 29/09/2008 declaring total income of Rs.12,47,660/-. In the said return, the assessee had offered income from house properties, business income and income from other sources. The assessment was completed u/s.143(3) of the Act on 23/12/2010 determining total income at Rs.14,56,992/-. Subsequently, the assessee s case w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Act, the assessee filed a letter dated 09/04/2015 stating that return already filed may be treated as a return in response to notice u/s.148 of the Act. The reasons recorded for reopening of assessment were duly furnished to the assessee. The assessee filed preliminary objections vide letter dated 28/07/2015 and the said objections were disposed of by a speaking order by the ld. AO dated 28/05/2015. The assessee again filed yet another letter dated 14/09/2015 objecting to reopening of assessment. The same was also disposed of by way of speaking order by the ld. AO vide order dated 29/01/2016. Hence, the entire legal procedure that were contemplated by the Hon ble Supreme Court in the case of GKN Driveshafts (India) Ltd., reported in 259 I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the ground that assessee had issued cheques to M/s. Balaji Enterprises which had been immediately withdrawn in cash from the said bank account and hence the purchases were ingenuine. This action of the ld. AO was upheld by the ld. CIT(A). 3.3. Admittedly, we find that assessee had furnished the details of corresponding sales made out of purchases together with the stock registers and bank statements. Payments to M/s. Balaji Enterprises had been made by way of account payee cheques by the assessee. Since M/s. Balaji Enterprises was one of the concerns managed by Shri B A Desai whose bank accounts operation were found to be suspicious as detailed hereinabove, the lower authorities had doubted the veracity of transactions carried out by the ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
