TMI Blog2023 (2) TMI 804X X X X Extracts X X X X X X X X Extracts X X X X ..... indings by the Ld.AO, cash deposits cannot be treated as unexplained. Wife of the assessee is also a regular filer of income tax returns who has paid to the assessee, as per findings of Ld.CIT(A). Considering peculiarity of the trade in which the assessee is engaged, we find that the assessee has source for the cash deposits made for the purpose of investment in residential property. Additions cannot be made merely based on assumptions by the revenue authorities. We, therefore allow this ground raised by the assessee. Estimation of profit at 3.5% of the turnover - We are not inclined to intervene in the decision of the Ld.CIT(A) on this ground. Hence, this ground raised by the assessee is dismissed. - I.T.A.No.53/Viz/2020 - - - Da ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ,21,098/- (5% on Rs 44,21,968) as income from other sources and passed assessment order u/s 143(3) r.w.s 147 of the Act on 24.02.2015. Subsequently, the Ld.Pr.Commissioner of Income Tax (PCIT)-1, Visakhapatnam, invoking powers u/s 263 of the Act, considered the order passed by the Ld.AO as erroneous in so far as prejudicial to the interest of the revenue, set aside the assessment order with a direction to the Ld.AO to examine the sources of cash for purchasing and registering the property and hence directed the AO to redo the assessment afresh as per law after providing reasonable opportunity of being heard to the assessee. Consequent to the directions of the Ld.PCIT, the Ld.AO issued notice u/s 142(1) of the Act on 21.12.2017 along with fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ad verified all the documents resulting to the property and granted relief. On the same facts and circumstances, the assessment was reopened as directed by the Pr.CIT by another Assessing Officer without any new or fresh material de hors the records. Such reopening tantamount to change of opinion on same set of facts of the case. Therefore, the change of opinion is bad in law in light of the judgement of Hon ble High Court of Madras in re. CIT Vs. Pentafour Software Employees Welfare Association [2019) 418 ITR 427] followed by the judgement of Hon ble Supreme Court in re CIT, Delhi vs. Kelvinator of India Ltd. reported in [2010) 320 ITR 561]. 2. That the learned CIT(A)-1 not justified in granting partly relief though the appellant h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by the revenue authorities that the assessee is a kirana merchant engaged in the cash sale of vegetables, dry fish in local markets and to some of the government organisations. It was also not disputed by the revenue that it is a normal trade practice that sales by kirana merchants are mostly by way of cash. Further, the revenue has also not disputed the entire sales that have been deposited in the bank account, which is considered as turnover of the assessee. From the records available before us, the Ld.AO in his original assessment u/s 143(3) r.w.s 147 of the Act has not made any addition for the cash deposits, except estimating the income due to non availability of books. In the absence of any discussion by the LD.AO in the assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X
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