RAVI DHARAMPAL KHANNA ,MUMBAI vs. INCOME TAX OFFICER WARD 2(1), THANE

ORDER \nPER NARENDRA KUMAR BILLAIYA, AM:\nThis appeal by the assessee is preferred against the order dated\n20/12/2024 by NFAC, Delhi [hereinafter “the ld. CIT(A)”]\npertaining to AY 2015-16.\n2.\nThe grievance of the assessee reads as under:-\n\"1.\nWe are not agreeing with the computation of total income made by assessing\nofficer.\nIncome Tax Department has disallowed following transactions,\n2.\nSr.no\n1\nNature of Transactions\nSold of immovable\nproperty\nAmount\n65,00,000/-\nGrounds of Appeal

\nAlready shown in profit\nand loss account under the\nhead sale. As assesse is\nbuilder.\n2\nPayments through\ncredit card\n10,88,110/-\nCredit card statement\nsubmitted to the\ndepartment and assesse has\nnot claim expenses through\ncredit card 1 under profit\nand loss account.\n3\nSales of Shares\n14,97,411/-\nAssesse has incurred 1 loss\nform sale of shares during\nthe year and assesse has 1\nsubmitted shares profit and\nloss statement\ndepartment.\nto\n4\nInterest income\n95,033/-\nInterest income already\nshown under the head other\nsources of computation of\ntotal income.\nTotal\n91,80,554/-\n3. Demand calculated by assessing officer is prejudicial to me and, if appeal is not\nallowed proceeded it amounting to against the law.\n4. I am genuine in the eye of law and followed valid procedure for computation of total\nincome.\n5. Assesse has try to filed income tax return against notice but return was not filed due\nto technical error so assesse has submitted computation of total income and Balance\nsheet also request us to give chance to file income tax return.”\nThe assessee raised the following additional ground of appeal:-\n3.\n“On the facts and Circumstances of the case and in law, the re-opening of the\nAssessment u/s 148 r.w.s 148A of the I.T. Act is Bad-in-Law and thus Void-ab-initio.\"\n4.\nSince the additional ground goes to the root of the matter and since\nit raises an issue which is a pure question of law and does not need any\ninvestigation into facts, the same is admitted for adjudication.\n5. Briefly stated the facts are that the assessee did not file his return of\nincome and as per the information available with the Department, it is\nfound that during the year under consideration, the assessee has made\nthe following transactions:-\nS. No.\nNature of transactions\nAmount in Rs.\n1\nSold of immovable property\nRs.65,00,000\n2\nPayments through credit card\nRs.10,88,110\n3\nSale of shares\nRs.14,97,411\n4\nInterest Income\nRs.95,033\nTotal\nRs.91,80,554/-\n6. On the basis of the aforementioned information, proceedings u/s\n148 of the Act were initiated and the showcause notice u/s 148A(b) was\nissued to the assessee. Subsequently, the order u/s 148A(d) of the Act was\npassed treating the case of the assessee as a fit case for issue of notice u/s\n148 of the Act. Accordingly, notice u/s 148 of the Act was issued, which\nreads as under:-\nGOVERNMENT OF INDIA\nMINISTRY OF FINANCE\nINCOME TAX DEPARTMENT\nOFFICE OF THE INCOME TAX\nOFFICER\nWARD 2(1), THANE/\nINCOME TAX DEPARTMENT\nTo,\nRAVI DHARAMPAL KHANNA\nFLAT 104 C/23/SECTOR 11, SHANTI\nNAGAR MIRA ROAD\nTHANE 401107, Maharashtra\nIndia\nPAN:\nARCPK8223G\nA.Y:\n2015-16\nDated:\n04/04/2022\nDIN & Notice No:\nITBA/AST/S/148_1/2022-\n23/1042494828(1)\nSir/Madam/ M/s.\nNotice under section 148 of the Income-tax Act, 1961\n2.\nI have the following information in your case or in the case of the person in respect of which you\nare assessable under the Income tax Act, 1961 (here in after referred to as “the Act") for\n Assessment Year 2015-16\ninformation flagged by the risk management strategy formulated in this regard\nsuggesting that income chargeable to tax has escaped assessment within the meaning of\nsection 147 of the Act. Order under sub-section (d) of section 148A of the Act has been passed\nin such case vide DIN ITBA/AST/F/148A/2022-23/1042472228(1) dated 04/04/2022 and\nannexed herewith for reference,\n3.\nI, therefore, propose to assess or reassess such income or recompute the loss or the\ndepreciation allowance or any other, allowance or deduction for the Assessment Year 2015-16\nand I, hereby, require you to furnish, within 30 days from service of this notice, a return in the\nprescribed form of the Assessment Year 2015-16.\nThis notice is being issued after obtaining the prior approval of the PCCIT, PUNE accorded on\ndate 02/04/2022 vide Reference No. 100000028941716.\nSHIVJEE SINGH\nWARD 2(1), THANE/\n(In case the document is digitally signed please\nrefer Digital Signature at the bottom of the page)\nNote: If digitally signed, the date of digital signature may be taken as date of document.\nASHAR IT PARK, 6TH FLOOR, ROAD NO. 16Z, WAGLE INDUSTRIAL ESTATE, THANE (WEST), THANE, Maharashtra,\n400604\nEmail: THANE.ITO2.1@INCOMETAX.GOV.IN,\nNote:- The website address of the e-filing portal has been changed from www.incometaxindiaefiling.gov.in to www.incometax.gov.in.\nDIN-Document identification No.\nSigner: SHIVJEE SI\nDate: Monday, Apr\n7:24 PM\nLocation: PUNE, In\n7.\nThe entire quarrel revolves around the aforementioned notice.\n8.\nAt the outset, we find that this issue has been settled in the case of\nUnion of India v. Rajeev Bansal [2024] 167 taxmann.com 70 (SC) wherein\nreference is made to the submissions made on behalf of the Revenue vide\npara 19 which is relevant and the same is reproduced hereunder:-\n"19. Mr N Venkataraman, learned Additional Solicitor General of India, made the\nfollowing submissions on behalf of the Revenue:\na. Parliament enacted TOLA as a free-standing legislation to provide relief and\nrelaxation to both the assessees and the Revenue during the time of COVID-