SHRI ALOK GUPTA,NEW DELHI vs. ITO, NEW DELHI

ORDER This appeal by assessee has been directed against the order of Ld. CIT(A) – 18, New Delhi dated 19th March, 2015 for assessment. Year 2005-06 challenging reopening of assessment u/s 147/148 of I.T. Act and additions of Rs. 14,14,000/- and Rs. 32,59,000/- with interest u/s 234B of Act.

Brief facts of the case are that assessee filed return of income on 31st July, 2005 declaring income of Rs. 3,07,850/-. Information was received through AIR regarding deposit of Rs. 14,14,000/- in bank account of assessee with Central Bank of India. Since the transaction was not reflected in the return of income notice u/s 148 was issued on 22nd May, 2008 and served upon assessee.

The Assessing Officer framed reassessment order and made the additions on account of unexplained deposit with Central Bank of India and unexplained receipt while computing the income at Rs. 49,80,850/- .Ld. CIT(A) dismissed the appeal of assessee.

The assessee challenged the reopening of the assessment as well as additions on merit in the present appeal.

I have heard Ld. Representative of both the parties and perused the material on record. The validity of reassessment proceedings is to be determined on the basis of reasons recorded for reopening of assessment. Assessee has filed copy of reasons recorded for reopening of assessment at page 34 of paper book. The same reads as under :-