“reason to believe”

DCIT(E), Circle- 2(1), New Delhi vs. National Internet Exchange of India, New Delhi

In the result, the appeal of Revenue is dismissed

appropriated towards ‘Marketing Fund’ in the Balance Sheet which was not an allowable expenses. In view of the facts stated above, I have reason to believe that income of Rs. 2,49,09,186/- has escaped assessment for the AY 2010-11 within the meaning of Section ... applicable from 01.04.1989, the assessing officer has the power to reopen the assessment where the assessing officer has ‘reasons to believe’ that income chargeable to tax has escaped assessment. It is respectfully submitted that it is a well settled proposition of law that proceedings under section

Janesh Goyal S/O Narender Goyal, Jind vs. ITO, Ward- 2, Jind

In the result, the appeal of the assessee in ITA No

Bench: Shri G.S.Pannu & Shri Kul Bharat[Assessment Year : 2009-10] Janesh Goyal S/O. Narender Goyal Vs Ito C/O Pirthi Chand Munna Lal, Uchana Ward-2 Mandi, Jind, Haryana Aayakar Bhawan, 1234, Pan-Agzpg4095Q Urban Estate, Jind, Haryana Appellant Respondent Appellant By Shri Prem Rajpal, Adv Respondent By Shri Kumar Padmapani Bora, Sr. Dr Date Of Hearing 22.11.2021 Date Of Pronouncement 09.12.2021

Rs.514435/- against the returned income in a sum of Rs. 154435I-. ii) initiating proceedings u/s 147 of the Act without there being any reason to believe that income has escaped assessment; passing order y/s 147/»143(3) of the Act without supplying copy of iii) reasons & without giving opportunity

ITO, New Delhi vs. M/S. S. Systems Pvt. Ltd., New Delhi

In the result, appeal of the Revenue is dismissed

Bench: Sh. Anil Chaturvedi & Sh. Amit Shukla(Through Video Conferencing) Ito Vs. M/S S. System Pvt. Ltd. Ward – 22(1), House No. 5, Block A-31, New Delhi Main Shastri Gali, Maujpur, Pan : Aaics 0471 J New Delhi-110 053 (Appellant) (Respondent) Assessee By Shri Sanjay Mehra, C.A. Revenue By Shri Kumar Pranav, Sr. D.R. Date Of Hearing: 22.11.2021 Date Of Pronouncement: 08.12.2021 Order Per Anil Chaturvedi, Am:

material/ information received from the office of the DIT(Investigation) and that the AO without even recording reasons concluded that he has reason of believe that the income has escaped assessment and sought necessary approval under section 151(2) of the Act to issue notice under section ... also given a finding that there was neither any application of mind nor any basis of the AO to reason to believe that income has escaped assessment. He has further noted that AO had proceeded to initiate proceedings under section 148 of the Act only on the basis of information

Ramesh Chand Investment & Leasing Pvt. Ltd., New Delhi vs. ACIT, Circle- 21(2), New Delhi

Bench: Smt. Diva Singh & Shri R.K. Pandaassessment Year: 2004-05 Ramesh Chand Investment & Vs. Acit, Leasing Pvt. Ltd., Circle-21(2), 69/2A, Najafgarh Road Industrial New Delhi. Area, New Delhi. Pan:Aaccr3585Q (Appellant) (Respondent) Assessee By : None Revenue By : Shri Anilgandhi, Sr. Dr Date Of Hearing : 06.12.2021 Date Of Pronouncement : 07.12.2021 Order Per R.K. Panda, Am: This Appeal Filed By The Assessee Is Directed Against The Order Dated 1St March,2013 Of The Cit(A)-18, New Delhi, Relating To Assessment Year 2004-05. 2. None Appeared On Behalf Of The Assessee At The Time Of Hearing. No Application For Adjournment Of Hearing Has Been Filed. A Perusal Of The Order Sheet Entries Shows That No One Was Appearing On The Previous Occasions. Although Notices Have Been Sent By The Registry Through Rpad, Every Time The Same Was Returned By The Postal Authorities With The Remark ‘No Such Person In The Address.’ The Assessee Has Also Not Taken Any Step To Intimate The Change Of Address, If Any. Under These Circumstances, We Deem It Proper To Decide The Appeal On The Basis Of The Material Available On Record & After Hearing The Ld. Dr.

valid. I find that the reopening u/s 147/148 has been done by the AO after recording of reasons as per law showing “reason to believe”, based on information received from the Investigation Wing, and after approval of competent authority. In this connection reference is also placed on the following judicial ... Assistant Commissioner of Income-tax v. Rajesh Jhaveri Stock Brokers P. Ltd. [2007] 291 ITR 0500 has held as under:- “The expression “reason to believe” in section 147 would mean cause or justification. If the Assessing Officer has cause or justification to know or suppose that income had escaped assessment

Vijayshree Food Products P.Ltd, New Delhi vs. ACIT, Central Circle-30, New Delhi

In the result, both these appeals are partly allowed

Bench: Shri R.K. Panda & Ms Suchitra Kambleassessment Year: 2014-15 Vijayshree Food Products P. Ltd., Vs. Acit, C/O Ravi Gupta, Advocate, Central Circle-30, E-6A, Kailash Colony, New Delhi. New Delhi. Pan: Aaccv4721C (Appellant) (Respondent) Assessee By : Shri P.C. Yadav, Advocate Revenue By : Shri Prakash Dubey, Sr.Dr Date Of Hearing : 09.09.2021 Date Of Pronouncement : 06.12.2021 Order Per R.K. Panda, Am: This Appeal Filed By The Assessee Is Directed Against The Order Dated 28Th December, 2018 Of The Cit(A)-30, New Delhi, Relating To Assessment Year 2014-15. 2. Facts Of The Case, In Brief, Are That The Assessee Is A Company Engaged In The Business Of Manufacturing & Export Of Tobacco Products. It Filed Its Return Of Income On 30Th September, 2014 Declaring The Loss Of Rs.18,78,467/-. The Return Was Processed U/S 143(1) Of The Act On 26Th November, 2014 At The Returned Income. Subsequently, The Ao Reopened The Assessment As Per The Provisions Of Section 147 Of The Act By Recording The Following Reasons:-

expression “reason” means cause or justification. It has to be based upon some material. Further the expression used in 147 is “has reason to believe” which does not 12 mean “has reason to suspect”. For the above proposition, he relied on the following judgments:- (i) Ganga Prasad Maheswari

Anita Khatri, New Delhi vs. ITO Ward-39(5), New Delhi

In the result, both appeals of the assessee are

Bench: Shri R.K. Panda

Assessing Officer in initiating proceedings under Section 147/148 of the Income Tax Act, 1961 (‘the Act’) without there being any valid reason to believe any escapement of income; ii. confirming the addition made by the Assessing Officer in a sum of Rs. 13,51,000/- on account of cash deposited ... 147/148 being without valid reason. The additional ground is accepted for adjudication. However, it is devoid of merit since the AO formed a reason to believe not mechanically on the basis of AIR information, but after giving opportunity to the appellant even before initiating proceedings and also checking from data

Anita Khatri, New Delhi vs. ITO Ward-39(5), New Delhi

In the result, both appeals of the assessee are

Bench: Shri R.K. Panda

Assessing Officer in initiating proceedings under Section 147/148 of the Income Tax Act, 1961 (‘the Act’) without there being any valid reason to believe any escapement of income; ii. confirming the addition made by the Assessing Officer in a sum of Rs. 13,51,000/- on account of cash deposited ... 147/148 being without valid reason. The additional ground is accepted for adjudication. However, it is devoid of merit since the AO formed a reason to believe not mechanically on the basis of AIR information, but after giving opportunity to the appellant even before initiating proceedings and also checking from data

Ghanshyam, Ghaziabad vs. ITO, Ward-1(2), Ghaziabad

In the result, the appeal of the assessee is allowed

Bench: Sh. A. D. Jaindr. B. R. R. Kumarita No. 3692/Del/2018 : Asstt. Year : 2008-09 Ghanshyam, Vs Income Tax Officer, S/O Late Shri Hari Singh, Ward-1(2), R/O Village-Saddique Nagar, Ghaziabad Sehani, Ghaziabad (Appellant) (Respondent) Pan No. Aqhpg9011C Assessee By : Sh. Amit Goel, Adv. Revenue By : Sh. Umesh Takyar, Sr. Dr Date Of Hearing: 25.10.2021 Date Of Pronouncement: 30.11.2021

moot issue before us is “whether the reasons recorded by the Assessing Officer u/s 148 of the Act can be construed as “reasons to believe” that any income of the assessee had escaped assessment or not.” 4. In order to initiate proceedings u/s 147, the Assessing Officer has to comply ... Under the scheme of the Act, the Assessing Officer 2 Ghanshyam can initiate proceedings u/s 147 of the Act only if he has “reasons to believe” that any income of the assessee has escaped assessment. 5. The reasons recorded before issue of notice u/s 148 of the Income

Seema Singhal, Hapur vs. ITO, Ward- 3(5), Hapur

In the result, appeal of the assessee is allowed

Bench: Sh. Anil Chaturvedi(Through Video Conferencing) Seema Singhal, Hapur Vs. Ito C/O. Pradeep & Co., Ward – 3(5) 7, Navyug Market, Hapur Ghaziabad, Uttar Pradesh – 201 001 Pan : Awpps 0757 B (Appellant) (Respondent) Assessee By Shri Satyajeet Goel, C.A. Revenue By Ms. Sangeeta Yadav, Sr. D.R. Date Of Hearing: 28.10.2021 Date Of Pronouncement: 25.11.2021 Order Per Anil Chaturvedi, Am:

Ghaziabad, the approval u/s 151 to the said notice is mechanical and without verification of basic jurisdictional fact. 2. That the reasons to believe u/s 148 were recorded by ITO, Ward 2(4), Ghaziabad and the assessment order having been passed by ITO Ward 3(5), Hapur, the assessment order ... Section 147 of the Income Tax Act authorizes and permits the AO to assess or reassess income chargeable to tax if he has reason to believe that income for assessment year has escaped 7 assessment. The word “reason” in the phrase “reason to believe” would mean cause or justification

ITO, Ward-17(1), New Delhi vs. Momentum Technologies P.Ltd, New Delhi

The appeal of the Revenue is dismissed

Bench: Ms Suchitra Kamble & Sh. Prashant Maharishii.T.A. No. 5803/Del/2017 (A.Y 2012-13) (Through Video Conferencing) Vs Momentum Technologies P. Ito Ward-17(1) Ltd. B-21, Moti Nagar, Room No. 323A, C. R. Building, New Delhi New Delhi Aaccm6467C (Appellant) (Respondent)

section 139, or in response to a notice under sub-section (1) of section 142, the Assessing Officer shall,— (i) where he has reason to believe that any claim of loss, exemption, deduction, allowance or relief made in the return is inadmissible, serve on the assessee a notice specifying particulars

ITO, New Delhi vs. M/S. Sunlight Tour and Travels Pvt. Ltd., Sahibabad

In the result, the appeal filed by the Revenue in ITA No

Bench: Shri N.K. Billaiya & Shri Sudhanshu Srivastava[A.Y 2007-08]

records I am of the considered opinion that the Ld. AO has rightly initiated proceedings u/s 147/148 of the Act as he has reason to believe that income has escaped assessment and there is tangible material to come to the conclusion that there is escapement of income in view ... perusal of the reasons recorded, extracted hereinabove, for reopening assessment clearly shows that the Assessing Officer had reasons to believe that income to the extent of Rs. 88 lakhs, as per information mentioned in the reasons, escaped assessment in the case of the assessee for Assessment Year

Sastvijay Investment & Consultancy Services P.Ltd, New Delhi vs. ITO, Ward-22(4), New Delhi

In the result, both the appeals filed by the assessee are allowed

Bench: Shri R.K. Panda & Shri Vijay Pal Rao

original assessment and sought to be done in a different manner in the proceedings u/s 147 of the Act, Rather the reason to believe was appropriately understood by the Assessing Officer and there was material on the basis of which the notice was issued'. Similarly, in other case, Rajat Export ... further argued by the appellant that the AO has not established any live link between the information sent by Investigation Wing with the reasons to believe of escapement of income of the assessee and no independent enquiry was conducted by him before recording reasons as the examination and verification

M/S Bhartiya Samruddhi Finance Ltd., New Delhi vs. DCIT, New Delhi

In the result, appeal of the Assessee is allowed

Bench: Shri R.K. Panda & Shri Mahavir Prasad

Delhi. this is a fit case for re-opening u/s. 147 of the I.T. Act, 1961. In view of the above, I have reason to believe that income to the tune of Rs.1,07,00.000/- as discussed above, has escaped assessment within the meaning of section ... Court reads as under : “After the Amending Act, 1989, Section 147 reads as under: "Income escaping assessment. 147. If the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of sections

Alok Gupta, New Delhi vs. DCIT, Circle-1(3)(1) (Internaqtional Taxation), New Delhi

In the result, both the appeals filed by the assessees are allowed and the Stay applications filed by the assessee are dismissed

Bench: Shri R.K. Panda & Ms Suchitra Kamble

assessee has neither filed his return of income for the A.Y. 2010-11 nor offered, any income for taxation. Therefore, I have reason to believe that income amounting Rs. 59,25,000/-chargeable to tax has escaped assessment in A. Y. 2010-11. This is a fit case for initiating ... facts of the case, appellant submission and assessment order of the AO. The relevant facts of the case are that the no reason to believe. The extracts of .the reason to believe are reproduced as under; "An Information has been received from ITO (Inv) Unlt-6 that Sh. Alok Gupta

DCIT, New Delhi vs. M/S. Himachal Futuristic Communications Ltd., New Delhi

Appeal of the assessee is allowed

Bench: Shri Kul Bharata N D Shri Prashant Maharishi(Through Video Conferencing)

account of purchases of software from Washington Ltd., Pune stating that, based on the information from DDI-Unit (1), Pune, the A.O. had reason to believe that income of assessee had escaped assessment by Rs.52,72,500/-. The statement of Mr. Sanjay Sonawani, Director of Washington Software before the Deputy ... provided opportunity to the assessee to cross examine Sh. Sanjay Sonawani, whose statement was relied upon by him to form reason to believe for reassessment and made the addition. 3. The appellant craves leave to add or to amend the grounds of appeal before the appellant is heard

M/S. Himachal Futuristic Communications Ltd., New Delhi vs. DCIT, New Delhi

Appeal of the assessee is allowed

Bench: Shri Kul Bharata N D Shri Prashant Maharishi(Through Video Conferencing)

account of purchases of software from Washington Ltd., Pune stating that, based on the information from DDI-Unit (1), Pune, the A.O. had reason to believe that income of assessee had escaped assessment by Rs.52,72,500/-. The statement of Mr. Sanjay Sonawani, Director of Washington Software before the Deputy ... provided opportunity to the assessee to cross examine Sh. Sanjay Sonawani, whose statement was relied upon by him to form reason to believe for reassessment and made the addition. 3. The appellant craves leave to add or to amend the grounds of appeal before the appellant is heard

Saraswati Realtech P.Ltd, New Delhi vs. ITO, Ward-22(3), New Delhi

In the result, the appeal filed by the assessee is allowed

Bench: Shri R.K. Pandaassessment Year: 2010-11 Saraswati Realtech P. Ltd., Vs. Ito, B-23, Ground Floor, Ward-22(3), Pushpanjali Enclave, New Delhi. Pitampura, New Delhi. Pan: Aamcs0744G (Appellant) (Respondent) Assessee By : Shri Rajesh Jain, Ca & Shri Hemant Pahwa, Ca Revenue By : Shri R.K. Gupta, Sr.Dr Date Of Hearing : 14.10.2021 Date Of Pronouncement : 29.10.2021 Order

Finlease Pvt. Ltd., M/s Sunny Cart & Forge Ltd. and M/s Aasheesh Capital Services Pvt. Ltd. in the F.Y. 2009-10, the AO recorded reasons to believe that income had escaped assessment and after recording reasons, issued notice u/s 148 of the Act dated 25th March, 2013. The AO completed ... post search enquiries, as discussed above. Considering all these material in totality there is enough credible material on record to have a reason to believe that share application money/loan received by the assessee company during the year under consideration are merely a accommodation entries for which the assessee company

ACIT, New Delhi vs. M/S. Maharaji Education Trust, Ghaziabad

The appeal are dismissed

Bench: Shri Kuldip Singh & Shri Prashant Maharishi(Through Video Conferencing)

unaccounted fees /donations from various students who are allowed admission in various courses of the institution. In view of the above I have reason to believe that assessee has failed to disclose truly and fully all metal facts in his return of income for above assessment year, the income chargeable ... distinguishable from the present case, as in the said case, there was no material on record to provide foundation for Assessing Officer's reasons to believe. Therefore, it was held that the recording of the satisfaction by the Assessing Officer was unjustified and without independent application of mind. However, there

Rajesh Tyagi, Ghaziabad vs. ITO Ward - 2(2), Ghaziabad

In the result, appeal of the Assessee is allowed for statistical purposes

Bench: Shri R.K. Panda

which is issued hence notice is void ab initio and subsequent proceedings/order is illegal. 4. Because, there is no reason to believe and/or there is no satisfaction of learned assessing officer or even of superior authority who had given approval mechanically without even observing the provisions

Madan Mohan Tiwari, New Delhi vs. ITO, Ward- 29(3), New Delhi

In the result, the appeal of the assessee is stands

Bench: Shri R.K.Panda & Shri Sanjay Gargassessment Year : 2008-09 Madan Mohan Tiwari, Vs Income Tax Officer, J-145, Kalkaji, Ward-29(3), New Delhi-110019 Room No.1015, 10Th Floor, Block-E2, Dr. S.P. Mukharjee Civic Centre, Minto Road, New Delhi-110002 Pan-Aeqpt1251F Appellant Respondent

bank account in various banks and were having 39 debit cards. Therefore on the basis of the facts narrated above, I have reasons to believe that the income of the assessee amounting to Rs.1,76,11,272/- has escaped assessment in the hands of the assessee for which the assessment ... bank accounts in various banks and were having 39 debit cards. Therefore, on the basis of the facts narrated above, I have reason to believe that the income of the assessee amounting to Rs. 1,76,11,272/- has escaped assessment in the hands of the assessee for which