Cash Deposits Alone Cannot Justify Reopening of Assessment: ITAT Delhi

Atar Singh Vs ITO (ITAT Delhi) AIR Cash Deposit Alone Not Enough for Reopening; Contradictory “Reasons to Believe” Quash Reassessment – ITAT Delhi The Delhi Bench of the ITAT, in Sh. Atar Singh vs. ITO, Ward-1(1), Faridabad (ITA No.2732/Del/2025, AY 2012-13, order dated 19-12-2025), quashed the reassessment proceedings initiated u/s 147/148, holding that the “reasons to believe” were contradictory, vague and reflected complete non-application of mind. The Tribunal noted that the AO reopened the assessment solely on the basis of AIR information of cash deposits of ₹95.23 lakh in the...