Deepak Agarwal Vs DCIT (ITAT Delhi)
Material Facts
The assessee filed four appeals for Assessment Years (AYs) 2013-14, 2014-15, 2018-19 and 2021-22 against orders of the Commissioner of Income Tax (Appeals). AYs 2013-14 and 2014-15 involved reassessment proceedings under Sections 147/148, while AYs 2018-19 and 2021-22 involved assessments under Section 143(3). The additions related to alleged unexplained income and commission income arising from accommodation entries, which were sustained by the CIT(A). Before the Tribunal, the assessee primarily challenged the assessments on legal grounds.
Procedural History
- AY 2013-14: Originally assessed under Section 153A/143(3), later reopened under Section 148 by notice dated 31.03.2021.
- AY 2014-15: Originally assessed under Section 153A/143(3), later reopened under the post-01.04.2021 regime through Sections 148A(d) and 148.
- AY 2018-19: Subjected to scrutiny assessment under Section 143(3).
- AY 2021-22: Scrutiny assessment was initiated following a search conducted on 17.11.2021 and completed under Section 143(3).
Legal Issues
The Tribunal examined, among others:
- Whether reassessment proceedings for AYs 2013-14 and 2014-15 were invalid due to non-supply of approval under Section 151 and the material relied upon in the recorded reasons.
- Whether reassessment for AY 2014-15 was invalid where the final addition differed from the basis of reopening and the surviving addition was below the threshold under Section 149(1)(b).
- Whether the AY 2018-19 assessment was sustainable without specifying the deeming provision under Sections 68 to 69D.
- Whether the AY 2021-22 assessment arising from a post-01.04.2021 search could validly be framed under Section 143(3) instead of Section 148.
- Whether the approval dated 28.06.2022 for AY 2021-22 was invalid as it merely contained the word “Approved” and was unsigned.
Relevant Statutory Provisions
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