Accommodation entries: Reopening based on mere DDIT (Inv) information is Invalid 

Allied Engineers and Elastomers Vs ITO (ITAT Mumbai) In the case of Allied Engineers and Elastomers Vs ITO-18(1)(1) (ITAT Mumbai), the Income Tax Appellate Tribunal (ITAT) ruled against the Income Tax Officer’s (ITO) decision to reopen the assessment for AY 2009-10. The reopening was challenged by the assessee on the grounds of being invalid and based on insufficient evidence. The ITO had reopened the assessment based on information alleging bogus purchases from M/s Giriraj Enterprises, which were contested by the assessee. The appeal included objections regarding the validity of the reo...