AO cannot ignore reply submitted by Assessee related to cash deposit for Reassessment

Hemant Manaharlal Shah (HUF) Vs ITO (Gujarat High Court)

 The Assessing Officer formed a belief that income chargeable to tax has escaped assessment, on the ground that noticing a big mismatch between the returned income and cash transactions in the assessee’s bank accounts, queries were raised, which remained un­replied. This is contrary to the facts on record. As noted, in reply to the notice dated 21.02.2017 issued by the Assessing Officer, the assessee had given a detailed reply on 06.03.2017. He had pointed out

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