Vinod Kumar Solanki Vs ACIT (Delhi High Court)
Delhi High Court held that mechanical approval granted by PCIT, vide general order of approval for all the 111 cases without satisfactorily record, for action under section 147/148 of the Income Tax Act is not valid.
Facts- Petitioner filed the original return of income for the Assessment Year 2015-16, declaring an income of Rs. 23,14,930/-. Revised return was filed on 28.01.2017, declaring an income of Rs. 26,64,930/-. The return was processed u/s. 143(1) of the Income Tax Act, 1961. Respondent No. 1 issued a notice dated 30.03.2021 u/s. 148 of the Act for the AY 2015-16. To comply with the impugned notice, petitioner filed his return of income on 03.12.2021, declaring income amounting to Rs. 26,64,930/-.
On 12.01.2022, notice u/s. 143(2) of the Act was issued by respondent No. 3 on the basis of information received by respondent No. 1 from Insight portal. Petitioner was identified as one of the parties/entities who made financial transactions with BKR Capitals Pvt. Ltd. He had made a transaction of Rs. 31,07,963/- with BKR Capitals Pvt. Ltd. to bring his unaccounted money/cash into his books of accounts to avoid tax during the relevant AY 2015-16.
The present writ petition has been filed challenging the notice u/s. 148 of the Act dated 30.03.2021 as wholly without jurisdiction, illegal, bad in law, barred by limitation and liable to be quashed.
