Mechanical Approval with Vague and Scanty Reasons is invalid: ITAT Kolkata

Sudha Surana Vs ITO (ITAT Kolkata)

In the Sudha Surana vs. ITO case, the Income Tax Appellate Tribunal (ITAT) Kolkata addressed the validity of a reassessment initiated under Section 147 of the Income Tax Act. The tribunal found that the Assessing Officer (AO) had reopened the assessment based on vague and ambiguous reasons, indicating a lack of application of mind. The AO’s recorded reasons contained conflicting information and lacked specific transaction details, rendering them insufficient for a valid reassessment. Furthermore, the ITAT scrutinized the approval granted by

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