Reassessment Without Furnishing Reasons Invalid: ITAT Mumbai

Raghunandan Bhomia Vs DCIT (ITAT Mumbai) Assessee was searched u/s 132 & based on information available from the seized material, AO made additions on account of unexplained money & jewellery u/s 69A. 148 notice was issued after recording reasons. Despite a specific request by assessee, AO did not supply the reasons for reopening assessment. In appeal, assessee had relied on the Supreme Court’s decision in GKN Driveshafts ( India) Ltd. vs. ITO [2002] wherein it was held that without furnishing the reasons recorded by AO, the completion of assessment is not sustainable in law. AO was ...