Reassessment initiation solely based on report of Investigation Wing liable to be quashed

Future Tech IT Systems Pvt. Ltd. Vs ITO (ITAT Chandigarh) Conclusion: Reassessment proceedings initiated upon report of the Investigation Wing was not valid as AO had not applied his mind independently and acted solely upon the report of the Investigation Wing. Held: Assessee derived its income from IT services and filed its return of income declaring income of Rs. 2,55,860/-. Later on AO received the information from Director of Income Tax (Intelligence & Criminal Investigation) Chandigarh that assessee had received huge share premium during the year under consideration and there was noth...