Allowing the petition the Court held that the Assessing Officer had failed to furnish a copy of the affidavit filed by certain directors of the company in which according to the Assessing Officer the name of the assessee had appeared as one of the beneficiaries of the accommodation entries. Therefore, the notice under section 148A(b), the order under section 148A(d) and the subsequent notice under section 148 for reopening the assessment under section 147 were set aside. Liberty was given to the Assessing Officer to take any proceedings after furnishing to the assessee the relevant information available concerning the transaction in question and also affording him a personal hearing. (AY.2014-15)
Bhagwan Sahai Sharma v. Dy. CIT (2023)456 ITR 67 (Delhi)(HC)
S. 148A : Reassessment-Conducting inquiry, providing opportunity before issue of notice-Accommodation entries-Failure to furnish any material-Directed to give an opportunity of hearing-Notice and order disposing the objection is set aside. [S. 147, 148, 148A(b), 148A(d), Art. 226]