Cemach Machineries Ltd. v. ITO (2021) 280 Taxman 98 (Guj.)(HC)

S. 147 : Reassessment-With in four years-Bogus purchases-Unexplained expenditure-Accommodation entries-Reassessment proceedings is held to be valid. [S. 69C, 143(1), 148, Art. 226]

Dismissing the petition the Court held that as per the reasons recorded and materials relied upon by AO, it appeared that AO himself was satisfied with regard to information and other materials available with him and came to conclusion that transactions of purchases shown by assessee in books of account were bogus. On facts reopening notice issued against assessee whose return was accepted without scrutiny was justified. (AY. 2012-13)