Sandesh Projects Pvt. Ltd. vs. Income Tax Officer, Mumbai

Parties Involved

Facts Summary

Sandesh Projects Pvt. Ltd., a real estate development company, filed its income return for the assessment year 2010-11. The Income Tax Officer issued a notice under section 148 of the Income Tax Act, 1961, leading to a reassessment. The reassessment was based on information from an investigation that revealed the assessee received Rs. 46 lakhs as share capital from two companies, Casper Enterprises Private Limited and Duke Business Private Limited, which were found to be operated by an accommodation entry provider. The assessing officer added Rs. 46 lakhs under section 68 of the Income Tax Act, which the assessee appealed against. The Commissioner (Appeals) confirmed the addition, leading to the current appeal by the assessee.…

Legal Issues

• 1. Whether the addition under section 68 of the Income Tax Act is justified?
• 2. Whether the reopening of the assessment is valid?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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