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2012 (6) TMI 238 - ITAT DELHI
Annulling the assessment passed u/s 147/143(3)by CIT - assessment reopened – return declaring nil income after claiming set off of unabsorbed depreciation & book profits - addition of Rs.10,70,000/- being the 25% of royalty capitalized - Held that:- the AO reopened the assessment completed on 24.3.2003 u/s 143(3) of the Act merely on the basis of facts already available before him at the time of original assessment proceedings there is nothing to suggest that all the primary facts were not disclosed by the assessee at the time of original assessment nor any failure on the part of the assessee to disclose fully and truly all the material facts has been ascribed in the circumstances - It is well-settled that if a notice under section 148 of the Act has been issued after four years from the end of relevant assessment year there being no proof of failure on the part of the assessee to disclose fully and truly all material facts and thus, liable to be struck down – as during the course of assessment proceedings the AO raised a specific query relating to royalty expenses and indisputably, the assessee submitted a detailed reply no point of hiding any information – against revenue.