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2013 (11) TMI 427 - ITAT BANGALORERe-opening of assessment u/s 147 of the Income Tax Act – Reasons to believe to be mentioned in Notice issued u/s 148 of the Income Tax Act – Held that:- While completing the assessment u/s. 143(3) of the Act, the AO has gone into the question of excluding the sum of Rs.38,51,45,781 from the export turnover on the ground that it was expenditure incurred in foreign exchange for providing technical services outside India - Stand taken by the AO in the reasons recorded before issuing notice u/s. 148 of the Act is a different facet of allowing deduction under section 10A of the Act, yet it cannot be disputed that this is a stand which the AO ought to have taken while he completed the assessment proceedings u/s. 143(3) of the Act initially. Having failed to look into a different dimension on which the deduction u/s. 10A could be disallowed to the assessee, the AO cannot be permitted to take recourse to reassessment proceedings u/s. 147 of the Act - Assuming there was a failure on the part of the AO in this regard, the appropriate action can only be under section 263 of the Act - Initiation of reassessment proceedings is not valid – Decided in favor of Assessee.
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