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2016 (1) TMI 458 - ITAT LUCKNOWReopening of assessment - assessee has wrongly claimed deduction u/s 80IC - Held that:- Assessee has furnished the consolidated tax audit report and financial statement and the notes claiming deduction under section 80IC of the Act. During the course of assessment proceeding and thereafter claim was allowed in other assessment years. Now, the Assessing Officer has taken a different stands for reopening the assessment without looking into the fact that in succeeding year the claim of deduction u/s 80IC of the Act was allowed and no interference was made by the AO by invoking the provisions of section 147 of the Act. In the light of these facts, we are of the considered view that reopening is bad in law as it amounts to change of opinion. Accordingly, we find ourselves in agreement with the order of the CIT(A). So far as the issue on merit is concerned, we find that assessee has categorically stated that entire investment in Sitarganj Unit in plant and machinery of ₹ 37,52,759/- was made during relevant assessment year as compared to NIL opening balance as on 01.04.2008 being new undertaking/enterprises. Therefore, we are of the view that the assessee is entitled for deduction u/s 80IC of the Act as the addition to the plant and machinery is required to a particular undertakings and not the assessee as whole. - Decided in favour of assessee.
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