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2016 (7) TMI 1545 - ITAT MUMBAIReopening of assessment u/s 147 - reopening after four years - recomputed the short-term capital gains on transfer of Bangalore unit under slumps a as per the provisions of section 50B - HELD THAT:- A cursory look at the reasons clearly reveal that there was no failure on part of the assessee to disclose truly and fully the material facts necessary for making assessment.Provisio to section 147 clearly mandates that for re-opening the assessment,after four years from the end of the relevant assessment year,there should be failure on part of the assessee to disclose material facts. Reassessment after a period of four years from the end of the relevant assessment year requires failure on part of the assessee. Not only there should be failure,what is important that it should be highlighted that as to how the failure took place. AO has not mentioned the very basic fact that would have given him the right to re-open the completed assessment.Secondly,it is also an admitted fact that the AO had not issued notice u/s.143(2) within the period of six months.Thus,on both the counts,order passed by the AO is invalid. Order of the FAA does not suffer from any legal infirmity.Confirming his order, we decide the effective ground of appeal against the AO.
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