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2019 (12) TMI 377 - BOMBAY HIGH COURTReopening of assessment u/s 147 - basis for issuance of notice under Section 148 merely because the orders for block assessment had been reversed by the Tribunal - HELD THAT:- Ruling in Smt. Mira Ananta Naik and others [2008 (8) TMI 800 - BOMBAY HIGH COURT] completely supports the contentions raised by and on behalf of the petitioners and on the basis of reasoning reflected therein, in this case as well, the impugned notice dated 18.10.2006 and the impugned order dated 31.01.2007 deserve to be quashed. In this case as well, block assessment orders have been made treating this amount as income vide order dated 27.09.2002. This order was however reversed by the Commissioner (Appeals) on 13.07.2006 and soon thereafter the respondents, proceeded to issue impugned notice dated 18.10.2006, even though, there was really no material to suggest that any income had escaped assessment. Since, in the present case there was full disclosure and in fact, the amount had even become the subject matter of the assessment both under Section 158 BC and Section 143(3) of the I.T. Act, there could have been no reason to believe that the income chargeable to tax had indeed escaped assessment. In Asian Paints Ltd. [2008 (7) TMI 237 - BOMBAY HIGH COURT] this Court had held that in a situation where according to the assessing officer he failed to apply his mind to relevant material in making assessment order, he cannot take advantage of his own wrong and reopen assessment by taking recourse to provisions of section 147/148 of the I.T. Act. In the present case, the assessing officer in the course of regular assessment had in fact asked for information in relation to this very amount of ₹ 10.33 Crores. This information was duly furnished by the petitioners. Only thereafter, the assessing officer made orders dated 21.03.2005 under Section 143(3) of the I.T. Act. In these circumstances, it was no longer open for the respondents to issue the impugned notice under Section 147/148 of the I.T. Act.
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