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2011 (8) TMI 477 - HC - Income TaxReassessment u/s 147/148 - Amount received on account of providing services and facilities in connection with the exploration and extraction of and production of mineral oil - The petitioner offered the revenues received from these Companies for taxation u/s 44BB of the Act - The contention of the revenue is, that the services contemplated u/s 44BB are services other than those coming within the purview of Explanation 2 to section 9(1)(vii) of the Act. The services extended by the petitioner falls under Explanation 2. Consequently, the income by way of fees for technical services chargeable under section 9(1)(vii) has to be computed under section 44DA of the Act - Held that:- As the Explanatory Note to the Finance Bill, 2010 clearly indicates that the amendments proposed in section 44BB and 44DA of the Act would take effect from 1st April, 2011 and would apply in relation to the assessment year 2011-12 and subsequent years - The amendment is prospective in nature and would not apply to the cases in hand which is of the earlier assessment years - Therefore, the explanatory note does not mean that there was failure on the part of the assessee as envisaged by the provisions of section 147 or in any manner the assessee suppressed the material facts or failed to disclose fully and truly all material facts necessary for the assessment - accordingly the notice issued by the respondent under sections 147 and 148 of the Act are quashed - Hence, The writ petitions are allowed.
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