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2011 (4) TMI 1166 - HC - Income TaxReopening of assessment - beyond a period of 4 years from the end of relevant AY - as per AO expenditure allowed as a revenue expenditure could have been allowed as capital expenditure – Held that:- On a plain reading of the reasons recorded, it is apparent that there is not even whisper as regards any failure on the part of the petitioner to disclose fully and truly all material facts necessary for its assessment. All that is stated is that the expenditure, which has been allowed as a revenue expenditure could have been allowed as capital expenditure in the light of the decision of CIT v. Coal Shipments P. Ltd. [1971 (10) TMI 6 - SUPREME Court] and Gujarat Mineral Development Corporation Ltd. v. CIT [1982 (8) TMI 35 - GUJARAT High Court] As in the reasons recorded, it is stated that due to mistake income had been underassessed. This mistake apparently is the mistake on the part of the AO who framed the original assessment in allowing the expenditure which, according to the successor-AO could have been held to be capital expenditure. Thus the basic requirement in invoking the provisions of section 147 is clearly not satisfied in this case - Decided in favor of assessee
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