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2012 (10) TMI 209 - ITAT DELHIValidity of notice issued u/s 148 beyond a period of 4 years from the end of relevant AY - assessment reopened on ground that payment of royalty and FTS is not allowable as 100% revenue expenditure and was to be treated as 25% capital expenditure - Held that:- It is observed that reasons recorded by the AO for issuing notice u/s 148 are based on the material which was before him at the time of original assessment. Also, “reason to believe” should come into existence only when some material facts have not been disclosed or furnished by the assessee at the time of assessment u/s 143(3) and which came to the knowledge of the AO subsequent to completion of original assessment. Assessee having made full disclosure of material facts in the return accompanied by several annexures and enclosures, the assessment could not be reopened beyond four years from the end of relevant assessment year only for the reason that certain income has been wrongly assessed under a wrong head of income. In present case, we are unable to see existence of any additional material or opinion subsequent to the completion of assessment for the year under consideration. Therefore, on merits, the action of the AO for reopening of assessment by issuing notice u/s 148 after substantial lapse of time and after expiry of four years from the end of relevant AY is not justified - Decided in favor of assessee Condonation of delay in filing appeal by Revenue - 48 days - Held that:- It is observed that the initial decision and action was taken at appropriate time and a letter of authorization was sent. However, due to transfer and handing over and taking over charge by respective officers, this communication was delayed and finally this appeal could be filed with a delay of 48 days. Since there is no malafide or willful omission of duty on the part of the officers of the Revenue and the cause offered for the same seems to be bonafide and acceptable, delay is condoned
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