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2012 (11) TMI 310 - AT - Income TaxRe-opening of Assessment - Held that:- Reopening is merely change of opinion of the Assessing Officer and he should have tangible material for forming an opinion that there has been an escapement of income.`Reason to believe’ will not include mere change of opinion. Respectfully following the ratio laid down by the Hon’ble Delhi High Court in the case of [CIT vs Kelvinator India Ltd. 2002 (4) TMI 37 - DELHI HIGH COURT ], order of the CIT(A) is upheld in treating the reassessment made by the AO u/s 148 is null and void. Further,an audit opinion in regard to the application or interpretation of law cannot be treated as information for reopening the assessment u/s 147(b) of the Act, as held by the Hon’ble Supreme Court in the case of [CIT Vs. Lucas TVS Ltd., 2000(12) TMI 102 - SUPREME COURT] held that information with the meaning of section 147(b) includes information as to true and correct state of law as well which should come from a competent legislature or judicial order or judicial authority - grounds raised by the revenue in this regard are dismissed - In the result, appeal of the revenue is dismissed. Deduction u/s 80HHC – Assessee had adopted incorrect adjusted export turnover and adjusted total turnover and also the eligible profits for working out deduction u/s 80HHC. The assessee adopted eligible profits without reducing 90% of other income admitted as ‘conversion charges’ and ‘technical consultancy charges’ amounting to Rs. 21,87,459/- as required under Explanation (baa) to section 80HHC. Thus resulted in excess claim of deduction u/s 80HHC – Held that:- There is no escapement of Income - Reopening is merely change of opinion of the Ao - decided in favour of assessee.
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