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2012 (12) TMI 688 - HC - Income TaxReassessment of an assessment within four years - Notice u/s 148 - capital assets u/s 2(14) - change of opinion - held that:- It is true that the impugned notice has been issued within a period of four years from the end of relevant assessment year. Therefore, the requirement that the income chargeable to tax should have escaped assessment for the reason of the failure on the part of the assessee to disclose truly and fully all material facts need not be established. However, as held by the Apex Court in case of Commissioner of Income-Tax Vs. (1) Kelvinator of India Ltd. (2) Eicher Ltd. (2010 (1) TMI 11 - SUPREME COURT OF INDIA) reopening even within four years would not be permissible on a mere change of opinion. Similarly in a recent decision Full Bench of Delhi High Court by a majority opinion in case of Commissioner of Income Tax Vs. Usha International Ltd. [2012 (9) TMI 767 - DELHI HIGH COURT] held that Reassessment proceedings will be invalid in case an issue or query is raised and answered by the assessee in original assessment proceedings but thereafter the AO does not make any addition in the assessment order. In such situations it should be accepted that the issue was examined but the AO did not find any ground or reason to make addition or reject the stand of the assessee. He forms an opinion. The reassessment will be invalid because the AO had formed an opinion in the original assessment, though he had not recorded his reasons. Notice quashed - Decided in favor of assessee.
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