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2013 (11) TMI 531 - HC - Income TaxInadequate reasons for re-opening of assessment u/s 147 of the Income Tax Act – Held that:- Reliance has been placed on the Apex court judgment in the case of ACIT v. Dhariya Construction Co. [2010 (2) TMI 612 - Supreme Court of India], in which the Supreme Court held that the opinion of the DVO per se is not an information for the purpose of reopening of assessment u/s 147 of the Act. The AO has to apply his mind to the information, if any, collected and must form a belief thereon. In the present case, there is nothing to show that there was any material other than DVO's report, which is only an estimation to issue notice under Section 148 of the Act. The A.O. may be justified in assessment proceedings to obtain report of DVO to meet the estimation of the cost of construction made by the assessee. Having completed assessment it was not open for the AO, in the absence of any material, which includes information, to doubt on the completed assessment and to reassess the assessee on the basis of the report of DVO.
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