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2014 (4) TMI 750 - HC - Income TaxValidity of power u/s 147/148 of the Act – Reopening of assessment – Reason to believe – Held that:- The “reasons to believe” nowhere reveal as to what tangible material which the AO came to obtain to justify the reassessment notice - the reassessment notice was based on the assumption that a much larger income had accrued to the assessee whereas only a fraction of its was offered in the P & L account - a somewhat similar ground has been made out i.e. that of expenses incurred abroad have not been revealed - This was an aspect which was known to the AO at the time of the original assessment – Relying upon CIT V. Kelvinator of India Ltd. [2010 (1) TMI 11 - SUPREME COURT OF INDIA] - the explanations by the assessee appear to have been taken into account - A virtual assertion of the same reasons in different words does not clothe the reassessment notice with any more sanctity, nor does it take away the vice of lack of jurisdiction - an assessment cannot be reopened merely to verify the genuineness of the expenses as that would amount to an impermissible fishing or rowing enquiry without any tangible material to show escapement of income – the notice is no justified and is beyond the authority of law – Decided in favour of Assessee.
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