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2014 (5) TMI 509 - AT - Income TaxValidity of reopening of assessment u/s 147 of the Act – Mere change of opinion – Held that:- There is no dispute that reopening of assessment in this case has been done within 4 years - AO while allowing claim of the assessee u/s 80HHC on traded goods - while allowing the claim of the assessee u/s. 80HHC detailed inquiry was made as to why all the other expenses which were not directly attributable to export of trading goods should not be considered as indirect cost and be apportioned accordingly and only after verifying the assessee’s contention which was found to be correct as the assessee was able to identify and co-relate every export with specific purchases made from Baroda office, AO allowed the claim of the assessee - reopening of the assessment on the part of the AO was nothing but a case of change of opinion which is not sustainable in law. Following Gujarat Power Corporation Ltd vs. ACIT [2012 (9) TMI 69 - Gujarat High Court] and CIT Vs. Kelvinator of India Ltd. [2010 (1) TMI 11 - SUPREME COURT OF INDIA] - the AO did not give any specific finding accepting the claim of the claim of the assessee makes no difference if the issue was processed at the time of original assessment proceedings - if the entire material has been placed by the assessee before the AO at the time when the original assessment was made and the AO applied his mind to that material and accepted the view taken by the assessee - Merely because he did not express this in the assessment order that by itself would not come as a ground to a conclude that assessee has escaped assessment and therefore, the assessment needed to be reopened - order passed by AO u/s 143(3) read with section 147 is not sustainable in law – Decided in favour of Assessee.
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