Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2014 (6) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (6) TMI 248 - AT - Income TaxValidity of reopening of assessment u/s 148 of the Act – Mere change of opinion - Held that:- The AO noticed from the statement of income, the assessee has offered income on sale of land at Gachibowli after claiming land cost though the land was sold - the assessee has sold the property along with 3 other co-owners for a consideration of Rs. 2 crores - The AO while framing assessment u/s 143(3) accepted the assessee's contention and completed the assessment and there being no tangible fresh material assessment cannot be reopened - Relying upon Commissioner of Income Tax, Delhi Versus M/s. Kelvinator of India Limited [2010 (1) TMI 11 - SUPREME COURT OF INDIA] - the AO has no power to review, he has the power to reassess - reassessment has to be based on fulfilment of certain pre-conditions and if the concept of "change of opinion" is removed, then, in the garb of reopening the assessment, review would take place - there must be some new facts which come to light in the course of assessment for the subsequent assessment year which emerge in the order of the assessment - otherwise, a mere change of opinion on the part of the AO in the course of assessment for a subsequent assessment year would not by itself legitimise reopening of assessment for an earlier year – thus, the order of the reassessment made by the AO u/s 147 of the Act is set aside – Decided in favour of assessee.
|