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2015 (2) TMI 332 - HC - Income TaxReopening of assessment - legality of a notice issues u/s 148 - deduction u/s.33AC has been wrongly allowed to the assessee as assessee's main business is not operation of ships as claimed in the return of income but only ancillary services - Held that:- The reasons as furnished by the Assessing Officer to reopen the assessment do not indicate that there was failure on the part of the petitioner to fully and truly disclose any material fact in regard to the nature of its business so as to claim deductions under section 33 AC of the Act. The entire basis of reopening the petitioner’s assessment is the opinion of the CIT (Appeals) as contained in his letter dated 13.2.2007 which is nothing but the petitioner’s own disclosure in regard to the nature of the petitioner’s business. This assertion of the Assessing Officer thus in no manner can legally justify reopening of the assessment after four years from the end of the relevant assessment year. Moreover, an action to reopen the assessment on a mere change of opinion is wholly impermissible in law. We are therefore of the clear opinion that the Assessing Officer has acted without application of mind and wholly without jurisdiction in issuing the impugned notice to reopen the assessment of the petitioner. - Decided in fvaour of assessee.
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