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2015 (11) TMI 1209 - AT - Income TaxReopening of assessment - non serving of notice - assessee submitted that the order u/s 143(1) was passed by the AO on 21.12.2004 and the notice u/s 148 was claimed to be issued on 29.03.2011 at a wrong address which remained unserved, was beyond a period of six years - disallowance of expenditure on account of site expenses - Held that:- In the present case, it is an admitted fact that the notice u/s 143(2) of the Act was not issued before framing the assessment u/s 147 r.w.s 143(3) of the Act. This fact has also been admitted by the AO in his remand report dated 10.12.2012. AO was required to serve the notice u/s 143(2) of the Act before passing the assessment order u/s 147 of the Act within stipulated time limit but no such notice has been issued to the assessee. Therefore, the reassessment framed vide order dated 29.12.2011 was not valid. Moreover, from the reasons recorded, it is clear that the AO himself admitted that the assessee had claimed and was allowed an expenditure on account of site expenses in the profit and loss account which were of capital in nature. So, no new material came in possession of the AO for issuing the notice u/s 148 of the Act. There was nothing in the reason recorded to show that any tangible material had come into his possession subsequent to the issue of the intimation u/s 143(1) of the Act. - Decided in favour of assessee
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