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2018 (3) TMI 2027 - ITAT MUMBAIValidity of reassessment proceedings - change of opinion - reopening made after 4 years - CIT(A) has quashed re-assessment order passed by the AO on the ground that the AO has reopened assessment merely on change of opinion without-there being any fresh material which suggests escapement of income-within the meaning of section 147(b) - HELD THAT:- We find that the AO has considered the issue of prior period expenses and prior period income in the-proceedings u/s 143(3) and after considering relevant facts has made-addition towards net prior period income after setting off of prior period-expenses. AO has reopened assessment on the same set of facts-on the ground that while completing assessment u/s 143(3), addition has-been wrongly made in respect of prior period income instead of higher amount as prior period expenses cannot be netted off against write back of liability of prior period. The issue on which the reopening of assessment has been made has already been a subject matter of assessment u/s 143(3) and the AO has considered all relevant facts while completing assessment u/s 143(3). Therefore, without there being any fresh material and also any allegation-on the part of the assessee to disclose fully and truly all material facts-necessary for assessment, reopening cannot be made after 4 years-when the assessment has been concluded u/s 143(3) - CIT(A) was right in quashing assessment order passed by the AO u/s 143(3) r.w.s. 147 of-the Act. We do not find any error in the order of the CIT(A); hence, we-are inclined to uphold the findings of the CIT(A) and dismiss appeal filed by the revenue.
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