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2016 (5) TMI 1177 - AT - Income TaxValidity of reopening of assessment - Held that:- Re-assessment proceedings are initiated based on the same set of information as was available at the time of original assessment proceedings and therefore it amounts to mere change of opinion which cannot be a valid ground for re-opening assessment as held by the Hon’ble Supreme Court in CIT vs. Kelvinator of India Ltd., (2010 (1) TMI 11 - SUPREME COURT OF INDIA ). In the above circumstances, we hold that formation of belief by the AO that income escaped assessment is not based on material and the substratum for the reopening was not laid down in the reasons recorded. Therefore, the condition precedent i.e. reason to belief that income escaped assessment is totally absent. This is a jurisdictional condition which requires to be satisfied for assumption of jurisdiction u/s 147. Non-satisfaction of this condition renders all the proceedings initiated u/s 147 null and void. Therefore, we have no hesitation to hold that the re-assessment proceedings initiated by AO are illegal and cannot be sustained in law. - Decided in favour of assessee
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