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2016 (6) TMI 650 - HC - Income TaxReopening of assessment - assessee has wrongly claimed exemption u/s 11(1)(a) of the Act on accumulated income and thereby has failed to disclose truly and fully all material facts - Held that:- From the reasons recorded with the Assessing Officer for issuing notice for reopening, it can be seen that it was only upon verification of case records that he noticed certain discrepancies in the tax liability of the assessee. Neither in the reasons recorded there is any reference that income chargeable to tax escaped assessment due to failure on the part of the assessee to disclose truly and fully all material facts, nor such factor can be inferred upon giving all the reasons. In fact, the reasons start with the expression “on verification of the case records, it is noticed that …”. Thus, the relevant facts were very much on record when the original assessment was framed and even according to the Assessing Officer, there was no failure on the part of the assessee to disclose material facts. Appellate Tribunal is correct in law on quashing the order passed u/s 143(3) r.w.s. 147 of the Act - Decided against revenue
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