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2017 (11) TMI 1355 - HC - Income TaxReopening of assessment - failure on the part of the assessee in bifurcating the receipts into outside India and inside India - Held that:- The assessee has conducted the business in India with regard to its contract with ONGC during the year and has thus failed to tax the entire receipts in India as business income at maximum marginal rate as per the Income Tax Act. There was also failure on the part of the Assessing Officer in computing the income from outside India at a low rate. In the relevant assessment year, whether the receipts were taxed as business income, was never discussed by the Assessing Officer. For the relevant assessment year, the issue for taxation of entire revenue in India was not taken up by the Assessing Officer. Thus, according to the reasons assigned, there was tangible material for formation of belief by the Assessing Officer to reopen the assessment. It is in these circumstances, the notice u/s 148 of the Act was issued to the petitioner company on 28.3.2011. Thus it is not the change of opinion but the reassessment has been ordered on the basis of the tangible material placed on record necessitating the reassessment. Sufficient reasons have been assigned for reopening of the assessment. The objections raised by the petitioner company have been specifically dealt with by the respondent no.1. Impugned order dated 19.12.2011 passed by the respondent no.1 is detailed and reasoned and in conformity with the law - Decided against assessee.
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