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2018 (3) TMI 803 - HC - Income TaxReopening of assessment u/s 147 - notice is admittedly beyond the period of 4 years from the end of the relevant Assessment Year - Petitioner failed to bring to the notice of the Assessing Officer the application of Section 79 - Held that:- The Petitioner had by letter dated 22.11.2012 given details as called for in the format specified along with annual return filed with the Registrar of Companies. Thus, the change in the shareholding pattern in two Assessment Years in the required format was forwarded to the AO. Prima facie there was complete disclosure of all facts by the Petitioner in respect of the change in shareholding pattern during the assessment proceedings. The grievance of the Revenue that the Petitioner failed to bring to the notice of the AO the application of Section 79 is a question of application of law and has nothing to do with the obligation as the Assessee makes full and true disclosure of all facts during the regular assessment proceedings. If all facts are truly and fully disclosed then reopening notice beyond the period of four years is barred by virtue of proviso to Section 147. Thus, prima facie, the first ground is not sustainable. Payment made in foreign exchange to players for performance in India during the previous year without having deducted tax at source - Held that:- So far as the second ground we note that it proceeds on the fundamental erroneous basis that the relevant previous year subject to the Assessment Year 2010-2011, Indian Premier League was performed in India when in fact, it has admittedly played in South Africa and not in India. During the assessment proceedings, the Assessee was called upon by letter dated 6.11.2012 to give details of all expenses along with TDS if applicable. The Petitioner in response on 22.11.2012 had given complete details of expenses during the relevant previous year to the subject assessment year 2010-11. Further by the letter dated 6.12.2012, the Petitioner gave complete list of players to whom payment was made in the subject Assessment Year and also extracts of the ledger account along with the agreements entered into with the players. AO did not at that point of time disallow any expenditure on account of non-deduction of TDS to foreign players for services rendered in South Africa. This acceptance by AO at that time seems to be supported by Section 115BBA of the Act. Full and true disclosure of all facts relating to the payments made to foreign players who performed in South Africa. Thus, on this ground also, the impugned notice is not prima facie sustainable. Thus the impugned notice is without jurisdiction. Accordingly, there shall be interim stay in terms of prayer clause (c)
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