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2019 (4) TMI 1239 - HC - Income TaxReopening of assessment u/s 147 - notice beyond the period of four years from the end of relevant assessment year - Assessee was beneficiary of bogus purchase bills and accommodation entries - change of opinion - HELD THAT:- Factum of the petitioner being beneficiary of bogus purchase bills and accommodation entries was within the knowledge of the AO even during the original scrutiny assessment. He therefore, passed the order of assessment in which he added a sum of ₹ 45.14 lacs to the income of the assessee by taking profit ration of 9.20% on the total bogus purchases and accommodation entries. Through the reasons, now he wishes to add the entire amount holding a belief that such sum represents the petitioner's undisclosed income. We are not called upon to decide whether the AO's first approach of taxing only the profit element embedded in bogus purchases was correct or that his later approach of taxing the entire bogus purchases is correct. What we are called upon to judge is whether in facts of the present case, he can change his basis of assessing the income. In clear terms, once the Assessing Officer noticed the factum of bogus purchases and accommodation entries and in scrutiny assessment, taxed the same in the manner he thought was appropriate, he cannot be allowed to shift the stand by issuing notice of reopening of assessment. This would be based on mere change of opinion. We may stress on the point that after the assessment was completed, there was no further material available with the Assessing Officer which would enable him to form a belief that the income chargeable to tax had escaped assessment - Impugned notice is also set aside. - Decided in favour of assessee.
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