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2020 (2) TMI 949 - HC - Income TaxReopening of assessment u/s 147 - Exemptions against the receipt of consideration in respect of transfer of part of the rights in the brand name "MTR" - HELD THAT:- No reassessment/reopening can be undertaken on the basis of mere audit objections/query raised by the internal auditors of the Department. The notice impugned dated March 3, 2015 does not indicate any independent application of mind by the Assessing Officer. As could be seen from the records, the audit query vis-a-vis the reply of the Assessing Officer makes it clear that the Assessing Officer was of the opinion that the transaction involved herein relates to capital asset and the tax paid on capital gains towards the same has been accepted to be correct. This issue was examined and analysed by the Assessing Officer on multiple times. The foregoing factors would establish that the Assessing Officer had no "reason to believe" any escapement of income to assessment but is a clear case of change of opinion. Hence, assumption of jurisdiction by the Assessing Officer to invoke section 147 of the Act cannot be sustained. This aspect of "change of opinion" would be suffice to quash the impugned notice without going into the merits of the other arguments advanced by the learned counsel for the petitioner. - Decided in favour of assessee.
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