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2021 (1) TMI 473 - AT - Income TaxReopening the assessment u/s 147 - As argued reopening an assessment is without jurisdiction and is merely based on a change of opinion as the appellant had disclosed fully and truly all the material facts at the time of original assessment made - AO has reopened the case on the basis of audit objection - disallowance of deduction u/s 54F - HELD THAT:- We find that the assessee had filed before the AO a written submission dated 29.11.2010 containing inter alia a detailed note on exemption claimed u/s 54F and 54EC along with supporting documents. The said written submission was filed in the office of the AO on 29.11.2010 as evident from the stamp mark. It is not disputed by the Ld. DR. Also as per the purchase agreement of the residential property and Index No. II, which were filed before the AO during the course of original assessment proceedings, the agreement is for the purchase of residential property comprising of 6700 sq. ft. and 400 sq. ft. Thus it is evident that the appellant had purchased a residential property i.e. House No. 1057 of 6700 sq. ft. and House No. 1059 of 400 sq. ft. along with the land appurtenant thereto and claimed deduction u/s 54F against the sale of long term shares. The consistent view is that even after amendment of section 147 (w.e.f. 01.04.1989) mere change of opinion does not confer jurisdiction on the Assessing Officer to initiate proceedings for re-assessment merely by resorting to Explanation 1 to that section on the basis of change of opinion. Where, on the same material, the succeeding officer wants to take a different view than taken by the predecessor Assessing Officer and wants to take action u/s 147, such action cannot be sustained because the view taken by the subsequent officer is nothing but a change of opinion. Thus mere change of opinion by Assessing Officer cannot be a ground for reassessment and that amendment of section 147 w.e.f. 01.04.1989 has not altered the position- the Assessing Officer must have reason to believe that income has escaped assessment As the assessee in the instant case disclosed all the primary facts necessary for assessment of its case to the Assessing Officer a mere change of opinion by the AO in the instant case cannot be a ground for reassessment. - Decided in favour of assessee.
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