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2021 (6) TMI 454 - AT - Income TaxReopening of assessment u/s 147 - validity of reasons to believe - HELD THAT:- From the perusal of the reasons, we find that there is absolutely no mention by the ld. AO in the said reasons recorded about the failure on the part of the assessee to fully and truly disclose material facts that are relevant for the purpose of assessment. Admittedly, the reopening of assessment for the A.Y.2007-08 was made in the instant case beyond four years from the end of the relevant assessment year which triggers applicability of proviso to Section 147. The said proviso categorically states that the ld. AO should bring on record the failure committed by the assessee in not disclosing fully and truly all material facts that are relevant for the purpose of assessment in the original assessment proceedings, before resorting to reopening of the case of the assessee. In view of the fact that failure on the part of the assessee in terms of proviso to Section 147 of the Act was not mentioned in the reasons recorded by the ld. AO, we have no hesitation in quashing the entire re-assessment proceedings as void ab initio. Since the relief is granted to the assessee on the preliminary ground of invalid assumption of jusridiction u/s.147 of the Act, we refrain to give our opinion on the grounds raised on merits and the same are left open. In the result, appeal of the assessee is allowed.
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