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2021 (12) TMI 650 - HC - Income TaxReopening of assessment u/s 147 - depreciation that was applied on cylinders and the second is a gift petitioner had received from one Fazle Rehaman - HELD THAT:- Depreciation on cylinders, petitioner had claimed @ 80% whereas according to the AO, who wanted to reopen, the correct rate of depreciation was only @60%. In the assessment order originally passed on 9th March 2015, it says “the case is selected under CASS on the issue of depreciation at higher rate” - assessee has claimed higher rate of depreciation @ 80% and it is verified and allowed. Therefore, even if the correct rate of depreciation was only @ 60%, still there was no failure on the part of the assessee to fully and truly disclose the rate of depreciation claimed. On this point, there cannot be re-opening. Gift from Fazle Rehaman in the reasons of re-opening itself it is stated "as per material available on record". The assessee has received the gift amounting to ₹ 42,25,000/- but no details of gift deed is available on record. It is true that the original assessment order does not discuss this item of gift but the indisputable fact is in the balance sheet as on 31st March 2012 filed by petitioner, petitioner has disclosed in his capital account a sum of ₹ 42,25,000/- received from Fazle Rehaman. AO, who passed the earlier assessment order after selecting the case under Computer Aided Scrutiny Selection (CASS) would have certainly considered right on the face of the balance sheet this disclosure by petitioner. In the circumstances, as the reasons do not disclose any material that has not been fully and truly disclose by petitioner, in our view, respondents could not have validly reopened petitioner's case for A.Y.-2012-2013.
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