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2022 (5) TMI 1348 - AT - Income TaxReopening of assessment u/s 147 - assessment was reopened beyond 4 years - AO reopened the assessment based on the information received from investigation wing that the assessee is also one of the beneficiaries of pre arranged bogus long term capital gains - HELD THAT:- There is no failure on the part of the assessee to furnish all necessary material for the purpose of assessment. The Ld.CIT(A) considered the ratio laid down in the above said decisions and passed order saying that the reassessment was initiated only to verify the genuineness of the exemption claimed in the original return. Suspicion cannot be the basis for reassessment and more so when the reassessment is governed by the proviso to sec.147 of the Act. Therefore, we are of the firm view that the Ld.CIT(A) has rightly appreciated the ratio laid down in USHA EXPORTS VERSUS ASSISTANT COMMISSIONER OF INCOME TAX [2019 (12) TMI 1210 - BOMBAY HIGH COURT] and quashed the reassessment proceedings as void-ab-initio. We do not find any infirmity in the order passed by the Ld.CIT(A). Hence, the grounds raised by the revenue are dismissed.
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