Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2022 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2022 (11) TMI 181 - AT - Income TaxReopening of assessment u/s 147 - assessment after expiry of period of four years - Capital gain computation - AO rejected the submissions of the assessee and proceeded to add the profit on sale of land to the book profit for computation of tax liability u/s. 115JB - AO also rejected the cost as on 1/4/1981, considered by the assessee and took the original cost of acquisition for the purpose of computing the capital gain - HELD THAT:- AO in reassessment proceedings has raised questions on the facts which have been disclosed in the statement of income of the assessee and has made the addition by taking a different view on the cost of acquisition and the accounting treatment of the sale consideration. The accounting treatment in the books of accounts cannot be considered as failure to disclose fully and truly all material facts, since the assessee while computing the taxable income under the Act, has disclosed the details pertaining to the capital gains on sale of land and depreciable assets. In fact it is based on this disclosure, that the AO has taken the figures while arriving at the additions during the reassessment proceedings. This is not a case where the assessment is sought to be reopened on the reasonable belief that income had escaped assessment on account of failure of the assessee to disclose truly and fully all material facts that were necessary for computation of income but this is a case wherein the assessment is sought to be reopened on account of change of opinion of the AO - we set aside the order of CIT(A) and quash the reassessment order - Decided in favour of assessee.
|