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2022 (12) TMI 1321 - AT - Income TaxReopening of assessment u/s 147 - reason to believe - Change of opinion - proportionate interest attributable to the interest free advances made by the assessee to its related parties - HELD THAT:- As all the material papers which the learned AO made a basis to reopen the concluded assessment were available with the learned Assessing Officer at the time of original assessment itself. From the record is also evident that the learned Assessing Officer noticed from the P&L Account and Balance Sheet that during the year the assessee incurred interest expenditure on long-term borrowings and the amount of interest free advances to related parties, by specifically asking the assessee to furnish the information relating to the loans and advances where no interest was charged/chargeable. It is only after the assessee furnished the information, the assessment was complete after scrutiny considering the income only under “house property” and “other sources”, and loss from business was not allowed observing that as there remains no business income/activity, the expenditure is not allowed to be set of against income computed under other heads. We are of the considered opinion that the original assessment under section 143(3) of the Act was concluded after noticing all the relevant facts which forms basis for issuance of the notice under section 148 of the Act, and, therefore, the opinion formed by the learned Assessing Officer on subsequent perusal of the record is nothing but change of opinion and in view of the decisions of the Hon’ble Apex Court in the cases of Kelvinator of India Ltd (2010 (1) TMI 11 - SUPREME COURT] and Techspan India (2018 (4) TMI 1376 - SUPREME COURT] such a course is impermissible. - Decided against revenue.
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