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2023 (2) TMI 745 - AT - Income TaxReopening of assessment u/s 147 - case reopened beyond the period of 4 years from the end of the relevant assessment year - Reason to believe - HELD THAT:- Primary duty of the assessee is only to disclose fully and truly all material facts necessary for the purpose of making the assessment and not draw the inferences. Thus, it cannot be said that there is failure on the part of the assessee to disclose fully and truly all material facts necessary for the purpose of making the assessment. Reliance in this regard can be placed on the decision of the Hon’ble Bombay High Court in the case of Kalpataru Ltd. [2021 (10) TMI 465 - BOMBAY HIGH COURT] - Thus, we are of the considered opinion that there is no satisfaction of the proviso to section 147 and the AO was not entitled to reopen the assessment. Even otherwise, it is admitted that the basis of reopening the assessment for the assessment years 2010-11 and 2011-12, wherein, similar addition was made by AO which came to be deleted by the Tribunal vide order [2021 (10) TMI 1204 - ITAT PUNE] - It is also admitted fact that the decision of this Tribunal (supra) was not challenged by the Department before the Hon’ble High Court. Thus, the issue had attained finality. Therefore, the very basis of the re-assessment proceedings does not stand, as once the foundation is removed, the superstructure falls (sublato fundmento credit opus). We are of the considered opinion that the AO was not justified in initiating reassessment proceedings and the orders passed by the lower authorities are hereby reversed. - Decided in favour of assessee.
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