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2023 (8) TMI 1344 - HC - Income TaxReopening of assessment u/s 147 - review v/s reopening - LTCG and STCG pertaining to the sale of investment comprising of the Government of India Bonds - scope of change of opinion - HELD THAT:- As there is no new fresh material available with the respondent nor there is any live link shown by the respondent with the material on record for formation of reasonable belief to reopen the assessment within the period of four years. The respondent has relied upon the assessment record for the year under consideration. The respondent has also relied upon the Circular No. 665 of CBDT dated 5th October, 1993 for the issue of considering the LTCG and STCG shown by the petitioner in the return of income considering the sell of the Government of India Securities as investment instead of stock-in-trade. AO during the course of regular assessment has considered the computation of LTCG and STCG which was declared by the petitioner in the Return of Income together with the audited accounts produced on record along with the return filed by the assessee. AO has allowed the Long Term Capital Gains and Short Term Capital Gains claimed by the assessee considering the sell of the Government Securities as investment and not stock-in-trade. Therefore, the reasons recorded by the respondent is mere change of opinion in the facts of the case. As decided in case of Kelvinator of India [2010 (1) TMI 11 - SUPREME COURT] that AO has no power to review, he has only power to re-assess and mere change of opinion cannot be the reason to reopen. Decided in favour of assessee.
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