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2015 (7) TMI 690 - HC - Income TaxReopening of assessment - disallowance of Software Licence Fee in part - Held that:- In the facts of the present case, we find that the petitioner had clearly claimed Software Licence Fee of ₹ 31.69 crores as revenue expenditure. That had been disallowed in part and an amount of ₹ 25.36 crores was capitalized and depreciation was allowed at the rate of 60%. The assessment was done under Section 143 (3) read with Section 144C (13) of the said Act. The draft assessment order had made the aforesaid capitalization, which was disputed by the petitioner and, therefore, the matter went before the Dispute Resolution Panel, which confirmed the draft assessment order and thereafter the final assessment order was passed on 28.10.2010. We have already indicated that insofar as the part disallowance as revenue expenditure is concerned, the petitioner has filed an appeal which is pending before the Income Tax Appellate Tribunal. Insofar as we are concerned, we find that the petitioner had made a full and true disclosure of the material facts and, in any event, there is no allegation in the purported reasons that the petitioner did not make a full and true disclosure of the material facts at the time of the original assessment. That being the position, following the decision in Haryana Acrylic Manufacturing Co. (2008 (11) TMI 2 - DELHI HIGH COURT ) and several other decisions of this Court in the same vein, we find that the invocation of the re-assessment proceedings is not sustainable in law. - Decided in favour of assessee.
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