2017 (3) TMI 1317 - ITAT DELHI

Validity of reopening of assessment - Audit Objection relied upon - Held that:- Neither the AO nor the CIT(A) has mentioned which material facts necessary for the assessment of the assessee were not fully and truly disclosed by the assessee. There may be an Audit Objection raised by the Revenue Audit but even the Audit Objection itself is based on the material already available to the AO at the time when he passed assessment order dated 19.12.2007 u/s 143(3) of the Act/ Rectification order dated 10.03.2008 u/s 154 of the Act. It is not the case of the AO or the CIT(A) that the Audit Objection was based on any fresh material which was not already disclosed by the assessee. On perusal of the orders of the lower authorities and on consideration of materials available on record, we do not find any fresh material, not already disclosed by the assessee that led to the objection raised by Revenue Audit or which resulted in initiation of re-assessment proceedings. Revenue has failed to make a case that there was failure on the part of the assessee to disclose all material facts fully and truly.