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2018 (2) TMI 1635 - AT - Income TaxValidity of reopening of assessment - assessee eligibility deduction u/s 80IA - proceedings u/s 154 were pending on the same issue - Held that:- All relevant materials and facts necessary for assessments were available with the AO at the time of original assessee passed u/s 143(3) and further the claim of deduction allowed while passing the order u/s 143(3) would not be excessive even if proposed adjustment of loss of previous year is made against the profit of the current year. The assessee reminded the AO in its reply to the notice u/s 154 that even after the adjustment of loss of ₹ 1.36 Crores allowable deduction would be more than ₹ 95.11 Crores allowed in the original assessment. AO without bringing the proceedings u/s 154 to a logical conclusion had initiated the proceedings u/s 147 on the basis of the same fact and material available on the assessment record. Thus, reopening on the basis of the material available on assessment record is nothing but based on change of opinion. The reopening is not sustainable when the proceedings u/s 154 were pending on the same issue. Accordingly, we set aside the initiation of proceeding u/s 147/148 and consequential reassessment order. As we have set aside the initiation of proceeding u/s 147/148 and consequential reassessment order, therefore, the other grounds raised on the merits becomes infructuous. Decided in favour of assessee
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