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2018 (12) TMI 602 - HC - Income TaxReopening of the assessment - change of opinion - value of closing stock i.e, work in progress was not adopted - Held that:- The find that the Assessing Officer has taken all the figures from the Profit and Loss Account filed by assessee along with the return of income, wherein, they have claimed a total expenditure of ₹ 11,30,92,666/- and admitted value of work in progress to the extent of ₹ 10,61,14,603/-. AO, while completing the assessment under Section 143(3) vide order dated 07.03.2001, opined that the indirect expenses incurred to the extent of ₹ 69,52,063/-, should not be incurred in the work in progress. This, according to the subsequent officer was incorrect. Therefore, re-opening was ordered. The assessee objected to the re-opening by contending that it is a clear case of change of opinion. However, this was rejected and the assessment was completed vide order dated 11.11.2005. AO has come to the conclusion that the correct value of closing stock i.e, work in progress was not adopted. There is absolutely no allegation of any failure on the part of the assessee to fully and truly disclose all material facts for assessment. In the absence of any such allegation, the re-opening of the assessment was a clear case of change of opinion. The order passed by the Tribunal calls for no interference. - Decided in favour of assessee
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