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2019 (11) TMI 1306 - BOMBAY HIGH COURTReopening of assessment u/s 147 - as alleged no failure on the part of the Assessee to disclose the truly and fully all facts necessary for assessment - change of opinion - HELD THAT:- The reasons recorded in support of the impugned notice make no reference to any fresh tangible evidence but is based on examination of the record by the Assessing Officer. Thus prima-facie the impugned notice is hit by the proviso to Sections 147 of the Act. The reason to believe that income chargeable to tax has escaped assessment is two fold i.e. one the interest income ought to have been taxed as income from other sources and not as business income and second that the expenses debited under the head other expenses were disproportionate. Both these issues were not only disclosed by the Petitioner in its profit and loss account but were examined by the AO during the regular assessment proceedings. The same is evidenced according to the Petitioner by letter dated 3 August 2016 submitted during the regular assessment proceedings. However, the same is disputed by the Revenue. It may be pointed out that the AO has not disputed by affidavit the affidavit, of the Chartered Accountant who attended the hearing before the then Assessing Officer stating that he had submitted the letter giving these details to the Assessing Officer during the course of the hearing. Thus, prima-facie, the impugned notice appears to be without jurisdiction as there was no failure on the part of the Assessee to disclose the truly and fully all facts necessary for assessment and on account of change of opinion.
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