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2020 (3) TMI 601 - AT - Income TaxReopening of assessment u/s 147 - Deduction u/s. 80P (2)(a)(i) - assessee cannot be treated as a co-operative society meant only for its members and providing credit facilities to its members if it has carved out a category called 'nominal members' and hence the principle of mutuality was compromised - HELD THAT:- AO already formed an opinion and allowed deduction u/s 80P - AR further contended that there is no tangible fresh material on the basis of which assessment is sought to be reopened. In the present case, the original assessment was completed u/s 143(3) of the Act on18.11.2016 accepting the declared income and the A.O. examined the deduction u/s 80P and granted the deduction. The reassessment in this case was made to withdraw deduction u/s 80P by treating the interest income under the head “income from other sources” instead of “business income”. This is nothing but change of opinion. On mere change of opinion, the concluded assessment cannot be reopened as held in the case of CIT v. Kelvinator of India Ltd [2010 (1) TMI 11 - SUPREME COURT]. For reopening the concluded assessment, the Assessing Officer should form an opinion on the basis of same material which is already on record and not from any external sources. Reopening an assessment, AO cannot consider the information which is already on record and it should be from outside sources as held by case of CIT v. Ramakrishna Hegde [2009 (7) TMI 815 - KARNATAKA HIGH COURT] - Since there is no new material and on the available material the A.O. has reopened the present assessment. Being so, we cannot uphold the action of the reopening of assessment. For this proposition, reliance is placed on the following judgments, viz., (i) CIT v. Standard Chartered Finance Ltd. [2012 (1) TMI 381 - KARNATAKA HIGH COURT] (ii) Parixit Industires (P.) Ltd. v. ACIT [2012 (4) TMI 464 - GUJARAT HIGH COURT] (iii) H.K.Buildcon Ltd. v.ITO [2010 (4) TMI 831 - GUJARAT HIGH COURT] (iv) Lahneyer Holdings GmbH v. DCIT [2015 (5) TMI 654 - DELHI HIGH COURT] . Accordingly, we quash the reassessment order. Since we have decided the issue on merits, we are refrain from going into other grounds raised by the assessee. - Decided in favour of assessee.
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