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2020 (6) TMI 431 - HC - Income TaxReopening of assessment - change of opinion - under valuation of the stock - HELD THAT:- It appears that the assessee had furnished all the necessary details with regard to the valuation of the stock. The stock certificate of the valuation issued by the site supervisor was also on record. In the tax audit report, we find reference as regards the method of valuation. It has been stated therein that “the assessee is a developer and builder”. The assessee is in the business of construction and sale of flats, buildings, land etc. it is impracticable to maintain item wise quantitative records of the items of building materials, which is shown in the Balance-Sheet as a closing stock in trade which is incomplete work at site. The valuation is taken on the basis of the valuation carried out by the site engineer. We, once again, go back to the reasons assigned for the purpose of reassessment. In the reasons, we find reference of the balance-sheet Form No.3CD, profit and loss account, and the very same material is now sought to be looked into for the purpose of reassessment. In the overall view of the matter, we are convinced that this is a case of mere change of opinion. The law in this regard is well settled as explained in the case of CIT vs. Kelvinator of India Ltd. [2010 (1) TMI 11 - SUPREME COURT].The impugned notice is hereby quashed and set aside. - Decided in favour of assessee.
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