TMI Blog2019 (3) TMI 1249X X X X Extracts X X X X X X X X Extracts X X X X ..... AT, J.M: This appeal by the assessee is directed against order of the CIT(A)-2, Ujjain dated 20.8.2014 pertaining to the assessment year 2006-07. The assessee has raised following grounds of appeal: 1. That the Ld. CIT(A) erred in confirming the action of the A.O. in invoking the provisions of section 147 and 148 of the Act in reopening the already concluded assessment proceedings u/s 143(3) on 11.12.2008 without appreciating that all the relevant facts and material were already available with the A.O. who passed the original assessment order u/s 143(3) on 11.12.2008. 2. Whether on the facts and in the circumstances of the case the Ld. CIT(A) erred in confirming the addition of ₹ 40,46,763/- (out of the total addition ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd and was under compulsion as is clear from the language of the letter of Ld. CIT. 7. The reopening of assessment is null and void also because the reopening was done as a result of audit objection regarding allowability of interest and the allowance of interest was in accordance with High Court Decision; as interest on share trading is fully allowable u/s 36(1)(iii); even if there is incidental dividend income. 8. The reopening of assessment is null and void authorities below initio also because the reopening was on the basis of audit objection and the Ld. CIT somehow wanted to take some remedial action to settle the audit objection. 3. The facts giving rise to the present appeal are that return of income declaring total ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssessment proceedings. All the relevant material brought before the A.O. relating to the share trading, etc. Specific queries were raised u/s 142(1) of the Act relating to interest expenditure and thereafter same was allowed after due application. He submitted that no failure on the part of the assessee to make true and full disclosure. He submitted that notice u/s 148 of the Act was issued after 4 years even though there was no failure on the part of the assessee to make true and full disclosure of income. He contended that notice u/s 148 of the Act was issued on 29.12.2011, after expiry of 4 years from the end of the relevant assessment year. The mandatory condition for issue of notice after 4 years is that the assessing officer must be s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... all information was already available with him in his own records at the time of original assessment itself. There was no information from any outside source. Therefore, he submitted that it is a clear case of change of opinion and such reopening is bad in law. In support of this, Ld. Counsel relied upon judgement of the Hon'ble Supreme Court in the case of CIT Vs. Kelvinator of India Ltd. (2010) 187 Taxman.com 312. Further, he contended that mandatory approval by CIT is sine-qua-non and if it is not obtained would vitiate the proceedings. He contended that CIT has not applied his own mind and merely approved the proposal of the assessing officer. He further contended that the A.O. failed to apply the mind which is apparent from the fac ..... X X X X Extracts X X X X X X X X Extracts X X X X
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