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2019 (11) TMI 464

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..... in which it was treated. This finding of fact is not shown to be perverse in any manner. The re-opening notice is not based on any fresh tangible material but proceeds on the material already on record with the Assessing Officer and also considered before passing the order dated 24th November, 2008 under Section 143(3) of the Act. Assessing Officer restricts himself only to deal with those issues where he does not agree with the Assessee s submission and gives reasons for it. Otherwise, it would be impossible to complete all the assessments within time limit available. Thus, the Court held that once a query is raised during Assessment Proceedings and the Assessee has responded to the query, to the satisfaction of the Assessing Officer, .....

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..... ereafter, on 28th March, 2011, a notice issued under Section 148 of the Act to the Respondent, seeking to re-open the assessment for the Assessment Year 2006-07. The reasons in support of the re-opening notice as communicated to the Petitioner reads as under:- The assessee company during the previous year had received relief amounting to ₹ 3,44,02,155/- on account of over draft and other facilities. Out of this amount, ₹ 2,06,82,471/-was transferred to revenue receipt and an amount of ₹ 1,37,19,684/- was transferred to capital reserve. The amount of ₹ 1,37,19,684/- is not offered by the assessee company considering it as capital receipt, neither it is brought under taxation in course of the assessment. As .....

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..... mount of ₹ 1.37 Crores was transferred to the capital account was deliberated upon by the Assessing Officer before passing an order dated 24th November, 2008 under Section 143(3) of the Act. Thus, the CIT(A) held that the re-opening notice is without jurisdiction as it was based on a mere change of opinion. 7. Being aggrieved, the Revenue filed an Appeal to the Tribunal. The Tribunal found that the issue of one time settlement with the bank and the treatment being given to the benefit received on account of settlement, was a subject matter of consideration by the Assessing Officer. On facts, it found that, during the regular assessment proceedings, this issue of one time settlement was enquired into by the Assessing Officer a .....

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..... that during the regular assessment proceedings, the Assessing Officer had occasion to consider the one time settlement by the Petitioner with its bankers. It found that during the scrutiny assessment proceedings, queries were raised and the Petitioner filed a detailed response on 11th November, 2008, giving complete details to Assessing Officer of the one time settlement and manner in which it was treated. This finding of fact is not shown to be perverse in any manner. The re-opening notice is not based on any fresh tangible material but proceeds on the material already on record with the Assessing Officer and also considered before passing the order dated 24th November, 2008 under Section 143(3) of the Act. The submission of Mr. Walve tha .....

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