Reassessment on a mere change of opinion fails where no fresh information exists after the original income-tax assessment.

Reopening of an income-tax assessment under section 147(b) is invalid where it is based only on a change of opinion on the same material already examined in the original assessment. The record showed that the deduction had been considered earlier and no fresh information was received after completion of the assessment. A later appellate order could not supply the required information for reopening, particularly because reassessment had already been initiated before that order and the deduction was in any event allowed. The conditions precedent for valid reassessment were therefore not met, and the reopening was without jurisdiction.

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Issues: Whether the Tribunal was justified in holding that reopening of the assessment under section 147(b) of the Income-tax Act, 1961, was invalid as it was based merely on a change of opinion on the same material and not on fresh information received after the original assessment.

Analysis: The assessment had originally been completed under section 143(3) read with section 144B of the Income-tax Act, 1961, and the deduction in question had already been considered by the Income-tax Officer. The reopening was sought on the footing that the interest on mortgage was not allowable under section 24(1)(vi), but the record showed that no new information had been received after completion of the assessment. The subsequent appellate order could not constitute the necessary information for section 147(b), as the reopening had already been initiated before that order and, in any event, the appellate authority had allowed the deduction. The conditions precedent for valid reopening were therefore not satisfied.

Conclusion: The reopening was only a change of opinion and was without jurisdiction; the Tribunal was correct in refusing to require a reference.

Ratio Decidendi: Reassessment under section 147(b) cannot be sustained unless the Income-tax Officer acts on information received after the original assessment; a mere change of opinion on the same material does not confer jurisdiction.

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