High Court affirms Tribunal decisions on assessment reopening, order cancellation, and capital gains exclusion.

The High Court upheld the Tribunal's decisions regarding the invalidity of reopening the assessment under section 147(b) due to a change of opinion, the justification for canceling the order under section 263, and the exclusion of Rs. 60,000 paid to the mother from computing capital gains arising from property sale. The Court rejected reference petitions, affirming the Tribunal's rulings.

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Issues involved:
1. Validity of reopening assessment u/s 147(b)
2. Justification of canceling order u/s 263
3. Treatment of Rs. 60,000 paid to mother in computing capital gains

Validity of reopening assessment u/s 147(b):
The Tribunal held that the reopening of the assessment under section 147(b) was not valid as it was attempted only on a change of opinion. The Appellate Tribunal was right in holding that the reopening was not valid in this case.

Cancellation of order u/s 263:
The Appellate Tribunal justified canceling the order of the Commissioner of Income-tax under section 263. The Commissioner had directed the Income-tax Officer to redo the assessment in accordance with the law after considering the points discussed in his order. The Tribunal was justified in canceling this order.

Treatment of Rs. 60,000 in computing capital gains:
The Tribunal concluded that the sum of Rs. 60,000 paid to the mother should be excluded in computing the capital gains arising from the sale of the property. The payment made to the sons towards their interest in the property was Rs. 83,000 each, and the amount paid to the mother for relinquishing her right of residence should not be considered as part of the consideration received by the sons. Therefore, the Tribunal was correct in excluding the Rs. 60,000 paid to the mother from the computation of capital gains.

The High Court rejected the reference petitions, stating that there was no justification to direct a reference in these cases. The Tribunal's decisions regarding the validity of reopening the assessment u/s 147(b), canceling the order u/s 263, and excluding the Rs. 60,000 paid to the mother in computing capital gains were upheld.

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