TaxTMI 
TaxTMI 
2013 (2) TMI 533
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....olding that the assessment could not have been reopened under section 147 but there being computative error/mistake it should have been rectified under section 154 of the Act by the Assessing Officer himself. Against this finding, the Revenue went in appeal before the Hon'ble Jurisdictional High Court, which in its wisdom set aside the Tribunal's order and has given a direction that the appeals may be decided on merits of the case. 2. Both the appeals were fixed for hearing as directed by the Hon'ble High Court but, despite due service of notice, no one came present to represent the case of the assessee, hence, these appeals were heard ex-parte. We may mention that even before the Hon'ble High Court the case of the assessee remained unrepr....
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....rsigned has carefully verified the working of the claim of the deduction under section 80HHC furnished by the assessee and the same appeared to be erroneous. Therefore, the correct working of the claim of deduction under section 80HHC has been worked out. The main grievance of the assessee before the learned Commissioner of Income Tax(Appeals) was that the assessment/intimation passed under section 143(1)(a) on 24.05.1996, has become final in view of the CBDT's Circular No.549 dated 31.10.1989 and therefore, the reopening is bad in law because it was done merely on the basis of a change of opinion. The assessee also questioned the mode of calculation of deduction under section 80HHC and reducing the claim by Rs.1,31,912/-. The other objecti....
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.... mean cause or justification. If the Assessing Officer has cause or justification to know or suppose that income had escaped assessment, it could be said to have reason to believe that income had escaped assessment. The Apex Court further pointed out that the case of an intimation under section 143(1)(a) is also covered by the main provision of section 147 as substituted with effect from 1.4.1989. Thus the main provision of section 147 covers the case of the intimation for the purposes of reassessment. Thus if the Assessing Officer has 'reason to believe' that income had escaped assessment, it confers jurisdiction to reopen the assessment. So long as ingredients are fulfilled, the officer is free to initiate proceedings under section 147 o....