2013 (9) TMI 1075

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... u/s 143(3) r.w.s 147 is based on mere change of opinion & should be quashed being bad in law." 3. Briefly state relevant facts of the case are that the assessee is engaged in the business of "builders and developers". Assessee filed the return of income declaring the total income of Rs. 54,44,830/-. Assessment was completed u/s 143(3) of the Act on 1.12.2006 accepting the total income returned by the assessee. Subsequently, the case was reopened us/ 147 and notice u/s 148 was issued on the 26.3.2009. The reasons given by the AO reopening of the assessment are (i) Borrowed capital is not utilized for the purpose of the business but given to its partner for their personal use and therefore, interest of Rs. 12,05,738/- claimed by the asses....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rd during the regular assessment proceedings and mentioned that it is a case of change of opinion as well. Ld Counsel filed a bunch of case laws for demonstrating that AO is barred from reopening the concluded assessments when he does not have any tangible material which acts as a livewire for forming reasonable belief to infer that there is a concealment of income or particulars. In such cases, re-assessment is required to be quashed. 5. On the other hand, Ld DR relied on the orders of the AO and CIT (A). 6. We have heard both the parties and perused the orders of the Revenue Authorities. It is an undisputed fact that there is no tangible material with the AO while reopening the regular assessment which was completed u/s 143(3) of th....