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TMI Blog2012 (7) TMI 178X X X X Extracts X X X X X X X X Extracts X X X X ..... Appellant by : Smt.Srujani Mohanty, Sr.DR. Respondent by : Shri Ashwani Taneja, Advocate. ORDER PER G.D.AGRAWAL, VP : The grounds raised in this appeal by the Revenue read as under:- 1. On the facts and in the circumstances of the case, the ld.CIT(A) has erred on facts and in law in holding that there is no proper basis of belief for the reasons recorded which may entitle the Assessing Officer to proceed u/s 147 disregarding the fact that as per the amended provisions w.e.f. 01-04-1989, the only requirement now is that the Assessing Officer should have reason to believe that income had escaped assessment, whatever be the source of that reason. 2. On the facts and in the circumstances of the case, the ld.CIT(A) has erred on facts and in law in holding that the Assessing Officer is found to be incorrect in assuming jurisdiction for the reopening of the case and the reassessment framed u/s 147 suffers from legal infirmities and the assessment so framed being invalid is annulled disregarding the fact that after the far reaching amendment in section 147 w.e.f. 01-04-1989, the only requirements before issue of a notice u/s 148 are the Assessing Officer sh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2,10,937/- was deducted. The assessee has also mentioned that the HUDA has filed the appeal in Hon ble Punjab Haryana High Court against the enhanced compensation. In view of the above, the amount received which was released on the bond by the Court will be offered for taxation in the year of final decision by the High Court. That the Assessing Officer in the intimation under Section 143(1) applied his mind and did not allow the credit of the TDS of ₹ 2,10,937/- on the ground that the income against this TDS was not offered. That the assessee has accepted the intimation under Section 143(1) and did not file any application under Section 154 or appeal against the said intimation. That the Hon ble Jurisdictional High Court passed the order on 13th December, 2006 and, thereafter, in the return for AY 2008-09, the assessee has offered the interest received from HUDA. The interest income offered in AY 2008-09 is also accepted by the Revenue. He, therefore, submitted that so far as the assessee s case is concerned, it is a clear case of change of opinion by the Assessing Officer in reopening of the assessment year under appeal. It is a settled law that the assessment cannot be r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Rs.1,87,76/=. It is evident from the TDS certificate (Form 16A) enclosed with the return that the assessee lady had received a sum of Rs.20,08,92/= on account of interest on delayed payment of enhanced compensation on 11.01.2003 from LAO, HUDA, Faridabad, but this interest income of Rs.2,08,920/= was not declared by her in her return of income for the relevant assessment year viz. A.Y. 2003-2004 though the same was taxable. In view of this I reason to believe that this income of Rs.20,08,920/= chargeable to tax has escaped assessment for the A.Y. 2003-2004. In view of the above, proceedings u/s 17 of I.T.Act 1961 are hereby initiated against the assessee for A.Y. 2003-04 by issuance of the notice u/s 148 to bring the tax the above mentioned undisclosed income of Rs.20,08,920/= and also any other income chargeable to tax which has escaped assessment and which comes to my notice subsequently in the course of proceedings under sec. 17 of the Act. 6. The learned CIT(A) cancelled the reopening mainly on the ground that reopening was based upon change of opinion on the identical issue under the identical circumstances. The main contention of the learned DR at the time of hearing be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e view that there being no assessment under Section 143(1)(a), the question of change of opinion does not arise. However, the facts of the assessee s case are peculiar because as we have extracted earlier in the return of income, the assessee has given a detailed note giving all the facts in which the compensation received, the interest received and the TDS deducted thereon were mentioned. It was also mentioned why the income is not being offered in the year under consideration. The Assessing Officer, while issuing intimation under Section 143(1), applied his mind and denied to allow credit for TDS and, while doing so, he mentioned that the credit of TDS not allowed as income against this TDS was not considered by the assessee in the taxable income. Thus, the Assessing Officer clearly applied his mind while issuing the intimation and formed an opinion that if the income is not offered, then credit for TDS cannot be allowed. Such intimation under Section 143(1) was accepted by the assessee and it has become final. The notice under Section 148 has been issued on the basis of same note given by the assessee in the return of income and the TDS certificate which was filed in the origina ..... X X X X Extracts X X X X X X X X Extracts X X X X
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