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TMI Blog2013 (4) TMI 264X X X X Extracts X X X X X X X X Extracts X X X X ..... that there was no failure on the part of the assessee to disclose fully and truly all material facts. The CIT(A) has allowed the relief to the assessee following the decision of of Atma Ram Properties Pvt.Ltd. Vs. DCIT (2011 (11) TMI 51 - DELHI HIGH COURT) that in order to initiate proceedings for reassessment after four years, there should have been a failure on the part of the assessee to disclose material facts necessary for assessment. If the Assessing Officer had failed to apply legal provisions/section of the Income-tax Act, 1961, the fault cannot be attributed to the assessee. CIT(A) has rightly quashed the reassessment proceedings - in favour of assessee. - ITA No.3710/Del/2012 - - - Dated:- 15-2-2013 - G. D. Agrawal And I. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ffers from the vice of perversity." 4. We have heard the arguments of learned DR and perused the material placed before us. The facts of the case are that assessment year under consideration is 2004-05. Original assessment was completed under Section 143(3) on 22nd December, 2006. Reopening was made by issue of notice under Section 148 dated 23rd March, 2011. Thus, on these facts, proviso to Section 147 would be applicable which reads as under:- "Provided that where an assessment under sub-section (3) Provided of section 143 or this section has been made for the relevant assessment year, no action shall be taken under this section after the expiry of four years from the end of the relevant assessment year, unless any income chargeable t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dmitted that the expenditure was in the nature of capital, the same was not allowable while computing the income. As the expenditure gives enduring benefit to the assessee, the same is in the nature of capital and to be added to the income of the assessee." 6. From the above, it is evident that the assessee has disclosed all the relevant facts in the original assessment itself. The advertisement expenses which were capitalized in the books of account were claimed as revenue expenditure in the return of income. Therefore, the assessee made a legal claim in the return of income which was accepted by the Assessing Officer in the original return. From the above reasons recorded, it is evident that there was no failure on the part of the asses ..... X X X X Extracts X X X X X X X X Extracts X X X X
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