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TMI Blog2018 (12) TMI 43X X X X Extracts X X X X X X X X Extracts X X X X ..... noted, the only source available with the Assessing Officer to contend that relevant material was not brought on record by the assessee was assessment in case of M/s. Abode Builders. Here also, there is one vital defect in the logic adopted by the Assessing Officer. We do not find any where any material to suggest that the development and construction of the housing project commenced before 01.10.1998. Even in the reasons recorded, AO has not linked any material in order to make this observation. He has mainly relied on the findings of the AO of M/s. Abode Builders. This conclusion was reversed by the CIT(A) noting that in fact all along there was evidence suggesting that the commencement of construction of the housing project was some t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l question is of the validity of reassessment proceedings initiated by the Assessing Officer in the context of the assessee's claim of deduction under Section 80IB(10) of the Income Tax Act, 1961 ( the Act for short). In the return of income filed by the assessee for the said assessment year, the principal claim was of deduction under Section 80IB(10) of the Act arising out of income from development of a housing project. In the assessment carried out by the Assessing Officer, he disallowed a part of the claim after detailed scrutiny. Such assessment was reopened by the Assessing Officer by issuance of notice, which was done beyond the period of four years from the end of relevant assessment year. In order to issue such notice, the Ass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d construction of the housing project commenced prior to 01.10.1998. On such grounds, the assessee's appeal was allowed. 5. The Revenue carried the matter in further appeal before the Tribunal. The Tribunal by giving separate independent reasons confirmed the decision of the CIT(Appeals) by the impugned judgment. The Tribunal was of the opinion that in absence of any failure on the part of the assessee to disclose true facts, the reopening of assessment beyond the period of four years was not permissible. This decision of the Tribunal is challenged in the present appeal. 6. We have heard the learned Counsel for the parties and perused the documents on record. It is undisputed that in the original assessment, the Assessing Officer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1/12/2010 u/s 143(3) r/w 254. In the asstt order the AO has mentioned about the joint venture agreement between the assessee and abode builders in respect of the Trans Residency project and after going through the documents submitted or facts noted during survey, the AO found no discrepancy other than those mentioned in the asstt order. ...... The only basis on which the AO formed the belief that the assessee had commenced the construction before 1998, is the findings of the AO of in asstt order of abode builders who in turn has relied upon the same Joint venture agreement dated 28/8/2001, which was already furnished to the AO of appellant during the original asstt proceedings vide reply dated 15/11/2006 along with copy of approved pl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... inal assessment. During such assessment, the assessee's claim of deduction was also minutely examined by the Assessing Officer. Reopening of assessment beyond the period of four years was, therefore, correctly disallowed by the CIT(A) and the Tribunal. As noted, the only source available with the Assessing Officer to contend that relevant material was not brought on record by the assessee was assessment in case of M/s. Abode Builders. Here also, there is one vital defect in the logic adopted by the Assessing Officer. We do not find any where any material to suggest that the development and construction of the housing project commenced before 01.10.1998. Even in the reasons recorded, the Assessing Officer has not linked any material i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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