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TMI Blog2019 (8) TMI 998X X X X Extracts X X X X X X X X Extracts X X X X ..... the Act. Thus, the issue on hand had been minutely scrutinized by the then Assessing Officer at the stage of the original assessment. Now, the respondent is looking forward to touch the very same issue by re-opening the writ applicant s case which is nothing but change of opinion. The action of re-opening the writ applicant s case under Section 147 merely based on change of opinion is not tenable in the eye of law. - Decided in favour of assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... Pvt. Ltd.) towards the advance for the sale of a property. It is the case of the writ applicant that the said deal however, came to be cancelled and the amount referred to above was repaid by the writ applicant during the Financial Year 2010-11 vide cheque drawn from the ICICI Bank Account No.005205002647 held by the writ applicant in the name of his proprietary concern by borrowing an equivalent sum from one Shri Mitul J. Shah from the Financial Year 2010-11. Thus, prima facie it appears that for the purpose of purchasing the property the writ applicant borrowed a particular amount. Later, to re-pay the borrowed amount, he once again borrowed a particular amount from a different person. The writ applicant filed his return of income for th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s Shashan Corporation was received from the account of Shri Mitul J. Shah on 27.01.2011 and on the very same day the amount of ₹ 6 Crores was transferred to M/s Reliance Progressive Traders Pvt. Ltd. On perusal of the books of accounts of Shri Rajendra Shah there was no mention of any advance of ₹ 6,00,00,000/- nor there was any mention in the audit report in this aspect. Thus the said amount of ₹ 6,00,00,000/- remained unsubstantiated. The assessee was not in a position to substantiate or produce any details or explain mode of receipt of advance amounting to ₹ 6 crores. Thus it is very certain that the amount of ₹ 6,00,00,000/- remained unexplained. 4. The assessee contended that the said amount of ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lack validity as there is no "reason to believe" that the income chargeable to tax has escaped assessment; (5) It is also submitted that re-opening is not permissible for undertaking a roving or a fishing inquiry or investigation without there being a specific finding as to the escape of income; (6) It is also submitted that there is no cause and effect relationship between the reasons recorded for re-opening and the income escaping assessment; (7) In the last, it is submitted that the re-opening is based on "borrowed satisfaction". 7. Having heard Mr. Tushar Hemani, the learned senior counsel appearing for the writ applicant and having gone through the materials on record, we find substance in two submissions : the first submiss ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o be based on fulfillment of certain pre-condition and if the concept of "change of opinion" is removed, as contended on behalf of the Department, then, in the garb of reopening the assessment, review would take place. One must treat the concept of "change of opinion" as an in-built test to check abuse of power by the Assessing Officer. Hence, after 1st April, 1989, Assessing Officer has power to re-open, provided there is "tangible material" to come to the conclusion that there is escapement of income from assessment. Reasons must have a live link with the formation of the belief. Our view gets support from the changes made to Section 147 of the Act, as quoted hereinabove. Under the Direct Tax Laws (Amendment) Act, 1987, Parliament not onl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the writ applicant to furnish various details including the followings : Confirmations for unsecured loans / advances alongwith name, PAN, address, assessment details and such other information; Account number, bank name, branch and address of all bank accounts for the concern as well as proprietor / partner; 7.3 The writ applicant, vide letter dated 17.10.2013, had furnished various information including the details of all the bank accounts maintained by the writ applicant in his personal capacity and also in the name of the business. Such bank details also included the details of the current account being the Account No.5205002647 maintained with the ICICI bank Ltd. 7.4 The writ applicant, vide letter dated 06.01.2014, had furth ..... X X X X Extracts X X X X X X X X Extracts X X X X
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