Mahanadi Coalfields Ltd. Vs. ACIT, (ITAT Cuttack)
In the present case found that thee Assessing Officer has initiated reassessment proceedings on the same facts which were available before him at the time of making assessment u/s.143(3) of the Act and no new tangible material has come on the basis of which it could be said that the Assessing Officer has reason to believe that income chargeable to tax has escaped assessment on account of failure on the part of the assessee to disclose truly and fully material of facts in the assessment.
15. We considering the overall aspects and the reasons recorded for reopening the assessment are of the substantive view that the Assessing Officer has not brought on record any new tangible material to initiate reassessment proceedings but relied only on tax audit report and financial statements, which were already filed before the Assessing Officer in the scrutiny proceedings. Accordingly, we support our view based on judicial decisions and factual circumstances that the Assessee has disclosed fully and truly all material facts in the original assessment proceedings and we are inclined to set aside the order of the CIT(A) on this ground and quash the reassessment order.
FULL TEXT OF ITAT ORDER IS AS FOLLOWS:
The cross appeals filed by the assessee are directed against the order of the CIT(A), Cuttack dated 9.5.2014 for the assessment year 2009-2010.
2. Ground No.4 of appeal was not pressed by ld A.R. of the assessee, hence, same is dismissed as not pressed.
3. Although the assessee has raised various grounds of appeal but the effective issue agitated before us as to whether the CIT(A) was justified in confirming the reassessment order passed u/s.147/251/154/143(3) of the
4. The brief facts of the case are that the assessee filed its return of income for the assessment year 2009-2010 on 23.9.2009 disclosing taxable income of Rs.275926.69 lakhs. Thereafter, the assessee filed revised return of income on 29.7.2010 disclosing taxable income of R.275926.69 lakhs. The Assessing Officer, on perusal of the assessment record, noticed that income chargeable to tax has escaped assessment on account of incorrect valuation of closing stock of coal and incorrect allowance of depreciation on WDV of capitalized expenses of earlier years- and Section 35E deduction not claimed by the assessee in its original return or in the revised return of income filed, non-application of statutory provision of Section 40(a) to expenses from which tax deductible at source was not deducted, non-application of provisions of section 43B of the Act, non-application of statutory provision of section 40(a)(ia) and incorrect claim of penalty expenses towards Service Tax. Therefore the Assessing Officer issued notice u/s.148 of the Act to the assessee on 07.2013. In response to the notice u/s.148 of the Act, the assessee submitted an objection to reopening of the assessment and furnished details to the Assessing Officer. The Assessing Officer passed order under section 147/251/154/143(3) of the I.T.Act dated 21.1.2014 and assesseed the income of the assessee at Rs.289232.18 lakhs.
5. Aggrieved by the order of the Assessing Officer, the assessee filed appeal with the CIT(A) challenging the reopening of assessment and also against various additions made by the Assessing Officer.
