Reassessment based on change of opinion not valid

Assessing Officer having examined the nature of receipts and the corresponding expenditure in the original assessment, now cannot be permitted to change his view with respect to the nature of treatment such receipts must receive. To put it differently, the Assessing Officer made no additions on the count that the payments towards re-charges were not advance but accrued income and made dis allowances of the expenditure pro- rata relatable to such income deferred by the assessee to be accounted for in the future years. In the reasons recorded, the Assessing Officer proposed to take exactly the reverse stand. He now contends that the payments towards re-charges are not advance but accrued income and the dis allowances of the expenditure was not justifiable and should be made available to the assessee.

 In light of the judgments noted above and the ratio laid down therein, bearing in mind the facts on record, we are of the opinion that reopening of the assessment; even within four years in the present case, would not be permissible. In the result, impugned notice is quashed. Petition is allowed.

HIGH COURT OF GUJARAT

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