Reopening after 4 years not permissible if all accounts & records were made available at the time of original assessment – HC

Delhi High Court held In the case of Consultating Engineering Services (India) Ltd. vs. DCIT that for reassessment as per first proviso of section 147, it is pre- condition that the assessee has not made a full and true disclosure of the material particulars necessary for the assessment. Accordingly, in the given case, the revenue cannot be permitted to reopen the assessment as the necessary pre-condition for doing so in a case which is beyond four years from the end of the relevant assessment year has not been fulfilled.

Facts of the Case

The assessment of the assessee was completed under section 143(3) on 15.12.2010.The assessing officer made certain additions on account of section 40(a)(ia) of Rs.1,55,94,534 under section 14A of Rs. Rs.1,55,603 and on account of extra depreciation claimed on computer peripherals Rs. 6,87,043.The notice under section 148 was issued on 21.03.2013, beyond four years from the end of the relevant Assessment Year. The reasons for the same given by the revenue were that the assessee had escaped the income and failed to disclose the true particulars of its income. The reasons of reopening of assessment were as follows:

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