Reopening of assessment without assessee’s failure to disclose full and true material fact is unsustainable

Oracle Systems Corporation Vs ADIT (ITAT Delhi) ITAT Delhi held that reasons recorded for reopening of assessment u/s 147 of the Income Tax Act doesn’t disclose that income has escaped assessment due to failure on the part of the assessee to disclose fully and truly all the material facts and hence assessment order passed thereon are quashed. Facts- In course of assessment proceeding for AY 2001-02, AO observed that while completing assessment under section 143(3) of the Act for AYs 1998-99, 1999-2000 and 2000-01, the issue of royalty on software sales was discussed only on the stand-point o...