The Tribunal held that original assessment was completed after considering all the facts and evidence regarding the allowability of scientific research expenditure u/s 35 of the Act. The assessment was reopened on the basis of amendment which was effective from subsequent years. Accordingly, it was held that reassessment was bad in law. (AY. 2008-09, 2009-10)
Efftronics Systems P. Ltd. v. Dy. CIT (2018) 63 ITR 25 (SN) (Visakha.)(Trib.)
S. 147 : Reassessment –Scientific research expenditure – original assessment completed after considering all facts – reassessment based on subsequent amendments applicable to subsequent years – Held, no new tangible material – Held, reassessment bad in law. [S. 35(2AB)]