The return of income filed by the assessee on 29.09.2008 for A.Y. 2008-09 was subjected to scrutiny assessment and order was passed on 20.12.2010 u/s. 143(3) of the Act after seeking details related to prior period income and expenses. Subsequently, notice u/s. 148 of the Act dated 28.03.2013 was issued to the assessee on the ground that prior period expenses claimed in return were not allowable in view of mercantile method of accounting followed by the assessee. The assessee filed objection stating that assessment order was passed after taking into account details filed in respect of prior period income and expenses and hence, it amounted to ‘change of opinion’. The objection was rejected by the AO stating that for A.Y. 2010-11, the assessment was completed u/s. 143(3) of the Act after making disallowance in respect of prior period expenses and it constituted fresh material for reopening of the assessment. The assessee challenged the notice before the High Court under writ contending that the disallowance made in A.Y. 2010-11 was deleted by the CIT(A) and on this issue, Revenue had not filed an appeal before the Tribunal. Hence, there was no tangible material before the AO, and reassessment proceedings were nothing but a change of opinion. High Court accepted the contentions of the assessee and quashed the notice issued u/s. 148 of the Act.(AY. 2008-09)