The assessee has sold agriculture land which has resulted into gain of Rs. 13,98,46,990/-. As per the AO, the said land being located in rural area though does not form the part of the capital asset within the meaning of Section 2(14)(iii) of the Act, at the same time, while computing book profits U/s 115JB of the Act, gain so derived on sale of agriculture land cannot be excluded while computing the book profits. For this reason, the assessment was re-opened and notice u/s 148 was issued. As per the AO such gain is not income derived from land but is the income derived from sale of the land which cannot be termed as agriculture income which can be claimed as exempt under S.10 of the Act.  Accordingly applied the provision of S.115JB in the reassessment proceedings . On appeal the CIT(A) held that gain on sale of agriculture land is eligible for exclusion from book profits U/s 115JB of the Act. However, the assessee’s ground challenging the reopening of the assessment u/s 147 was decided against the assessee and in favour of the Revenue.  On appeal by the revenue and cross objection by the assessee  the Tribunal held that , if the AO has incorrectly or erroneously applied law and income chargeable to tax has escaped assessment, the Revenue should resort to s. 263 and revise the assessment and not reopen u/s 147. When matter was referred to the CIT for seeking approval, instead of holding that the matter falls u/s 263 and not u/s 148, has given approval u/s 151 which shows non-application of mind and mechanical grant of approval. Therefore, the assumption of jurisdiction u/s 147 cannot be sustained and is held as invalid in eyes of law. Accordingly the cross objection is decided in favour of the assesee.( ITA No. 237/JP/2019, dt. 23.12.2019)(AY. 2013-14)