Allowing the petition, that there was no failure by the assessee to disclose fully and truly all material facts. Reopening of the assessment under section 147 was on an audit objection and there was no tangible material available to conclude that income had escaped assessment. All material particulars had been disclosed by the assessee pursuant to which the order under section 143(3) was passed for the assessment year 2013-2014. The Assessing Officer had proceeded on the ground that the entire expenditure was corporate social responsibility expenditure and had disallowed it placing reliance on Explanation 2 to section 37(1) which was inserted with effect from April 1, 2015 and therefore not in the statute during the assessment year 2013-2014. Explanation 1 was not applicable as corporate social responsibility expenditure was incurred as required by section 135 of the Companies Act, 2013 and its proposed disallowance would not constitute an offence. The Assessing Officer had acted in excess of his jurisdiction to reopen the assessment in the exercise of powers under section 147 read with section 148. The notice issued under section 148 and the order passed under section 147 read with section 144B and consequent notices of demand and penalty were to be quashed.(AY.)