Assessment order quashed due to procedural errors, jurisdictional transfer issues. Tribunal rules in favor of appellant.

The Tribunal allowed the appeal of the assessee, ruling that the assessment order was corum non-judice due to the lack of a valid notice u/s. 143(2) and other procedural irregularities. The Tribunal upheld the appellant's contentions regarding the lack of proper notice, jurisdictional transfer without a valid order, and failure to comply with principles of natural justice. Consequently, the assessment order dated 13.03.2015 passed by ITO, Ward-6(1), Kolkata was quashed.

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Issues:
1. Lack of notice u/s. 143(2) of the Income-tax Act, 1961 by the appropriate jurisdictional authority.
2. Jurisdictional transfer of the case without proper order u/s. 127 of the Income-tax Act, 1961.
3. Compliance with the principles of natural justice in assessment proceedings.

Analysis:

Issue 1: Lack of Notice u/s. 143(2)
The appellant contested that no notice u/s. 143(2) was served by the appropriate jurisdictional authority, ITO, Ward-6(1), Kolkata, before completing the assessment. It was argued that the notice issued by ITO, Ward-34(2), Kolkata, who lacked jurisdiction, was invalid. The Tribunal concurred, noting that the absence of a notice u/s. 143(2) from the correct authority rendered the assessment null and void. The appellant's additional grounds challenging the assessment order on this basis were upheld.

Issue 2: Jurisdictional Transfer without Proper Order
The Tribunal found that the jurisdictional transfer of the case from ITO, Ward-34(2) to ITO, Ward-6(1), Kolkata was not supported by a valid order u/s. 127 of the Act. The absence of such an order, as mandated by law, invalidated the transfer of jurisdiction. This lack of proper authority in transferring jurisdiction further contributed to the nullity of the assessment order.

Issue 3: Compliance with Principles of Natural Justice
The Tribunal also considered the appellant's argument regarding the lack of opportunity for a hearing before the assessment was finalized. It was observed that the failure to provide a hearing by ITO, Ward-6(1), Kolkata, violated principles of natural justice. This omission was deemed a further flaw in the assessment process, reinforcing the decision to quash the assessment order.

In conclusion, the Tribunal allowed the appeal of the assessee, ruling that the assessment order dated 13.03.2015 passed by ITO, Ward-6(1), Kolkata was corum non-judice due to the lack of a valid notice u/s. 143(2) and other procedural irregularities. The additional grounds raised by the appellant were accepted, leading to the quashing of the assessment order.

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