Assessee's appeal allowed in part due to invalid assessment; other issues dismissed.

The appeal filed by the assessee was allowed in part as the assessment without issuing the mandatory notice under section 143(2) was deemed invalid. Other issues raised became irrelevant following this decision. The tribunal dismissed the appeal on 20/01/2020 at Ahmedabad.

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Issues Involved:
1. General nature of the order passed by the Ld. CIT(A).
2. Validity of assessment without issuing notice under section 143(2) of the Act.
3. Validity of reopening of assessment without sanction under section 151 of the Act.
4. Violation of natural justice.
5. Consideration of submissions and evidence by the Ld. CIT(A) and addition made under section 68 of the Act.

Issue-wise Detailed Analysis:

1. General Nature of the Order Passed by the Ld. CIT(A):
The first issue raised by the assessee was general in nature. The tribunal found no reason to adjudicate this issue and accordingly dismissed it.

2. Validity of Assessment Without Issuing Notice Under Section 143(2) of the Act:
The assessee contended that the assessment framed under section 143(3) read with section 147 of the Act was invalid as no notice under section 143(2) was issued. The Ld. CIT(A) upheld the assessment, citing that the assessee had participated in the assessment proceedings without raising any objections regarding the notice under section 143(2). The tribunal noted that the return filed in response to the notice under section 148 is deemed to be filed under section 139, and thus all provisions of section 139 apply. It was mandatory for the Revenue to issue a notice under section 143(2) even for assessments under section 147. The tribunal referenced several judgments supporting this view, concluding that the assessment without issuing the mandatory notice under section 143(2) was invalid. The tribunal also clarified that section 292BB, which deals with procedural defects in the service of notice, does not apply to the non-issuance of the notice itself. Consequently, the tribunal held that the assessment framed without issuing the notice under section 143(2) was not sustainable and allowed this ground of appeal.

3. Validity of Reopening of Assessment Without Sanction Under Section 151 of the Act:
The tribunal did not specifically address this issue in detail, as the primary technical issue regarding the non-issuance of notice under section 143(2) was resolved in favor of the assessee, rendering other issues infructuous.

4. Violation of Natural Justice:
Similar to the third issue, the tribunal did not provide a detailed analysis of this issue due to the resolution of the primary technical issue.

5. Consideration of Submissions and Evidence by the Ld. CIT(A) and Addition Made Under Section 68 of the Act:
The assessee argued that the Ld. CIT(A) did not consider their submissions and evidence in totality and upheld the addition of Rs. 35,00,000 under section 68 of the Act. However, since the tribunal allowed the appeal on the technical ground of non-issuance of notice under section 143(2), it refrained from adjudicating this issue on merit, deeming it infructuous.

Conclusion:
The appeal filed by the assessee was allowed in part, primarily on the technical ground that the assessment framed without issuing the mandatory notice under section 143(2) was invalid. The tribunal dismissed other issues as they became infructuous due to the resolution of the primary technical issue. The order was pronounced on 20/01/2020 at Ahmedabad.

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