Validity of Section 153C assessments where approval lacked a DIN: absence of DIN renders the order void and set aside.

Approval of a draft assessment under search-related proceedings without recording a Document Identification Number (DIN) on the body of the statutory order is a fundamental defect that renders the order void and incapable of being cured under the procedural curability provision. The absence of DIN means the order is treated as never issued; consequently, an assessment passed under search-linked provisions is set aside when CBDT Circulars require DIN and the approval was given without it. The note follows High Court precedents upholding this principle and treats such orders as non est, allowing the assessee's appeal.

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Issues: (i) Whether the assessment orders passed under section 153C r/w section 143(3) (and related approvals under section 153D) are invalid and liable to be set aside because the departmental communications/approvals do not bear the computer-generated Document Identification Number (DIN) as required by CBDT Circular No. 19/2019.

Analysis: The Tribunal examined whether the approval under section 153D and consequential assessment orders complied with the mandatory requirement of quoting a computer-generated Document Identification Number (DIN) in the body of the communication as mandated by CBDT Circular No. 19/2019 (and relevant follow-on circulars). The Tribunal considered the admitted fact that the approval under section 153D did not mention a DIN, the provisions of the CBDT Circular (including the statement that communications not conforming to the Circular shall be treated as invalid), and the body of judicial precedents from coordinate Benches and High Courts addressing the effect of omission of DIN. Having regard to the Circular's mandatory language, the consistent line of Tribunal and High Court decisions holding communications lacking DIN to be non-est, and the absence of distinguishing jurisdictional precedent adverse to the assessee, the Tribunal concluded that the statutory approval without DIN is a non-est communication and that any assessment order founded on such an approval is void ab initio. The Tribunal therefore did not adjudicate the other substantive grounds of appeal as they became academic following quashing of the assessment order.

Conclusion: The assessment orders passed under section 153C r/w section 143(3) (and the approvals under section 153D lacking DIN) are invalid and are set aside; conclusion is in favour of the assessee.

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