https://www.taxtmi.com/caselaws?id=755925 HC held that reassessment proceedings under sections 147/148 were invalid where AO acted on superior authorities' dictates rather than independently. The case arose from CBI search at third party's premises, with documents later transferred to AO. Evidence showed AO continuously sought instructions from Delhi and Jabalpur authorities, including preparation of questionnaires and assessment orders. HC distinguished between lack of jurisdiction and irregular exercise of power, finding the proceedings vitiated due to external influence. ITAT's finding that AO passed reassessment order on superiors' directions was upheld. HC emphasized AO's duty to act judicially and independently in quasi-judicial functions. The reassessment order was deemed outcome of bias, making the entire proceedings invalid. Additionally, proceedings exceeded statutory limitation period under section 153. Decision favored assessee. en-us Thu, 18 Jul 2024 00:00:00 +0530 Thu, 06 Feb 2025 14:29:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=755925 HC held that reassessment proceedings under sections 147/148 were invalid where AO acted on superior authorities' dictates rather than independently. The case arose from CBI search at third party's premises, with documents later transferred to AO. Evidence showed AO continuously sought instructions from Delhi and Jabalpur authorities, including preparation of questionnaires and assessment orders. HC distinguished between lack of jurisdiction and irregular exercise of power, finding the proceedings vitiated due to external influence. ITAT's finding that AO passed reassessment order on superiors' directions was upheld. HC emphasized AO's duty to act judicially and independently in quasi-judicial functions. The reassessment order was deemed outcome of bias, making the entire proceedings invalid. Additionally, proceedings exceeded statutory limitation period under section 153. Decision favored assessee. Case-Laws Income Tax Thu, 18 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=755925