2010 (1) TMI 669

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....ng without jurisdiction and so the reassessment order is liable to be quashed. Ground No. 3 is again a legal issue relating to validity of reassessment for want of valid service of notice upon the assessee issued under section 143(2). Ground No. 4 is on merit relating to an addition of Rs. 5 lakhs made by the Assessing Officer and sustained by the learned CIT(A) on account of gift received by the assessee. 3. Before us, the learned Authorised Representative for the assessee submitted that this appeal may be disposed of on the legal issue whether reopening of assessment under section 147 read with section 148 is without jurisdiction and so the reassessment framed by Assessing Officer is liable to be quashed. 4. Briefly stated, the rele....

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....ver, the assessee received a letter dated 23-12-2008 from the ITO, New Delhi, assessing income of the assessee at a sum of Rs. 9,61,380 by adding the gifted amount of Rs. 5 lakhs and on appeal the same was confirmed by the learned CIT(A). 5. The learned Authorised Representative for the assessee contended before us that the reassessment order passed by the ITO, Ward-34, New Delhi was without jurisdiction and liable to be quashed because he has simply framed the reassessment by issuing a notice under section 143(2) on 16-12-2008 without recording any reasons and without issuing a fresh notice under section 148 of the Act. He further submitted that now the issue, i.e., whether in the absence of any valid recording of reasons by the Assessi....

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....ng the appeal of the Revenue held as under : The Tribunal noted that the request of the assessee to transfer the jurisdiction was noted in the letter dated 25-3-1998, whereby the no-objection of CIT, New Delhi, was conveyed to the CIT, Ludhiana. It is also noted that thereafter the assessee submitted returns for the assessment years 1997-98 onwards at New Delhi. It is in these facts and circumstances that the Tribunal came to the conclusion that insofar as the assessee was concerned, after the said transfer, it is only Revenue authorities at New Delhi who had jurisdiction over the assessee's cases and who were competent to issue a notice in terms of section 148. It may also be pointed that pursuant to the issuance of impugned notice unde....