TaxTMI 
TaxTMI 
2014 (11) TMI 348
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.... under section 144 r.w.s. 158BC of the Income Tax Act, 1961 for the block period 1997-98 to 2003-04 by the ACIT, Central Circle-5, Hyderabad. Vide CIT (Appeals)-I, Hyderabad order in ITA No. 0451/CC-5/CIT(A)-1/04-05 dated 25.08.2008, the appeal was dismissed. Thereafter, the assessee went in appeal to the ITAT, Hyderabad. The ITAT vide their order in IT(SS)A No. 26/Hyd/2008 dated 16.04.2010 restored the matter to the file of the CIT(A). 3. The facts are that the assessee is a partnership firm consisting of 5 partners and came into existence w.e.f. 18.03.1998. Its business is that of purchase and sale of gold jewellery and gems. There was a search operation conducted in the business premises at C-1, Mayur Kushal Complex, Abids, Hyderabad on....
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.... ab initio void." In the above ground, the assessee contended that the assessing officer failed to issue notice under s. 143(2) of the Act as required under the provisions of the said statute and therefore the failure on his count is in violation of the statutory provisions of law and the assessment so completed is ab initio void. This ground was not taken before the CIT(A) and we find that this ground goes to the root of the matter and hence in the interest of justice, we remit this issue to the file of the CIT(A) for fresh adjudication in accordance with law. Since we are remitting this issue to the file of the CIT(A), we are not adjudicating the other grounds raised by the assessee in this appeal." 6. The CIT(A) held that during the ap....
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....ng to an assessment or reassessment, it shall be deemed that any notice under any provision of this Act, which is required to be served upon him, has been duly served upon him in time in accordance with the provisions of this Act and such assessee shall be precluded from taking any objection in any proceeding or inquiry under this Act that the notice was- (a) not served upon him; or (b) not served upon him in time; or (c) served upon him in an improper manner: Provided, that nothing contained in this section shall apply where the assessee has raised such objection before completion of such assessment or reassessment." 9. The CIT(A) observed that a plain reading of the above section clearly shows that if an assessee has not raised any o....
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....t was applicable. 11. The CIT(A) observed that it is clear that the assessee did not object to the late issue of notice under section 143(2) of the Act during assessment proceedings or during earlier appeal proceedings. Therefore, applying the provisions of section 292BB of the Act, it cannot take the plea now that the notice under section 143(2) was late and the proceedings of assessment stands vitiated. Given the above mentioned provisions, he held that section 292BB of the Act applies in the case of the assessee and the assessment is in order and decided the additional ground in favour of the Revenue. 12. Aggrieved, the assessee filed appeal before the Tribunal with the following grounds of appeal: 1. The order passed by the learned C....
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....m the end of the month in which the return was filed, the CIT(A) should have noted that the assessment made was invalid. 14. The Managing Partner of the assessee relied on the decision of this Tribunal in the case of DCIT vs. P. Venkataramana Gooty, IT(SS)A No. 8/Hyd/2010 dated 11.2.2011 and on the decision of Special Bench of the Tribunal in the case of Kuber Tobacco Products Pvt. Ltd. vs. DCIT, 117 ITD 273 (SB) (ND). The Managing Partner of the assessee also relied on the decision of Bombay High Court in the case of CIT vs. Mr. Salman Khan in ITA (L) No. 2362 of 2009. 15. The learned DR relied on the orders of the Assessing Officer and the CIT(A). 16. We have heard both the parties. We find that the notice u/s. 144 r.w.s. 158BC of the ....
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.... 01/10/1975? 4. Whether on the facts and the circumstances of the case and in law, Tribunal Was right in holding that the assessment order passed u/s. 143(3)/147, without issuing a notice u/s. 143(2), though sufficient opportunity was given to the assessee to present his case and has complied with all the requirements of the questionnaire issued by the A.O.? The learned Counsel for the respondent brought to our notice a judgment of this Court in the case of Commissioner of Wealth Tax Vs. HUF of H.H. Late J.M. Scindia (2008) 300 ITR 193 (Bom). Following the said judgment, the appeal being ITXA (L) No. 3475 of 2008 was disposed of wherein the same question of law was involved, which is question No. 1 herein this appeal. 3. So far as first ....