TaxTMI 
TaxTMI 
2015 (7) TMI 355
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.... Assessee is a company engaged in the business of hotel, leasing of property and franchise of Idea Cellular. Assessing Officer completed the assessment on 22-03-2013 u/s.143(3) r.w.s.147 determined the total income at Rs. 55,60,740/-. As seen from the assessment order, an assessment order u/s.143(3) for the AY.2007-08 was passed on 25-03-2009 assessing the income at Rs. 7,98,956/- under the normal provisions of book profit u/s.115JB of Rs. 40,30,507/-. Subsequently, notice u/s.148 was issued after re-opening proceedings u/s.147 on 22-03-2012. The order indicates that the assessment was re-opened within four years from the end of the assessment year, whereas CIT(A) records in para 4 that it was re-opened after four years from the end of asse....
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....rcumstances and issues of the two cases are not identical the order of the Assessing Officer is upheld. This order is passed under the provisions of section 251(1)(c) of the I.T.Act, 1961". 3. Revenue has raised the following material grounds contesting the order of CIT(A): "2. The CIT(A) has erred on facts and in law in not controverting the assessee's wrong submission that the case was reopened after four years. 3. The provisions of S.251(1) of the Income Tax Act, 1961 empowers the CIT(A) to confirm, reduce, enhance or annul the assessment but the said section does not empower the CIT(A) to set aside any assessment or issue any direction for further enquiry and passing of the consequential order. 4. The Ld.CIT(A) ought to have app....
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.... "1. The assessment was completed u/s.143(3) and all the aspects were examined. Assessment was reopened u/s.147. It is to be stated that the decision of ITAT in the case of Gowri Gopal Hospitals (P) Ltd., (Appeal No.ITA No.1330/Hyd/2013) squarely applies to the assessee's case. 2. The honourable tribunal has held that when an assessment was made u/s.143(3) after examination a further examination u/s.147 is not valid and liable to be quashed, reliance is place on the decision in the case of Viswanath Engineering Vs. ACIT (354 ITR 0211) wherein it was held that having previously examined the nature of expenditure and having accepted during the original assessment, when a scrutiny has taken place it was not open to the assessing officer t....
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....peal as he thinks fit". 7. Therefore, as can be seen, the CIT(A) has to decide the appeal u/s.251(1)(a) as contested by the Revenue in ground No.3 either to confirm, reduce, enhance or annul the assessment. It does not empower the CIT(A) to set aside any assessment or delegating the same to the file of Assessing Officer. As can be seen from the direction of the CIT(A), he directs the Assessing Officer to examine another file and hold that appeal is allowable or not. Since appeal is on an order of an assessment, CIT(A) should have examined and decided the issue by virtue of powers conferred under section 251(1)(a) only. He can not delegate the same to AO. We are afraid that if this order of CIT(A) delegating his jurisdiction to AO is allowe....