TaxTMI 
TaxTMI 
2017 (11) TMI 961
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....ssue of notice u/s 148 and finalization of assessment proceeding by the AO. U/s 143(3) of the Act. 2. That on law as well as on the facts and in circumstances of the case, ld. CIT(Appeals) grossly erred and was acted illegally in confirming the addition of a sum of Rs. 48,11,521/- on account of alleged brokerage receipt without any basis and rational justification." 2. Ground number 1 is regarding validity of reopening of assessment under section 148 of the Income Tax Act. The assessee is an individual and working as Development Officer with LIC. He filed his return of income for the assessment year under constitution on 28 July 2006 reporting taxable income of rupees 6,85,520/-. The original assessment was completed under secti....
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.... 4 years on 20th March 2013. Therefore, the approval was required to be taken from Commissioner of Income Tax or Chief Commissioner of Income Tax before issuing the notice under section 148 of the Act. Ld. AR of the assessee has submitted that in the case of the assessee the approval was granted by J CIT as per the performa of approval at page number 44 & 45 of the paper book. Thus ld AR of the assessee has contended that reopening of the assessment is invalid as the assessing officer had no jurisdiction to proceed with the reassessment when the approval was not granted by a competent authority as provided under section 151(1) of the act. He has referred to the proviso to section 151(1) of the Income Tax Act and submitted that in case the a....
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....ntended that a notice issued under section 148 without obtaining the saction of the chief commissioner or commissioner is not valid and consequently the entire reassessment proceedings are void and not sustainable in law. 4. On the other hand ld. Dr has submitted that this plea has not been raised by the assessee before the authorities below and therefore, this cannot be raised first time at this stage. He has further contended that the assessee raised the objection against the reopening of the assessment on the ground that assessing officer issued the notice under section 148 and initiated the proceedings of reassessment without any basis and without authority of law. Therefore, the objection of the assessee before the CIT(appeals) was ....
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....r has escaped assessment after going through the relevant record and the reasons recorded by the assessing officer. Without the approval of the competent authority the AO is not empowered to issue the notice under section 148 and therefore, such notice issued under section 148 is invalid and consequential proceedings under section 147 read with section 143 void for want of jurisdiction and not sustainable under law. In the case of the assessee here is no dispute about the fact that the notice under section 148 issued on 20th March 2013 was after the expiry of 4 years from the assessment year under consideration and the original assessment was also frame under section 143(3) of the Act. Therefore, on principle we find merits in the contentio....