2015 (7) TMI 1257

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ing the provisions of section 292BB of the IT Act and holding the assessment not valid when the legal heir of the assessee had duly attended the proceedings and not objected to the same.    2. That on the facts and circumstances of the case, the Ld. CIT(A) has erred in law and on facts by deleting the addition made by the AO u/s 69 of the IT Act when the assessee had failed to prove the credit worthiness of the donor and explain the deposits in the bank account.    3. The appellant craves leave to amend or alter all or any of the aforesaid grounds of appeal and amend, alter or add any other ground of appeal."    3. From the above grounds it is gathered that the main grievance of the departm....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ice was served on the assessee, therefore, the proceeding were invalid. The reliance was placed on the following case laws:     CIT Vs Suresh Chandra Jaiswal 325 ITR 563 (All.)   CIT Vs Shital Prasad Kharag Prasad 280 ITR 541 (All.)   Shaikh Abdul Kadar Vs ITO AIR 1959 MP 101   Mrs. Jerbanoo N. Wadia Vs ACIT (1991) 36 ITD 185 (Mum)    6. The ld. CIT(A) after considering the submissions of the assessee observed that the notice u/s 148 of the Act dated 31.03.2010 was issued by the ITO, Ward 20(3), New Delhi to Sh. Somnath Malhotra, 2, Gandhi Square, Malka Ganj, Delhi by Speed Post. He further observed that Smt. Raj Rani Malhotra, the legal heir and wife of Late ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....essee had deceased long back and the return for relevant assessment year had been filed by the legal heir. However, the AO continued with the assessment proceedings and made the additions of Rs. 19,94,120/-. The ld. CIT(A) observed that the AO recorded the reasons in the name of deceased person, the approval  for proceedings u/s 147 of the Act was taken in the name of deceased person and the initial notice u/s 148 of the Act was issued and dispatched in the name of deceased person by the AO who claimed in the first para of the assessment order that notice was served upon the assessee i.e. deceased person. The ld. CIT(A) accordingly held that the assessment and the additions made cannot be sustained.      8. Now t....