2018 (8) TMI 135

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....the facts and in the circumstance of the case and in law, the Tribunal was correct in quashing the order made under Section 143(3) r.w.s. 147 holding that the same is out of jurisdiction without appreciating the fact that the sanction of the CIT was based on the satisfaction/ report of the Addl. CIT and as such the requirement of section 151(2) of the IT Act which calls for the sanction of the Addl. CIT, is duly fulfilled?"   3. Respondent is engaged in the business of trading in pharmaceutical products. On 25th March, 2011, the Assessing Officer issued a notice under Section 148 of the Act, seeking to reopen the assessment for the Assessment Year 200405. Respondent challenged the issuance of the reopening notice dated 25th March, 201....

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....y the Additional Commissioner of Income Tax, but by the Commissioner of Income Tax and, thus in breach of Section 151 of the Act. 6 Before considering the rival submissions, it is necessary to reproduce the relevant extracts from 'FORM FOR RECORDING REASONS FOR INITIATING PROCEEDINGS U/S. 148 OF THE ACT, AND FOR OBTAINING APPROVAL OF THE COMMISSIONER OF INCOME TAX, CENTRAL V, MUMBAI' tendered across the Bar. The Form itself indicates that the Assessing Office had submitted the proposal to obtain approval of the Commissioner of Income Tax before issuing the notice dated 25th March, 2011. The remark by Additional Commissioner of Income Tax on the form, is as under: " 12. Remark of the Addl. CIT: Yes. I am satisfied. It is a fit case....

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.... in paragraphs 6 and in this paragraph, are taken on record and marked A, B & C for identification. 8. Mr. Tejveer Singh, learned Counsel appearing for the Revenue submits that the Additional Commissioner of Income Tax is the jurisdictional Officer to grant sanction under Section 151 (2) of the Act. This, Officer he, submits has recorded his satisfaction with the reasons recorded by the Assessing Officer to issue the reopening notice. Thus, the requirement of Section 151 (2) of the Act is satisfied inasmuch as the Additional Commissioner of Income Tax has found it to be a fit case for issuing of notice. It is further submitted that even though, the approval was obtained from the Commissioner of Income Tax for issuance of the notice, it doe....