TaxTMI 
TaxTMI 
2020 (11) TMI 1008
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....in accordance with law. 1.1. Because the action for concluding the reassessment is being challenged, since the 'approval' has not taken from the designated authority & is in violation of section 151(2) & additionally the sanctioning authority is not having 'charge' over the 'records' while granting the said approval. 1.2. Because the action for initiation, continuation and conclusion of reassessment proceedings is being challenged on facts & law. 1.3. Because the action for initiation of reassessment proceedings is unreasonable since while recording reasons, there is non-application of mind and less independent application of mind & merely relying upon the investigation report by AO, further reasons recorded are vague, lacking tangible material/reasonable cause & justification. 1.4. Because the action is being is challenged on facts & law for challenging that the reassessment order passed u/s 147/143(3) was illegal or nullity in the eyes of law, then, whether the AO had a valid jurisdiction to pass the impugned order u/s 263/147/144 to the non-est reassessment order. 2. Because the action is being challenged on facts and law for making addition of ....
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....th that order has preferred an appeal before us. 7. The learned authorised representative adverting to ground number 1.1 of the appeal stated that while concluding the reassessment, the proper approval u/s 151 (2) has not been taken from proper authority and therefore the original order passed u/s 147 of the act on 31 March 2015 is bad in law. He submitted that though this is the appeal against the order passed by the learned Commissioner of income tax- A in order passed by the learned assessing officer in pursuance of the order u/s 263 of the income tax act wherein it was held that the original order passed u/s 143 (3) read with Section 147 of the act is erroneous and prejudicial to the interest of revenue. He submitted that even in this appeal where the basic foundation of the assessment order which was held to be erroneous and prejudicial to the interest of the revenue by the learned CIT - A can be challenged by assessee at any stage of the assessment/appellant proceedings for that year. For this proposition he submitted that the aforesaid issue is legal in nature as the original order passed was illegal or nullity in the eyes of law then the assessing officer does not have a v....
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.... tax act wherein it has been held that the order passed by the learned assessing officer on 31st of March 2015 u/s 143 (3) read with Section 147 of the income tax act is erroneous and prejudicial to the interest of revenue, a lot of water has flowed down after that and now assessee cannot say that in the reopening proceedings the proper approval has not been taken. 11. To this assessee submitted that this is not the plea which has been taken before the coordinate bench for the first time but was also taken before the learned CIT - A. He referred to paragraph number 4 of the appellate order wherein this argument is mentioned. He also referred that in additional ground taken before the learned CIT - A at page number 5 of his order is also evident. He further referred to paragraph number 5 at page number 8 of the order of the learned CIT- A wherein it is held that in the case of the appellant the approval of the CIT has been taken instead of Additional Commissioner Of Income Tax, wherein the approval of the Additional Commissioner Of Income Tax is implicit therefore there is no infirmity in the process of approval obtained by the learned assessing officer. Accordingly the jurisdictio....
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....24a[Principal Chief Commissioner or] Chief Commissioner or 24a[Principal Commissioner or] Commissioner is satisfied, on the reasons recorded by the Assessing Officer aforesaid, that it is a fit case for the issue of such notice. (2) In a case other than a case falling under sub-section (1), no notice shall be issued under section 148 by an Assessing Officer, who is below the rank of 24[Joint] Commissioner, after the expiry of four years from the end of the relevant assessment year, unless the 24[Joint] Commissioner is satisfied, on the reasons recorded by such Assessing Officer, that it is a fit case for the issue of such notice.] 25[Explanation.-For the removal of doubts, it is hereby declared that the Joint Commissioner, the 25a[Principal Commissioner or] Commissioner or the 25a[Principal Chief Commissioner or] Chief Commissioner, as the case may be, being satisfied on the reasons recorded by the Assessing Officer about fitness of a case for the issue of notice under section 148, need not issue such notice himself.] 14. Therefore, apparently the sanction should have been taken by the learned assessing officer for reopening of the assessment u/s 147 of the act from the rank o....
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.... not himself accord approval of the Assessing Officer's proposal for reopening the assessment for the assessment year 2005-06. 7. It is contended by Mr. Rahul Chaudhary, learned senior standing counsel for the Department, that when the Addl. DIT recorded the words "put up for approval" he, in fact, should be understood to have applied his mind, approved the note of the Assessing Officer, and only thereafter put up the note for further approval to the DIT. He further sought to explain that it is only because the original records were not traceable that this course was adopted by the Addl. DIT. 8. The above submission cannot be accepted. Where the original assessment is processed under section 143(1) of the Act, and the reopening is sought to be done after the expiry of four years from the end of the relevant assessment year, the mandatory requirement under section 151(2) of the Act is that the approval for the reopening of the assessment should be by an officer of the rank of the Joint Commissioner (in this case, the Addl. DIT) and not other officer including a superior officer. Section 151(2) of the Act as it stood at the relevant time read : "(2) In a case other than a c....