TaxTMI 
TaxTMI 
2021 (11) TMI 414
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....ed order. 2. The brief facts of the case are as follows: The assessee is a Garment Exporter. For the assessment years 1994-1995 and 1995-1996, the returns of income were filed on 27.10.1995 declaring 'NIL' income after claiming deduction u/s. 80HHC of the I.T. Act amounting to Rs. 1,41,75,924 and Rs. 59,68,514, respectively. For assessment years 1994-1995 and 1995-1996, the assessments were completed by orders dated 28.03.2003 passed u/s. 144 r.w.s. 147 of the I.T. Act wherein the claim of deduction u/s. 80HHC of the I.T. Act was denied. 3. Aggrieved by the orders of the assessment for assessment years 1994-1995 and 1995-1996, the assessee preferred appeals to the first appellate authority. Before the first appellate authority, t....
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....f reasons to the assessee is not necessary when the assessee is in full knowledge of the matter evidenced by their submissions and reply and explanations. 11. In view of the above, though the additional ground is admitted, it is dismissed because (i) Firstly, I have no power to set aside and (2) secondly, without prejudice to the above (i), I hold that the appellant had full knowledge of the reasons recorded for reopening the assessment u/s. 147 of the I.T. Act. 12. The above also disposes of ground No. 1 and 2 of the original grounds of appeal." 4. Aggrieved by the CIT(A)'s order, the assessee has preferred these appeals before the Tribunal. The learned AR limited his submission to the legal issue namely reassessment order is in....
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....Further, in the said letter, it was requested that the reasons recorded for issuance of notice u/s. 148 of the I.T. Act may be furnished for the effective representation of the case. The relevant portion of the letter of the assessee dated 09.06.2001 reads as follows:- "There is no income escaping assessment for the aforesaid assessment years and therefore, the notice issued by your Honour u/s. 148 of the Act is invalid and illegal. Further, the reasons recorded for issuance of notice u/s. 148 of the Act have not been furnished to me and it is prayed that the same may be furnished for effective representation of my case." 6.1. Inspite of the assessee's specific requests to furnish the reasons recorded for issuance of notice u/s. 148 ....
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....heard the learned counsels for the parties, we are satisfied that no substantial question of law arises in the present appeal filed by the Revenue in as much as the recording of reasons for reassessment under Section 147/148 of the Income-tax Act or non-communication thereof to the assessee does not amount to a mere procedural lapse. In view of the aforesaid Supreme Court decision in GKN DRIVESHAFT's case, it goes to the root of the matter and renders the reassessment order passed by the assessing authority without recording such reasons and communicating the same to the assessee, as being without jurisdiction. 6. The contention raised by the learned counsel for the Revenue that in the order sheet dated 04.11.2011 in the reassessment ....
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....or the first time was enough for by the learned Tribunal to hold that in view of the decision of the Hon'ble Supreme Court, the assessing authority lacked the jurisdiction in invoking the reassessment proceedings and therefore, the impugned reassessment order deserves to be quashed. 8. The decision relied upon by the learned counsel for the Revenue is distinguishable on facts. The order which was to be passed by assessing authority as preliminary objection of assessee, once the assessee has raised the objection to such reassessment proceedings, the meeting of such objections in the main reassessment order, could be procedural aspect of the matter, but the recording of the reasons before the initiation of the reassessment proceedings a....