2024 (9) TMI 482

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....ction 144 r.w.s. 147 of the IT Act, 1961 of the Income Tax Act 1961 [hereinafter referred as 'the Act']. 2. Aggrieved by the order of the Ld CIT(A) the assessee is in appeal before us by raising the following grounds:- 1. The Ld. CIT(A) erred in confirming the reassessment proceedings against the amalgamating company without appreciating that i) the amalgamating company ceased to exist as a person pursuant to the scheme of amalgamating ii) no assessment can be made against a non-existent person; iii) the fact that AOK In-House Factoring Services Private Limited (Amalgamating company) got merged with 3i Infotech BPO Limited had filed its Return of Income post the approval of amalgamation ; which is wron....

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....ing entity is illegal, bad in law and without jurisdiction. He has further submitted that assessee company was dissolved by the Hon'ble High Court order dated 17-10-2011. The name of the company was struck off from the rolls of companies maintained by the Registrar of companies. The assessment order cannot be passed against the non-exist company. Reliance has placed on the following decisions wherein it has been held that an assessment framed in the name of a non-existent entity/dead person would tantamount to jurisdictional defect, thus making it void -ab-initio. The AR has placed reliance on the following judgments :- 1. Hon'ble Delhi High Court Spice Entertainment Ltd. Vs. Commissioner of Services [ ITA No.475 and 476 of 2011] ....

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....dissolution of a company on the grounds stated therein. The effect of the dissolution is that the company no more survives. The dissolution puts an end to the existence of the company. It is held in M.H. Smith (Plant Hire) Ltd. Vs. D.L. Mainwaring (T/A Inshore), 1986 BCLC 342 (CA) that "once a company is dissolved it becomes a non-existent party and therefore no action can be brought in its name. Thus an insurance company which was subrogated to the rights of another insured company was held not to be entitled to maintain an action in the name of the company after the latter had been dissolved. 10. After the sanction of the scheme on 11th April, 2004, the Spice ceases to upon the Income tax authorities to substitute the successor i....