TaxTMI 
TaxTMI 
TaxTMI 
2024 (7) TMI 1696
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.... account of undisclosed investment in share application money without going into the depth and facts of the case. Secondly, the assessee is aggrieved that notice u/s 143(2) was not issued and that the ld. CIT(A) dismissed the appeal of the assessee without going into the depth of the case and replies filed by the assessee and the actual status of issuance of notice u/s 143(2) of the Act. 3. Briefly stated, the facts of the case are that the assessee filed his return of income declaring his total taxable income of Rs.47,85,298/- on 25.10.2007. The case was selected for scrutiny and original assessment in this case was completed u/s 143(3) of the Income-tax Act, 1961 [the Act, for short] at returned income of Rs.47,85,298 /-. 4. The cas....
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....ssessment order to show that the AO mentions the issuance of notice u/s 143(2) and 142(1) on 18.11.2011 but the assessee did not receive any such notice. To bolster his argument, he further refers to the order sheet entries at page 205 of the Paper Book filed to show that though the order sheet mentions issuance of notice u/s 142(1) on 18.11.2011 but nowhere is there any reference to notice/s 143(2). The ld. counsel for the assessee furnished on record two separate judgments of the Hon'ble Jurisdictional High Court of Delhi in the case of PCIT M/s Consortium Nussli Comfort Net in ITA Nos. 62 and 63/2022 decided on 24th and 25th March 2022 and relying upon the same, prayed that the assessment order be declared null and void. The ld couns....
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....ion of law arose on that aspect. Therefore, the case of Madhya Bharat is not of any assistance to the Revenue as far as the issue in the present case is concerned. As far as provision of section 124(3) is concerned, it was submitted that it only provide for territorial jurisdictional which is not under challenge in the instant case. On the reliance of provisions of section 292BB, the ld AR submitted that the section saves those situation where notices are issued but had difficulties in getting served. The section does not save cases of nonissuance of notice. 10. We have heard the rival submissions and have perused the relevant material on record. On careful consideration of the facts and submissions and the judgments of the Hon'ble H....
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....ssment which is made without issuance of notice u/s143(2). 11. The issue of effect of non-issue of notice u/s 143(2) on the reassessment order is no longer res integra. In the case of PCIT v Jai Shiv Shankar Traders Pvt Ltd (2016) 383 ITR 448(Del) and PCIT v Silver Line & anr. (2016) 383 ITR 455(Del), the Hon'ble Delhi High Court have held that non- issue of notice u/s 143(2) is fatal to the re-assessment order. The Hon'ble High Court of Delhi in the case of M/s Consortium Nussli Comfort Net [supra] vide order dated 24th March, 2022, discussing the provisions of section 292BB and referring to the decision of the Hon'ble Supreme Court in the case of Laxman Das Khandelwal (supra), dismissed the appeal of the Revenue by holding as under....
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....man 48 (All.). 7. The Supreme Court in Laxman Das Khandelwal (supra) has clearly stated that the scope of Section 292BB is to make service of notice having certain infirmities to be proper and valid. However, the section does not save complete absence of notice. For section 292BB to apply, the notice must have emanated from the Department. It is only the infirmities in the manner of service of notice that the section seeks to cure. In fact, a Division Bench of this Court in Pr. CIT v. Shri Jai Shiv Shankar Traders (P.) Ltd. [2015] 64 taxmann.com 220/[2016] 383 ITR 448 has categorically held that the failure of the AO, in re-assessment proceedings, to issue notice under section 143(2) of the Act, prior to finalising the re-assessmen....