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2010 (4) TMI 733 - HC - Income TaxLimitation - Service of notice - Block assessment - Held that:- the service of notice on the assessee u/s 143(2) within the prescribed period of time is a pre-requisite for framing the block assessment under Chapter XIV-B of the Act. It is mandatory - Non-issuance of notice is not a mere procedural irregu-larity and the same is not curable - For the purpose of Chapter XIV-B of the Act, for the determination of undisclosed income for a block period under the provisions of section 158BC the provisions of section 142 and sub-sec-tions (2) and (3) of section 143 are applicable and no assessment could be made without issuing notice under section 143(2) of the Act within the time specified - Where the Assessing Officer in repudiation of the return filed u/s 158BC(a) proceeds to make an enquiry, he has neces-sarily to follow the provisions of section 142 and sub-sections (2) and (3) of section 143 - Hence, the Tribunal that the proviso to section 143(2), which provides limitation for serving of the notice, does not apply to the block assessment under section 158BC under Chapter XIV-B, is erro-neous - The order of the Tribunal as well as the order of the authority below are set aside.
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