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2018 (2) TMI 2086 - AT - Income TaxValidity of assessment made u/s 143(3)/147 - Deemed dividend u/s 2(22)(e) - Non disposing of the objections raised by the assessee - HELD THAT:- It is observed that the facts involved in the case of Hardware Trading Corporation (supra) were materially similar to the facts of the present case, inasmuch as the specific object ions raised by the assessee challenging the validity of reopening of assessment after going through the reasons recorded were neither considered nor disposed of by the AO by passing a speaking order. By relying on the decision in the case of G.K.N. Driveshaft (India) Limited [2002 (11) TMI 7 - SUPREME COURT] Tribunal held that the reassessment order passed by the Assessing Officer without disposing of the objections raised by the assessee in respect of the validity of reopening was bad- in-law. In the case of G.K.N. Driveshaft (India) Limited [2002 (11) TMI 7 - SUPREME COURT] it was held by the Hon’ble Supreme Court that the assessee on receipt of reasons recorded by the AO is entitled to file objection to the issue of notice under section 148 and the Assessing Officer is bound to dispose of the said object ion by passing a speaking order. Respect fully following the decision in the case of G.K.N. Driveshaft (India) Limited (supra) as well as the decision of the Division Bench of this Tribunal in the case of Hardware Trading Corporation [2017 (11) TMI 2005 - ITAT KOLKATA], hold that the assessment made by the AO under section 143(3)/147 without disposing of the objections raised by the assessee challenging the validity of reopening was bad-in- law and the same is liable to be cancelled. Aappeal of the assessee is allowed.
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