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2018 (6) TMI 963 - AT - Income TaxValidity of assessment u/s 153C - scope of the special audit u/s 142(2A) - delegation of job of the AO to special auditor - non speaking order - extended period invoked - Held that:- Referring to ratio laid down in the case of Unitech Ltd. Vs. Addl. CIT (2016 (7) TMI 320 - ITAT DELHI) it is apparent that the order is non speaking order and gives no reasons for arriving at the conclusion that having regard to the nature and complexity of assessee's accounts and interest of the revenue, the AO was of the opinion that accounts are to be audited u/s 142(2A) - The order is silent as to on what basis and on what grounds, the accounts proposed to audit under section 142(2A) were considered complex and on what considerations it was arrived that it is in the interest of revenue to direct audit of accounts. Mere reference to a prior approval of CIT does not satisfy the precondition of a "Speaking order" containing reasons for invoking the provision of section 142(2A) of the Act. There is no reference to detailed replied furnished by the assessee during the proceedings. Order is bereft of any reason. It is stated here that reasons are heart and soul of an order, as they facilitate the process of judicial review and therefore in absence of any reason much less cogent, clear and succinct reasons order u/s 142(2A) of the Act is held to be bad in law and without proper jurisdiction. Since the extended period was taken under the guise of Special audit, which is held without proper jurisdiction, the time so taken cannot be counted and the period does not get extended. - Decided in favour of assessee
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