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2019 (4) TMI 695 - AT - Income TaxAssessment u/s 143(3) - search and seizure action U/s 132 was taken during pendency of assessment proceedings - CIT(A) quashed assessment on ground of issuance of notice u/s 143(2) by 2nd AO - whether assessment proceeding will be abate? - HELD THAT:- There will be only one assessment order in respect of each of six assessment years in which both the disclosed and undisclosed income would be brought to tax. The assessment or reassessment pending on the date of search shall abate and total income for such assessment years will have to be computed by the Assessing Officer as a fresh exercise. In the case in hand when the assessment proceedings were pending on the date of search on 27/8/2017 then the said proceedings initiated U/s 143(3) stood abated by virtue of search U/s 132(2) of the Act and the impugned order passed by the A.O. is nonest. Consequently the order passed by the CIT(A) also becomes infructuous when the assessment proceedings itself got abated and the only course of determination of the total income of the assessee is in the proceedings initiated U/s 153A of the Act. Neither the assessee nor the Assessing Officer has brought this fact to notice of ld. CIT(A) that a search and seizure action U/s 132 was carried out in the case of the assessee during the pendency of the assessment proceedings. The impugned order passed by the Assessing Officer as well as the ld. CIT(A) would otherwise not survive being nonest. Accordingly, the total income of the assessee would be determined in the proceedings initiated U/s 153A of the Act and there would be no consequence of the proceedings before us. Since the order of the ld. CIT(A) is not valid as the assessment proceedings itself stood abated and the question of validity of the assessment for want of notice U/s 143(2) of the Act does not arise. Accordingly, we set aside the order of the ld. CIT(A) as well as the assessment order passed by the Assessing Officer.
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