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2019 (4) TMI 971 - HC - Income TaxExemption u/s 11 and 12 - Petitioner already enjoyed registration u/s 12AA - fresh order on assessment - breach of judicial discipline - AO not carried out the directions of the Tribunal - scope of AO in remand proceedings - HELD THAT:- In the present case, the AO was passing a fresh order on assessment as directed by the Tribunal. The Tribunal, in its order dated 30/11/2017, had made it clear that the Petitioner already enjoyed registration under Section 12AA. Only question was, on facts, the Petitioner's claim of exemption under Sections 11 and 12 was valid. Since AO had not applied his mind on this aspect of the matter, the Tribunal remanded proceedings before the AO. The scope of the fresh order that the AO would pass, pursuant to this order of the Tribunal, was, therefore, confined to the inquiry in relation to the Petitioner's claim of exemption under Section 11 and 12. The issue of the validity of the registration of the Petitioner under Section 12AA was not at large before him. Perusal of the order of the AO and in particular, the quoted portion thereof, would convince us that the AO has travelled far beyond the scope of the inquiries before him and has breached all propriety of judicial discipline. AO has held that the Tribunal was not correct in granting deemed registration to the Petitioner. He has, in fact, criticized the Judgment of the Supreme Court on the ground that such Judgment notes a Division Bench Judgment of the High Court but not a larger Bench Judgment. Assessing Officer does not indulge into such bravado in future. Firstly, it was not within his scope to decide whether the decision of the Tribunal was correct or incorrect. Far more serious is his conduct of criticizing the Supreme Court Judgment. The entire hierarchy of judicial set up would be disturbed if a quasi judicial authority or for that matter, any Court or subordinate Judicial Officer were allowed to disregard questioning the correctness of the decision of a higher authority, forum or Court. The impugned orders are set aside. Since the Assessing Officer has not carried out the directions of the Tribunal to examine the Petitioner's claim of exemption under Sections 11 and 12 of the Act on merits, we place back the proceedings before him for passing a fresh order.
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