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2020 (12) TMI 1086 - HC - Income TaxValidity of order u/s 144C - Failure to pass a draft assessment order under Section 144C(1) - Non adhere to the mandatory procedure prescribed under Section 144C - HELD THAT:- This issue is no longer res integra. It is now settled law that failure to adhere to the mandatory procedure prescribed under Section 144C of the Act would vitiate the entire proceedings and the same cannot be treated as an irregularity/ curable defect. In the present case, in complete contravention of Section 144C, the Assessing Officer wrongfully assumed the jurisdiction and passed the final assessment order without passing a draft assessment order and without giving the respondent/assessee an opportunity to raise objections before the Dispute Resolution Panel. See ESPN Star Sports Mauritius S.N.C. ET Companies [2016 (4) TMI 45 - DELHI HIGH COURT] wherein held as held that failure to pass a draft assessment order under Section 144C(1) of the Act would render the final assessment order without jurisdiction, null and void and unenforceable. This Court is of the opinion that no question of law, let alone a substantial question of law, arises in the present appeal. This Court is of the view that till the Income Tax Department ensures that the Assessing Officers follow the mandate of law, in particular, binding provisions like Section 144C and eschew filing of unnecessary appeals rather than in nearly all matters where the Assessing Officer has taken a view against the Assessee, the assessments will not achieve finality for a number of years like in the present case where the case of assessment year 2007-08 stands remanded and restored to the file of the Assessing Officer. Revenue appeal dismissed with cost.
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