Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (9) TMI 971 - AT - Income TaxValidity of Revision u/s 263 by CIT - Notice to non existing person. company/dissolved trust - curable defect u/s 292B - whether the notice issued by the ld. PCIT to a dissolved trust is legally valid or not? - HELD THAT:- The order of the ld. PCIT issuing notice to an extinguished trust is illegal and it is not a procedural irregularity which can be cured u/s. 292B. This precise issue had come up for consideration by the Hon'ble Supreme Court in the case of Pr. CIT vs. Maruti Suzuki India Ltd.[2019 (2) TMI 325 - SUPREME COURT]non existing company. We find that in the instant case also, the revenue has been duly informed about the dissolution of the trust and still chose to continue the proceeding on the dissoluted entity which was no more in existence. Hence, following the aforesaid ratio and principle laid down by the Hon'ble High Court and the Hon'ble Apex Court, we hold that impugned order passed by the Pr. CIT in the name of "Varnika RPG Trust" is a substantive illegality and not a procedural violation of the nature adverted to in Section 292B and hence order passed on non-existent entity is a nullity. - Decided in favour of assessee.
|