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2022 (3) TMI 780 - AT - Income TaxValidity of reopening of assessment u/s 147 - As argued AO has failed to supply the copy of the reasons recorded u/s 148(2) to the assessee during assessment proceedings - HELD THAT:- The case of the assessee finds support from the decision of the GKN Driveshafsts (India) Ltd. [2002 (11) TMI 7 - SUPREME COURT] wherein as held that when a notice u/s 148 of the Act is issued and the assessee has filed its return of income and sought the reasons for issuance of notice u/s 148 of the Act, the AO is bound to furnish the copy of reasons within the reasonable time and assessee on receipt of the reasons is entitled to file objections to issuance of notice. The Hon’ble Apex Court held that the AO is bound to dispose of the objections filed by the assessee by passing a speaking order. AO has not provided the reasons despite the assessee having filed return of income and having requested the AO to provide reasons which has deprived the assessee from filing the objections to the re-opening of assessment and against issuance of notice u/s 148 of the Act. The case of the assessee is also covered by the decision of CIT Vs Videsh Sanchar Nigam Ltd. [2011 (7) TMI 715 - BOMBAY HIGH COURT] as held that the reasons recorded for re-opening the assessment were not furnished to the assessee till the completion of assessment, the reassessment order cannot be upheld. Similar ratio has been laid down in the case of CIT Vs National Organic Chemical Industries Ltd. by the Hon’ble Bombay High Court by following the decision of Co-ordinate Bench in the case of CIT vs. Videsh Sanchar Nigam Ltd. (supra). Thus we set aside the order of ld CIT(A) and hold that the assessment framed u/s 143(3) is not valid and is accordingly quashed. The legal grounds raised by the assessee are allowed.
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