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2022 (9) TMI 359 - HC - Income TaxValidity of Reopening of assessment u/s 147 - non obtaining the sanction as per provisions of section 151(1) - whether notice under Section 148 of the Act is one of jurisdiction of the Assessing Officer? - HELD THAT:- It is to be noted that it is purely a question of law and can be raised at any stage. Tribunal in the impugned order has held that assessee had not filed any appeal nor raised any plea during hearing of the appeal on that aspect. It is relevant to record that in the first round of litigation the ITAT had granted full relief to the assessee. Feeling aggrieved by that order, the revenue had filed an appeal before this Court. Once there is no dispute with regard to the question that issuance of notice under Section 148 of the Act is a jurisdictional issue and ITAT had granted full relief to the assessee, we are persuaded to accept the submission made by Shri.Shankar that assessee did not challenge that finding, because, it was unnecessary and would only increase the litigation. In our considered view the matter requires reconsideration in the hands of ITAT on this aspect. Whether the transfer of assets ought to have been considered under Sections 45(1) or 45(4)? - In view of law laid in SHREE CHAMUNDI MOPEDS LTD. v. CHURCH OF SOUTH INDIA TRUST ASSOCIATION [1992 (4) TMI 183 - SUPREME COURT] the matter requires reconsideration by the ITAT. Justification in assessing the firm after it had ceased to exist - Undisputed fact is, firm has been converted into a Part IX company. Referring to Section 188 of the Act it was urged by Shri.Aravind that the notice has been rightly issued to the Partnership firm. Since we are persuaded to remand the matter, we do not wish to consider this aspect on merits and keep this contention open. Appeal is allowed. Matter is remanded for fresh consideration by the ITAT as expeditiously as possible. Liberty is reserved to the aggrieved party to challenge the questions of law raised with regard to the merits of the case based on the outcome of the order to be passed by the ITAT on the jurisdictional aspect with regard to issuance of notice under Section 148 of the Act and the valuation.
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