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2015 (4) TMI 402 - AT - Income TaxValid jurisdiction u/s 153A - additional ground raised - Held that:- Assessment on amalgamating company is a legal nullity and that participation by amalgamating company is irrelevant. There is no estoppel against a statute. We are thus urged to quash the assessment as legal nullity. The assessment in substance and effect has been made against amalgamated company in respect of assessment of income of amalgamating company for the period prior to amalgamation and mere omission to mention the name of amalgamated company alongwith the name of amalgamating company in the body of assessment against the item "name of the assessee" is not fatal to the validity of assessment but is a procedural defect covered by Section 292B of the Act. As regards learned Departmental Representative’s objection that the assessee could not have taken up the additional ground since it does not arise out of the order of the CIT(A) and has not been adjudicated upon by the CIT(A), we are unable to see legally sustainable merits in the same. The law is fairly well settled in this regard. As long as it is a legal issue, and particularly when it does not require any further investigation of facts, it can be taken up even at the stage of the Tribunal for the first time. The authority for this proposition is contained in Hon’ble Supreme Court decision in NTPC vs. CIT ( 1996 (12) TMI 7 - SUPREME Court). The rights of the appellant and the cross objector are essentially similar and what can be raised in the appeal for the first time before the Tribunal can also be taken up for the first time in the cross objection as well. Thus we uphold the grievance so raised in the cross objection. Accordingly, we hold that the impugned assessment was legal nullity. - Decided in favour of assessee.
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