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2017 (7) TMI 948 - AT - Income TaxValidity of appeal filed before CIT(A) instead of filing objection - assessment order u/s 143(3) r.w.s. 144C - eligibility to file objections - Held that:- From the plain reading of the provisions contained in Sub-section (2) of Section 144C of the Act, it is clear that on receipt of the draft order, the eligible assessee shall file his objection, if any, to the ld. DRP and the AO within 30 days on receipt of draft order, and as per the provision contained in Sub-section (5), the DRP shall, in a case where any objection is received under Sub-section (2) of Section 144C of the Act shall, issue such direction as it thinks fit for the guidance of the AO to enable him to complete the assessment. But in the present case, nothing is brought on record to substantiate that any draft assessment order was passed by the AO or the objections were filed by the assessee or any direction was given by the ld. DRP. Therefore, the ld. CIT(A) was not justified in observing that the assessment order has been passed by the AO on the direction of the ld. DRP. On the contrary, the AO passed the assessment order u/s 143(3) r.w.s. 144C of the Act. From the CBDT Circular No. 5/2010, it is crystal clear that in case the assessee does not file objection, the AO shall pass the assessment order and thereafter the assessee can file an appeal against such assessment order before the ld. CIT(A). In the present case also the assessee did not file any objection before the DRP and filed the appeal before the ld. CIT(A), since it was the choice of the assessee as to whether to file an objection before the DRP or to pursue the normal channel of filing appeal against the assessment order before the ld. CIT(A). Therefore, the appeal filed by the assessee before the ld. CIT(A) was maintainable. We set aside the impugned order and direct the ld. CIT(A) to admit the appeal of the assessee and decide the same in accordance with law after providing due and reasonable opportunity of being heard to the assessee.
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