Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2021 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (10) TMI 262 - AT - Income TaxValidity of reassessment proceedings for non-issuance of statutory notice u/s 143(2) - HELD THAT:- Additional ground issue raised by the assessee is that reassessment proceedings are liable to be quashed, on the specific ground of non-issuance of statutory notice u/s 143(2) of the Act. It is an admitted fact before us that for the instant year under appeal for the purpose of reassessment Ld. AO only issued notice u/s 148 of the Act but failed to issue statutory notice u/s 143(2) of the Act. Whether the issue of notice u/s 143(2) of the Act is mandatory for carrying out reassessment proceedings, we find that Hon'ble Apex Court in a recent judgment in the case of CIT vs. Laxman Das Khandelwal [2019 (8) TMI 660 - SUPREME COURT] adjudicating similar issue laying down the ratio that the issuance of notice u/s 143(2) of the Act being a prerequisite and in the absence of such notices the entire proceeding would be invalid. Since notice u/s 143(2) of the Act was not issued to the assessee, before commencing reassessment proceedings the error being fatal and uncorrectable renders the reassessment proceedings void ab initio and thus liable to be quashed. Hence the assessment so framed without issuance of notice u/s 143(2) of the Act is hereby quashed being contrary to law - Decided in favour of assessee.
|