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2024 (1) TMI 689 - ITAT AHMEDABADInitiation of Revision proceedings by issuing Show Cause Notice and passing revision order without quoting DIN - DIN No. was subsequently communicated to the assessee - HELD THAT:- We do not find that none of the exceptional circumstances as mentioned in Para 3 (i) to (v) of this Circular No. 19/2019 has arisen for non-quoting of DIN both in the SCN as well as Revision order passed by Ld. PCIT. As per Paragraphs 3 & 5 of the Circular, in case of manual communication to be issued, prior written approval from the Chief Commissioner/Director General of Income-tax was to be obtained by the PCIT, since DIN was generated and communicated to the assessee to the very next date of issuance of the show cause notice and Revision order. Thus in our considered view, the Office of the PCIT has literally not followed CBDT Circular No. 19/2019. Further the office of the PCIT has not justified in not quoting of DIN even in the Revision order, where the same mistake was committed by it while issuing SCN to the assessee. Therefore Communication namely SCN dated 02.03.2022 and Revision order dated 30.03.2022 are not in conformity with Paragraphs 2 & 3 of this Circular No. 19/2019 issued by CBDT. Therefore the entire Revision proceedings is to be treated as invalid and shall be deemed to have never been initiated. It is appropriate to quote herein the well settled law that Circular issued by CBDT in exercise of its power u/s. 119 of the Act are binding on the Revenue as held by the Hon’ble Supreme Court Judgment in the case of K.P. Varghese Vs. ITO [1981 (9) TMI 1 - SUPREME COURT] Hon’ble Delhi High Court in the case of CIT Vs. Brandix Mauritius Holdings Ltd. [2023 (4) TMI 579 - DELHI HIGH COURT] given the language employed in the 2019 Circular, there is neither any scope for debate not is there any leeway for an alternate view. Therefore in our considered opinion, the initiation of Revision proceedings by issuing Show Cause Notice without DIN and passing Revision order without DIN are invalid in law. Appeal filed by the Assessee is hereby allowed.
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