TMI Blog2010 (11) TMI 64X X X X Extracts X X X X X X X X Extracts X X X X ..... on 14A - Provided that nothing contained in this Section shall empower the A.O. either to reassess under Section 147 or pass an order enhancing the assessment or reducing a refund already made or otherwise increasing the liability of the assessee under Section 154 for any assessment year beginning on or before the 1st April, 2001 - Held that: - not permissible for the AO to issue such a notice - a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ses should have been disallowed under Section 14A of the Act. In the reassessment proceedings, the AO, thus, disallowed the expenses to the extent of ₹ 27.36 lacs. 2. The CIT (A) has quashed the reassessment proceedings as invalid, inter alia, holding that proviso to Section 14A specifically bars any such reassessment under Section 147 prior to the Assessment Year 2002-03. 3. The aforesa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 14A of the Act, she argues that since the original assessment in the instant case was done under Section 143(1) of the Act, it would not be treated as assessment having regard to the law laid down in the case of Assistant Commissioner of Income Tax Vs. Rajesh Jhaveri Stock Brokers Pvt. Ltd. [(2007)291 ITR 500 (SC)]. Therefore, the second assessment made, could not be treated as reassessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssment was under Section 143 (1)(a) of the Act, question of change of opinion would not arise. Our observations would be same qua another judgment of this Court referred to by the learned counsel for the Revenue in the case of MTNL Vs. The Chairman, Central Board of Direct Taxes Anr. [(2000) 246 ITR 173 (Delhi)] as in that case also the Court was considering as to whether the ingredients of Sect ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rely on Section 14A of the Act. The AO wanted expenditure purportedly incurred in relation to income earned from the dividend to be disallowed; and (c) The notice also related to the assessment year beginning on or before 01.04.2001. 9. In view of the above mandate of the Legislature, it was clearly not permissible for the AO to issue such a notice. We, thus, do not find any infirmity of the o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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