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TMI Blog2012 (6) TMI 259X X X X Extracts X X X X X X X X Extracts X X X X ..... 0. As a sequel to the search, block assessment order u/s 158BC r.w.s 143(3) was made on 29.11.2000. The block period involved is from 1.4.1990 to 3.11.2000. On appeal, the ld. CIT(A), vide his order dated 6.3.2007, deleted the entire additions made in the block assessment order, but he choose to direct the Assessing Officer u/s 150 of the Act to issue notice u/s 148 r.w.s 147 of the Act for assessment year 1999- 2000 (falling in the block), in relation to certain alleged bogus advances. In compliance, the Assessing Officer issued notice u/s 148 on 25.5.2007 to the assessee. Aggrieved the assessee filed Writ Petition before the Hon'ble Madras High Court, who vide its order dated 19.9.2007, quashed the notice issued u/s 148 by the Assessing O ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sing vacant land through auction. Accordingly, notice u/s 148 was issued on 25.5.2007, after recording the reasons separately. In the meantime, the direction given to reopen the assessment by the ld. CIT(A) was quashed by the Tribunal, but in Writ Petition filed challenging the issue of notice u/s 148 before the High Court, was quashed on the ground that the reason to reopen had not been properly recorded. The Hon'ble High Court gave liberty to the Department to issue fresh notice u/s 148, if so advised as per law. The Assessing Officer issued fresh notice u/s 148 on 8.1.2008, for assessment year 1999-2000, stating reasons and this was served on the assessee on the same day. Against this second notice issued u/s 148, the assessee also filed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... who has quashed the order passed u/s 147 r.w.s 148 dated 30.12.2008 by following the order of the Tribunal whereby notice issued u/s 148 was set aside because it was held that the ld. CIT(A) is not empowered to give direction to the Assessing Officer to re-assess the completed assessment after the expiry of limitation. Against this finding of the ld. CIT(A), the present appeal has been filed by the Revenue by taking the following grounds of appeal: "1.a On the facts and in the circumstances of the case, the learned CIT(A) has erred in quashing the order by holding that the re-assessment order u/s 147 r.w.s 144 dated 30.12.2008 is invalid. 1.b The learned CIT(A) has failed to note that order of the ITAT 'C' Bench Chennai in I.T.(S.S.)A.No. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce, the issue regarding validity of notice u/s 148 pending with the subordinate judicial authorities was merged with the order of the Hon'ble High Court and as such fresh notice u/s 148 dated 8.1.2008 issued by the Assessing Officer is in accordance with law. On the other hand, the ld. AR has submitted that the ld. CIT(A) has correctly quashed the notice in question as the notice was clearly time barred as per the provisions of the Act. 5. After cogitating the material available on record, we are convinced that the findings of the ld. CIT(A) are correct and no interference is called for. The reasons for our above epilogue are manifold. It is an undisputed and admitted fact that if the directions given by the ld. CIT(A) u/s 150 of the Act ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eference or revision, as the case may be, was made by reason of any other provision limiting the time within which any action for assessment, reassessment or re-computation may be taken." 6. From the above, it is clearly evinced that the provisions of sub-section(1) of section 150 shall not apply, in any case where any such assessment etc., in respect of which an assessment , re-assessment or re-computation would not have been made at the time the order which was the subject matter of the appeal, reference or refund, as the case may be, was made by reason of any other provision limiting the time within which any action for assessment, re-assessment or re-computation may be taken. This clearly shows that the period of limitation as provided ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n provided in the given circumstances of a case. It is an open secret that the direction given by the ld. CIT(A) to reopen the assessment order already completed, as per law has been quashed by the Tribunal and hence, it no longer survives. The order passed by the Hon'ble High Court, whereby permission to issue fresh notice u/s 148 has been given, is definitely subjected to section 149 of the Act. The Hon'ble High Court has not enlarged and cannot enlarge the scope of limitation. The limitation is not a contractual obligation but is a statutory necessity which prohibits filing of appeals or the revision after a certain period with the aim to attain finality in regard to disputed and contested issues raised by way of appeals, etc. The Hon'bl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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