TMI Blog2015 (7) TMI 979X X X X Extracts X X X X X X X X Extracts X X X X ..... av and Shri Anil Chaturvedi, JJ. For the Petitioner : Smt. Sonia Kumar, Sr.DR For the Respondent : Shri P. M. Mehta, AR ORDER PER Shailendra Kumar Yadav, Judicial Member. This is an appeal filed by the Revenue against the order of CIT(A) dated 9th March, 2011 for AY 2002-03. 2. The grounds of appeal raised by the Revenue are as under :- 1. The ld. CIT(A) erred in law and on facts in deleting the addition of ₹ 39,94,398/- which was made on account of negative cash balance as on 31.03.2002. 2. The ld. CIT(A) further erred in law and on facts in deleting the addition of ₹ 7,38,000/- which was made on account of unexplained receipts. 3. The first ground relates to deletion of addition of ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he information about the files containing the date of unaccounted business transactions/information of unaccounted income. Accordingly, the Assessing Officer issued notice under section 148 on 31.3.2009 and subsequently questionnaires were issued calling for details/information vide notice u/s 142(1) on 15.09.2009, 12-10- 2009 and on 05-11-2009. In response to the notices, the assessee made its submissions along with objections on 16.10.2009, on 26.10.2009 and on 16.11.2009 before the Assessing Officer. The Assessing Officer considered the submissions/objections but rejected the same. The Assessing Officer has discussed this issue in detail vide para 9(2) of the Assessment Order. The addition was made on the ground that the assessee could n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able on record. In the instant case, the respondent assessee in terms of Rule -27 of the Income-tax Appellate Tribunal Rules, 1963 supported the order of CIT(A) on the ground that the impugned assessment order was bad in law as the reassessment was made without disposing off the objections raised by the assessee against the initiation of reassessment proceedings by a separate order. We find that, in the instant case, it is not in dispute that the assessee filed his objections against the issuance of notice u/s 148 of the Act vide his letter dated 11.11.2009 which was received by the office of the Assessing Officer on 16.11.2009. Thereafter, the AO passed the impugned re-assessment order on 20.11.2009 disposing off the objections to reassess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssee. The assessee gets an opportunity to challenge the order in a writ petition. Thereafter, the AO may pass the reassessment order. We hold that it was not open to the AO to decide the objection to notice under section 148 by a composite assessment order. The AO was required to, first decide the objection of the assessee filed under section 148 and serve a copy of the order on the assessee. And after giving some reasonable time to the assessee for challenging his order, it was open to him to pass an assessment order. This was not done by the AO therefore, the order on the objection to the notice under section 148 and the assessment order passed under the Act deserves to be quashed. 8. Therefore, respectfully following the above dec ..... X X X X Extracts X X X X X X X X Extracts X X X X
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