TMI Blog2018 (4) TMI 1527X X X X Extracts X X X X X X X X Extracts X X X X ..... assessment order cannot be upheld - decided in favour of assessee. - ITA Nos.179/Kol/2017 - - - Dated:- 26-4-2018 - SHRI A. T. VARKEY, JM AND DR. A.L.SAINI, AM For The Appellant : Shri Manish Tiwari, FCA For The Respondent : Shri G. Hangshing, CIT(DR) ORDER Per Dr. A. L. Saini: The captioned appeal filed by the Assessee, pertaining to Assessment Year 2008-09, is directed against an order passed by the Ld. Commissioner of Income Tax (Appeals)-14, Kolkata, in appeal No.178/CIT(14)/Wd-2(3)/2015-16, dated 30.11.2016, which in turn arises out of an assessment order passed by the Assessing Officer u/s 143(3)/147 of the Income Tax Act, 1961 (hereinafter referred to as the Act ), dated 19.03.2014. 2. The gri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed to the assessee on 20.03.2013 requesting him to file fresh return of income. In response to that, the assessee submitted a letter dated 04.12.2013 stating that original return filed u/s 139(1) of the Act should be treated as if the return filed u/s 148 of the Act. The ld. counsel submitted that if the reasons recorded u/s 147/148 of the Act is not furnished to the assessee then it is difficult for the assessee to defend his case. It is the duty of the Assessing Officer to furnish the reasons for reopening the assessment u/s 147/148 of the Act and the same should be provided along with the notice u/s 148 of the Act. 4. The Counsel pointed out that during the appellate proceedings, the assessee has objected reopening u/s 147/148 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 48 and 147 exist also for inadvertent escapement of income. Thus the contention of the appellant is not based on acorrect reading of law and cannot be sustained. 5. The ld. counsel for the assessee, therefore, submitted before us that the ld CIT(A) was erred in holding that reassessment under section 147/148 was valid. Apart from this, it is necessary to furnish the reasons recorded u/s 147/148 of the Act, to the assessee otherwise, the assessee would not able to defend his case and, therefore, it is against the principle of natural justice, andhence, reopening u/s 147/148 of the Act is bad in law. 6. On the other hand, the ld. DR for the Revenue has primarily reiterated the stand taken by the Assessing Officer which we have alread ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he reasons and in a proceeding before the High Court or the Supreme Court (since there is no right of appeal or revision), it has an opportunity to demonstrate that the reasons which persuaded the Authority to pass an order adverse to his interest were erroneous, irrational or irrelevant, and ( 2) that the obligation to record reasons and convey the same to the party concerned operates as a deterrent against possible arbitrary action by the quasi-judicial or the executive authority invested with judicial powers . . . However, the above cited judgment of the Hon ble Supreme Court is in the context of section 269C of the Income Tax Act, but we note that the ratio decendi , of the said judgment may be used in the context of sectio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s (259 ITR 19) SC when a notice under Section 148 of the Income Tax Act is issued, the proper course of action for the notice is to file return and if he so desires, to seek reasons for issuing notices. The assessing officer is bound to furnish reasons within a reasonable time. On receipt of reasons, the noticee is entitled to file objections to issuance of notice and the assessing officer is bound to dispose of the same by passing a speaking order. In the instant case, as the reasons have been disclosed in these proceedings, the assessing officer has to dispose of the objections, if filed, by passing a speaking order before proceeding with the assessment in respect of the five assessment years . 3. CIT vs Vides ..... X X X X Extracts X X X X X X X X Extracts X X X X
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