TMI Blog2022 (3) TMI 780X X X X Extracts X X X X X X X X Extracts X X X X ..... The Hon ble Apex Court held that the AO is bound to dispose of the objections filed by the assessee by passing a speaking order. AO has not provided the reasons despite the assessee having filed return of income and having requested the AO to provide reasons which has deprived the assessee from filing the objections to the re-opening of assessment and against issuance of notice u/s 148 of the Act. The case of the assessee is also covered by the decision of CIT Vs Videsh Sanchar Nigam Ltd. [ 2011 (7) TMI 715 - BOMBAY HIGH COURT] as held that the reasons recorded for re-opening the assessment were not furnished to the assessee till the completion of assessment, the reassessment order cannot be upheld. Similar ratio has been laid down i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s filed by the assessee on 03.08.2013 declaring total income of ₹ 44,28,590/-. The AO received information from DDIT(Investigation) Unit-1 Lucknow vide letter dated 2.8.2016 that M/s Programme Support Unit Foundation was receiving donations from different persons/entities which were bogus in nature. The AO noted that the assessee has given bogus donation of ₹ 55,00,000/- to M/s Programme Support Unit Foundation during the year. The AO also noted that the assessee has claimed deduction of ₹ 65,00,000/- u/s 80GGA of the Act from the total income. In view of these facts, the AO reopened the assessment u/s 147 of the Act by issuing notice u/s 148 of the Act dated 02.05.2017 by recording the reasons that income of the assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g return of income on 14.12.2017 and simultaneously requesting the AO to provide/supply the copy of the reasons recorded vide letter dated 14.12.2017. The Ld. A.R drew the attention to the Bench to the said communication dated 14.12.2017 and pointed out that the assessee has subsequently requested the AO to provide the copy of the reasons recorded for issuing notice u/s 148 of the Act. The Ld. A.R. submitted that despite assessee s request the AO did not supply the copy of the reasons recorded and proceeded to frame assessment which is invalid and nullity as the mandatory requirement supplying the reasons to the assessee has not been fulfilled as it has deprived the assessee of filing objections against the reopening of assessment. The Ld. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re the Ld. CIT(A) by referring to Form No. 35 and grounds raised by the assessee before the ld CIT(A) and submitted that the assessee cannot be allowed to rake up this issue at this stage. The Ld. D.R therefore submitted that the legal ground raised by the assessee may kindly be dismissed. 6. In the rejoinder, the Ld. A.R. took the Bench through the written submissions filed before the Ld. CIT(A) and ground no. 1 taken wherein the assessee has assailed the assessment order passed u/s 143(3) read with Section 147 of the Act as void abinitio. The Ld. A.R also took the bench through the various contentions, including non-supply of reasons recorded u/s 148 of the Act to the assessee, despite specifically being requested by the assessee. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the Hon ble Apex Court has held that when a notice u/s 148 of the Act is issued and the assessee has filed its return of income and sought the reasons for issuance of notice u/s 148 of the Act, the AO is bound to furnish the copy of reasons within the reasonable time and assessee on receipt of the reasons is entitled to file objections to issuance of notice. The Hon ble Apex Court held that the AO is bound to dispose of the objections filed by the assessee by passing a speaking order. However in the instant case before us, the AO has not provided the reasons despite the assessee having filed return of income and having requested the AO to provide reasons which has deprived the assessee from filing the objections to the re-opening of asse ..... X X X X Extracts X X X X X X X X Extracts X X X X
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