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TMI Blog2025 (5) TMI 507X X X X Extracts X X X X X X X X Extracts X X X X ..... n with supporting documentary evidences. Ld. Counsel particularly referred to para 5.2 of the CIT(Appeals) order in this regard. Ld. Counsel submits that the cash flow statement furnished by the assessee was completely ignored by the Ld. CIT(Appeals). 3. Coming to the validity of reopening of assessment Ld. Counsel for the assessee submits that in the case of the assessee notice was issued u/s 143(2) by ITO, Ward 38(2), New Delhi and whereas the assessment u/s 143(3) was completed by the ITO, Ward 5(2)(3), Noida. Ld. Counsel for the assessee submitted that the assessment is framed u/s 143(3) by Noida Officer i.e. ITO, Ward 5(2)(3) without valid transfer order u/s 127 of the Act for shifting of jurisdiction of ITO, Ward 38(2), New Delhi. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tical issue came up for consideration of the Bench in the case of Saroj Sangwan Vs. ITO (supra) wherein the Tribunal held as under: "4. Heard rival contentions, perused the orders of the authorities below and the case laws relied on. 5. On perusal of page 7 of Paper Book it is observed that notice u/s 148 of the Act dated 30.03.2018 was issued by ITO, Ward 69(1), Delhi for reopening of assessment of the assessee. Later on the case was transferred to the ITO, Ward 4(1), Gurgaon, by way of letter dated 12.11.2018 by ITO, Ward 69(1), New Delhi for completion of reassessment. It is very much clear that at the time of issue of notice u/s 148 of the Act by ITO, Ward 69(1), New Delhi he has no jurisdiction over the assessee as the jurisdiction ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idabad. Ld. Counsel for assessee submitted that the ITO, Ward 2(3), Noida who has recorded reasons for reopening of the assessment was not having jurisdiction over the case of assessee and that the ITO, Ward 2(1), Faridabad who has further issued notice u/s 148 and 142(1) of the Act and completed the reassessment order who was having jurisdiction over the case of the assessee did not record reasons for the reopening of the assessment. Therefore, initiations of reassessment proceedings are illegal, bad in law and liable to be quashed. In support of which contention he has relied upon order of ITAT Agra Bench in the case of S.N. Bhargawa Vs. ITO 147 ITD 306 in which it was held us under: "IT: Where Assessing Officer, Agra initiated reassess ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1), Faridabad, vide letter dated 07.09.2017 (PB 10). The AO while completing the assessment in this case has taken the shelter of provisions of section 129 of the Act. However, the said provision is not applicable because it is a matter of assumption of valid jurisdiction in the matter or to validly initiate the reassessment proceedings against the assessee. It is not a case of succession to exercise jurisdiction by one ITO to another ITO. Since, reasons have been recorded for reopening of the assessment by ITO, Noida who was not authorized to do so, therefore, mere recording of reasons for reopening of the assessment by him is of no consequence and has no value under the law. The AO who has jurisdiction over the case of assessee i.e. ITO, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed." 7. This decision squarely applies to the facts of the assessee's case. Thus, respectfully following the said decision, the reassessment made by the ITO, Ward 4(1), Gurgaon on the basis of notice issued u/s 148 of the Act by non-jurisdictional Assessing Officer i.e. ITO, Ward 69(1), New Delhi, is hereby quashed. Ground nos. 5 & 6 are allowed." 7. In the case of Pr. CIT Vs. Vimal Gupta (supra) the Hon'ble Jurisdictional High Court held as under: - 2. Although other grounds have been pressed by the Revenue regarding the validity of the impugned order of the ITAT holding the assessment order passed under Section 148 of the Income Tax Act, 1961 ('Act') to be invalid, a threshold ground urged is that the ITAT erred in holding in the imp ..... X X X X Extracts X X X X X X X X Extracts X X X X
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