INCOME TAX OFFICER , SIRHIND V. DEEPAK GOYAL, MANDI GOBINDGARH

ITA 1288/CHANDI/2025

AI Insights

The case involves an appeal by the Income Tax Department against the decision of the CIT(A), which quashed an assessment order for the Assessment Year 2018-19. The original assessment was reopened by the Assessing Officer issuing a notice under section 148, leading to an addition of Rs.41,18,719 to the assessee's income. The assessee challenged the notice's validity, arguing it was improperly issued by the jurisdictional AO instead of a faceless AO as mandated by recent legal provisions. The CIT(A) agreed with the assessee, following the directive of the Punjab & Haryana High Court, which had set a precedent in a similar case. The Tribunal, upon reviewing the case, found no grounds to overturn the CIT(A)'s decision, emphasizing adherence to the judicial precedent and the procedural requirements for issuing notices under the Income Tax Act.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 829122 (ITAT-CHANDIGARH)
• Duration Of Justice: 3 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-01-2026
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: Chandigarh
• Assessment Year: misc
• Appeal Filed On: 07-10-2025
• Other Referred Cases: Jatinder Singh Bhangu (165 Taxmann.com 115; dated 19-07-2024)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: VIVEK VARDHAN LD.
• Section: 147; 148

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “SMC” BENCH, CHANDIGARH PHYSICAL HEARING HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं. / ITA No.1288/CHANDI/2025 (िनधाŊरण वषŊ / Assessment Year: 2018-19) ITO Ward-2 Mandi Gobindgarh Sirhind (Punjab) - 140406 बनाम/ Vs. Shri Deepak Goyal H. No. 316, Sector - 4C Mandi Gobindgarh - 147301 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No. ABLPG-8728-K (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) अपीलाथŎकीओरसे/ Appellant by : None ŮȑथŎकीओरसे/Respondent by : Sh. Vivek Vardhan (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 08-01-2026 घोषणाकीतारीख /Date of Pronouncement : 12-01-2026 आदेश / O R D E R 1. Aforesaid appeal by revenue for Assessment Year (AY) 2018-19 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 26-08-2025 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 147 r.w.s. 144B of the Act on 07-03-2024. Having heard Ld. Sr. DR and upon perusal of case records, the appeal is disposed-off as under. 2. It emerges that the case of the assessee was reopened and notice u/s 148 was issued by jurisdictional Assessing Officer (AO) on 06-04-2022 and while framing the assessment, Ld. AO made addition Printed from counselvise.com 2 of Rs.41,18,719/-. The assessee filed further appeal against the same and also challenged the notice before Hon’ble Punjab & Haryana High Court on the ground that the notice stood vitiated since it was issued by Jurisdictional AO instead of faceless AO as required under extant law. Since the first appeal was pending, the Hon’ble Court directed Ld. CIT(A) to decide the appeal in terms of decision of Hon’ble Court in the case of Jatinder Singh Bhangu (165 Taxmann.com 115; dated 19-07-2024). Pursuant to the said directions, Ld. CIT(A) applied the ratio of this decision and held that in terms of CBDT notification dated 29-03-2022, this notice was required to be issued by faceless AO. Therefore, the notice issued u/s 148 was quashed and the consequential assessment order was annulled. Aggrieved, the revenue is in further appeal before Tribunal. 3. It is crystal clear that the impugned legal issue stood decided in assessee’s favor by the decision of jurisdictional High Court and Ld. CIT(A) has followed a binding judicial precedent. Therefore, I see no reason to interfere in the same. 4. The appeal stand dismissed. Order pronounced on 12th January, 2026. -Sd- (MANOJ KUMAR AGGARWAL) ACCOUNTANT MEMBER Dated: 12-01-2026 Printed from counselvise.com 3 आदेश की Ůितिलिप अŤेिषत /Copy of the Order forwarded to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH Printed from counselvise.com "