Lear Automotive India Pvt.Ltd, Pune V. Assistant Commissioner of Income-tax, Circle - 9, Pune

ITA 1304/PUN/2018

AI Insights

The case involved Lear Automotive India Private Limited, which is the successor in interest of Lear Oragadam Automotive India Private Limited, against the ACIT, Circle-9, Pune. The core issue was the validity of an assessment order passed in the name of Lear Oragadam Automotive, an entity that had been amalgamated into Lear Automotive India Private Limited as of April 1, 2016, following an NCLT order dated March 1, 2017. The assessment order in question was issued on November 30, 2017, after the amalgamation and the assessee had informed the Assessing Officer (AO) about this fact. The tribunal's decision to quash the assessment order was based on the legal principle that an assessment cannot be made in the name of an entity that no longer exists as a separate legal entity due to amalgamation.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137776 (ITAT-PUNE)
• Duration Of Justice: 4 year(s) 8 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-05-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 02-05-2023
• Assessment Year: 2014-2015
• Appeal Filed On: 13-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH, ‘A’ PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT AND SHRI S.S. VISWANETHRA RAVI, JUDICIAL MEMBER आयकर अपील सं. / ITA. No.1304/PUN/2018 Assessment Year : 2014-15 Lear Automotive India Private Limited, (successor in the interest of Lear Oragadam Automotive India Private Limited), E-25, 26, 27, MIDC, Bhosari, Pune 411 026 Maharashtra PAN : AADCL1978K Vs. ACIT, Circle-9, Pune Appellant Respondent आदेश / ORDER PER R.S. SYAL, VP : This appeal by the assessee is directed against the order dated 20-06-2018 passed by the CIT(A)-6, Pune in relation to the assessment year 2014-15. 2. At the very outset, the ld. counsel for the assessee submitted that the facts and circumstances of this appeal are mutatis Assessee by Shri Dhanesh Bafna & Mr. Hardik Nirmal Revenue by Shri Mallikarjun Utture Date of hearing 03-05-2023 Date of pronouncement 04-05-2023 ITA No.1304/PUN/2018 Lear Automotive India Pvt. Ltd. 2 mutandis similar to those of immediately preceding assessment year 2013-14 which was argued simultaneously before the Tribunal. The ld. AR submitted that the additional ground was raised before the ld. CIT(A) urging that the assessment order passed in the case of non-existing entity should be quashed. He took us through the relevant discussion in the impugned order contained in para 6.1 onwards which highlights the factual scenario that the assessment order was passed in the name of M/s. Lear Oragadam Automotive (formerly known as Tacle Automotive India Private Limited). As against that Lear Oragadam Automotive India Private Limited got amalgamated with Lear Automotive India Private Limited w.e.f. 01-04-2016 by means of an order of National Company Law Tribunal (NCLT) on 01-03-2017. The assessment order in this case has been passed on 30-11-2017, i.e., after the passing of the order passed by the NCLT and the assessee conveying such fact to the AO. Following the reasoning given by us in our order for the assessment year 2013-14, we allow this ground of appeal and quash the assessment order passed in the name of non-existing entity. ITA No.1304/PUN/2018 Lear Automotive India Pvt. Ltd. 3 3. In view of our decision on this legal issue, there is no need to go into the merits of the appeal. 4. In the result, the appeal is allowed. Order pronounced in the Open Court on 04 th May, 2023. Sd/- Sd/- (S.S. VISWANETHRA RAVI) (R.S.SYAL) JUDICIAL MEMBER VICE PRESIDENT पुणे Pune; िदनांक Dated : 04 th May, 2023 सतीश आदेश की ितिलिप अ ेिषत/Copy of the Order is forwarded to : 1. अपीलाथ / The Appellant; 2. 3. थ / The Respondent The Pr.CIT-5, Pune 4. 5. DR, ITAT, ‘A’ Bench, Pune गाड फाईल / Guard file. आदेशानुसार/ BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण ,पुणे / ITAT, Pune ITA No.1304/PUN/2018 Lear Automotive India Pvt. Ltd. 4 Date 1. Draft dictated on 03-05-2023 Sr.PS 2. Draft placed before author 04-05-2023 Sr.PS 3. Draft proposed & placed before the second member JM 4. Draft discussed/approved by Second Member. JM 5. Approved Draft comes to the Sr.PS/PS Sr.PS 6. Kept for pronouncement on Sr.PS 7. Date of uploading order Sr.PS 8. File sent to the Bench Clerk Sr.PS 9. Date on which file goes to the Head Clerk 10. Date on which file goes to the A.R. 11. Date of dispatch of Order.