Shri Mansingh M.Ahuja, Baroda V. The ACIT.,Cent.Circle-2, Baroda

ITA 3044/AHD/2008

• Counselvise Citation: [2011] 135 COUNSELVISE.COM (IT) 1736 (ITAT-AHMEDABAD)
• Duration Of Justice: 2 year(s) 6 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-03-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Next Hearing Date: 08-03-2011
• Assessment Year: 2002-2003
• Appeal Filed On: 28-08-2008
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D C PATWARI
• Keywords: Period of limitation
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AT AHMEDABAD, D BENCH (BEFORE S/SHRI G.D. AGARWAL, VICE-PRESIDENT AND MUKUL KR. SHRAWAT, JUDICIAL MEMBER) ITA NO.3043 TO 3046/AHD/2008 [ASSTT. YEAR : 2001-2002 TO 2004-2005] SHRI MANSINGH MAHUJA PROP. M.M. & SONS GAYATRI CHAMBERS, ALKAPURI PAN : ADGPA 3129 D VS. ACIT, CC-1 BARODA. (APPELLANT) (RESPONDENT) ASSESSEE BY : NONE REVENUE BY : SHRI D.C. PATWARI O R D E R PER BENCH : THESE ARE FOUR APPEALS BY THE ASSESSEE AGAINST THE ORDERS OF THE COMMISSIONER OF INCOME TAX(APPEALS)-IV, AHMEDABAD A RISING OUT OF THE ORDER OF THE ASSESSING OFFICER PASSED UNDER SECTION 153A(B) R.W.S. 143(3) OF THE INCOME TAX ACT, 1961. SINCE THE ISSUES RAISED I N THESE APPEALS ARE COMMON THE SAKE OF CONVENIENCE, WE DISPOSE OF ALL THESE AP PEALS BY THIS COMMON ORDER. 2. IN ADDITION TO THE GROUNDS ALREADY RAISED BY THE ASSESSEE, THE ASSESSEE FILED AN APPLICATION DATED 15-12-2008 SEEKING PERMI SSION TO RAISE THE FOLLOWING ADDITIONAL GROUNDS: THE NOTICE U/S.143(2) WAS ISSUED BY THE AO AFTER L APSE OF PERIOD OF ONE YEAR FROM THE DATE OF FILING OF RETURN AND THEREFOR E THE ASSESSMENT PROCEEDINGS WERE NOT VALIDLY INITIATED. THE IMPUGN ED ASSESSMENT IS THEREFORE ILLEGAL, VOID AB INITIO AND SHOULD BE QUA SHED. 3. AT THE TIME OF HEARING BEFORE US, THE LEARNED DR OBJECTED TO THE ADMISSION OF THE ADDITIONAL GROUNDS. HE HAS STATED THAT FOR ADJUDICATION OF THE ABOVE GROUNDS, INVESTIGATION OF THE FACT WOULD BE R EQUIRED AND THEREFORE THE ABOVE ADDITIONAL GROUND SHOULD NOT BE ADMITTED AT T HIS STAGE. HOWEVER, WE FIND THAT IN THE ASSESSMENT ORDER ITSELF THE AO HAS MENTIONED THE DATE OF FILING OF THE RETURN OF THE INCOME AS WELL AS THE DATE ON WHICH THE NOTICE UNDER SECTION 143(2) WAS ISSUED. THEREFORE, SO FAR AS TH ESE CASES ARE CONCERNED, WE ITA NO.3043 TO 3046/AHD/2008 -2- ARE OF THE OPINION THAT NO INVESTIGATION INTO THE F ACT IS REQUIRED. WE THEREFORE ADMIT THE ADDITION GROUND. 4. COMING TO THE MERIT OF THE ADDITIONAL GROUND, WE FIND THAT FOR ALL THE YEARS UNDER APPEAL, THE ASSESSEE HAD FILED RETURN O N 24-8-2005 AND THE NOTICE UNDER SECTION 143(2) WAS ISSUED ON 16-10-2006. BOT H THESE DATES ARE MENTIONED IN THE ASSESSMENT ORDER OF THE RESPECTIVE YEARS. THUS CLEARLY THE NOTICE UNDER SECTION 143(2) WAS ISSUED AFTER MORE T HAN ONE YEAR FROM THE END OF THE MONTH IN WHICH THE RETURN OF INCOME WAS FURN ISHED BY THE ASSESSEE. THEREFORE, NOTICE UNDER SECTION 143(2) WAS ISSUED A FTER THE PERIOD OF LIMITATION PRESCRIBED UNDER SECTION 143(2) OF THE ACT. THE SA ME BEING TIME BARRED ARE QUASHED. THE ASSESSMENT FRAMED IN PURSUANCE OF SUC H NOTICE UNDER SECTION 143(2) CANNOT BE SUSTAINED, THE SAME ARE CANCELLED. SINCE THE ASSESSMENT ITSELF IS CANCELLED, VARIOUS GROUNDS RAISED BY THE ASSESSE E AGAINST THE QUANTUM OF THE ADDITIONS NEEDS NO ADJUDICATION. 5. IN RESULT, ASSESSEES APPEALS ARE ALLOWED. ORDER PRONOUNCED IN OPEN COURT ON 18 TH MARCH, 2011 SD/- SD/- (MUKUL KR. SHRAWAT) JUDICIAL MEMBER (G.D. AGARWAL) VICE-PRESIDENT PLACE : AHMEDABAD DATE : 18-03-2011 C OPY OF THE ORDER FORWARDED TO: 1) : APPELLANT 2) : RESPONDENT 3) : CIT(A) 4) : CIT CONCERNED 5) : DR, ITAT. BY ORDER DR/AR, ITAT, AHMEDABAD