ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD, MUMBAI V. ITO 20(3)(4), MUMBAI

ITA 6254/MUM/2013

• Counselvise Citation: [2015] 134 COUNSELVISE.COM (IT) 3040 (ITAT-MUMBAI)
• Duration Of Justice: 1 year(s) 11 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-10-2015
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 19-05-2015
• Assessment Year: 2007-2008
• Appeal Filed On: 25-10-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S T BIDARI
• Assessee Lawyers: C N VAZE
• Keywords: Reopening of assessment; Diversion of income; Cost of acquisition; Tangible material; Difference of opinion; Reason to believe; Change of opinion
• Section: 143(3); 14A; 147; 131; 148

Judgement Text

ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 1 IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH G , MUMBAI . , , BEFORE SHRI D. KARUNAKARA RAO , ACCOUNTANT MEMBER AND SHRI AMIT SHUKLA , JUDICIAL MEMBER ITA NO. : 6 2 54 /MUM/20 1 3 (ASSESSMENT YEAR :200 7 - 0 8 ) ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD , MAROL MAROSHI ROAD, MAROL VILLAGE, ANDHERI (EAST), MUMBAI - 400 0 59 .: PAN: AA ABZ 0019 Q VS INCOME TAX OFFICER - 20(3) ( 4 ), ROOM NO. 511, PIRAMAL CHAMBERS, LALBAUG, MUMBAI - 400 0 1 2 (APPELLANT (RESPONDENT) APPELLANT BY : SHRI C N VAZE RESPONDENT BY : SHRI S T BIDARI /DATE OF HEARING : 15 - 0 7 - 201 5 / DATE OF PRONOUNCEMENT : 15 - 10 - 201 5 ORDER , . . : PER AMIT SHUKLA, J M : THE A FORESAID APPEAL HA S BEEN FILED BY THE ASSESSEE AGAINST IMPUGNED ORDER DATED 1 2 . 09 . 201 3 PASSED BY CIT(A) - 3 1 MUMBAI , FOR THE QUANTUM OF ASSESSMENT PASSED U/S 143(3) R.W.S. 14A FOR THE ASSESSMENT YEAR 2007 - 08 , ON THE FOLLOWING GROUNDS : - 1. ON FACTS, AND IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LEARNED CIT - A ERRED IN CONFIRMING THE REOPENING OF THE CASE OF THE ASSESSEE BY AO U/S 147/148 OF THE I.T. ACT, 1961. ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 2 2. ON FACTS, IN CIRCUMSTANCES OF THE CASE AND IN LAW THE LEARNED CIT - A ERRED IN CONFIRMING ADDITION BY AO OF RS. 97,72,252/ - TO THE TOTAL INCOME AS LONG TERM CAPITAL GAIN. 2. BRIEF FACTS QUA THE VALIDITY OF REOPENING U/S 147 AS CHALLENGED BY THE ASSESSEE VIDE GROUND NO. 1 ARE THAT THE ASSESSEE IS A CO - OPERATIVE INDUSTRIAL SOCIETY. IT HAS FILED ITS RETURN OF INCOME FOR THE ASSESSMENT YEAR 2007 - 08 , U/S 139(1) ON 15.11.2007 DECLARING NIL INCOM E. THE SAID RETURN OF INCOME , DISCLOSED THE WORKING OF LONG - TERM - CAPITAL - GAIN , WHEREIN THE ASSESSEE HAD SHOWN CONSIDERATION OF RS. 1 CRORES AGAINST SALE OF FSI AND AFTER TAKING INTO ACCOUNT THE COST OF ACQUISITION OF FSI RS. 1 , 76 , 081 / - , THE ENTIRE LONG - TER M - CAPITAL - GAIN OF RS. 98,23,919/ - WAS CLAIMED AS EXEMPT. IN SUPPORT, THE ASSESSEE HAS GIVEN A DETAILED NOTE ALONG WITH THE COMPUTATION OF INCOME . THE SAID RETURN WAS DULY PROCESSED U/S 143(1). THEREAFTER , THE DEPARTMENT CALLED FOR CERTAIN INFORMATION FROM THE ASSESSEE VIDE LETTER DATED 03.07.2008 , WHEREIN THE AO SPECIFICALLY ASKED FOR DETAILS OF TRANSACTION OF SALE AND PURCHASES OF IMMOVABLE PROPERTY FOR THE LAST FIVE YEARS WITH THE COPY OF AGREEMENT. IN RESPONSE, THE ASSESSEE FURNISHED ALL THE REQUISITE IN FORMATION VIDE LETTER DATED 15 TH JULY, 2008 AND 4 TH AUGUST, 2008. THIS TRANSACTION OF SALE OF FSI WAS ALSO ENQUIRED UPON AND DETAILS WERE FURNISHED BY THE ASSESSEE . AFTER SUCH EXCHANGE OF LETTERS, QUERIES AND REPLIES, NO ACTION WAS TAKEN AGAINST ASSESSEE AND THE RETURN INCOME WHICH WAS DULY ACCEPTED U/S 143( 1 ) , BECAME THE ASSESSED INCOME , AS NO NOTICE U/S 143(2) WAS ISSUED EVEN AFTER EXCHANGE OF ABOVE LETTERS. AGAIN ON 28.07.2010, THE ASSESSEE WAS ISSUED SUMMONS U/S 131 BY ITO (INVESTIGATION UNIT) TO PRODUCE THE BOOKS OF ACCOUNTS AND COPIES OF RETURN OF INCOME . IN RESPONSE, THE ASSESSEE VIDE LETTER DATED 09.08.2010 RESPONDED TO THE SAID SUMMON AND FURNISHED THE COPIES OF DOCUMENTS REQUIRED INCLUDING INCOME - TAX RETURNS AND A LL THE BANK STATEMENTS. FURTHER VIDE LETTER DATED 14.09.2010, THE ASSESSEE AGAIN FURNISHED THE REQUISITE DETAILS AS REQUIRED BY THE ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 3 DEPARTMENT. AFTER SUCH AN EXCHANGE OF LETTERS, NO ADVERSE INFERENCE WAS DRAWN OR ANY ACTION WAS TAKEN. THEREAFTER, ON 28.03. 2011, THE ASSESSEES CASE WAS REOPENED BY ISSUANCE OF NOTICE U/S 148 ON THE FOLLOWING REASONS RECORDED , WHICH WAS SUPPLIED TO THE ASSESSEE ON 14.10.2010 : - THE REASONS RECORDED FOR SELECTION OF YOUR CASE ARE FURNISHED HERE UNDER: THE ASSESSEE IS A CO - OPERATIVE SOCIETY AND HAS RECEIVED THE AMOUNT OF RS. 1 CRORE DURING FY 2006 - 07 ON SALE OF FSI AND THE ENTIRE AMOUNT HAS BEEN CLAIMED AS DEDUCTION WHICH IS NOT ALLOWABLE DEDUCTION. THE INCOME EARNED BY WAY OF RECEIPT OF RS. 1 CRORE ON SALE OF FSI HAS ESCAPE D ASSESSMENT. UNDER THE CIRCUMSTANCES, I HAVE REASON TO BELIEVE THAT INCOME HAS ESCAPED ASSESSMENT IN TERMS OF SECTION 147 OF THE I.T. ACT, 1961. ACCORDINGLY, THE ASSESSMENT FOR A.Y. 2007 - 08 WAS REOPENED FOR REASSESSMENT U/S 147 OF THE I.T. ACT, 1961. (SD/ - ) X X X INCOME - TAX OFFICER 20(3)(4) MUMBAI 3. DURING THE COURSE OF THE ASSESSMENT PROCEEDINGS, THE ASSESSEE RAISED ITS OBJECTIONS AND JUSTIFIED THE CLAIM OF DEDUCT ION OF LONG - TERM - CAPITAL - GAIN ON THE GROUND THAT , THERE WAS DIVERGENT OF INCOME BY OVERRIDING TITLE. THE RELEVANT SUBMISSION OF THE ASSESSEE READS AS UNDER : - THE STRUCTURE OF THE BUILDING OF THE SOCIETY NEEDED URGENT REPAIRS. SOCIETY HAD NO FUNDS TO CARRY OUT MAJOR STRUCTURAL REPAIRS. HENCE, SOCIETY SOUGHT PERMISSION FROM DY. REGISTRAR OF CO - OPERATIVE SOCIETY TO RAISE FUNDS FOR CARRYING OUT THESE MAJOR STRUCTU RAL REPAIRS BY SALE OF PLOT OF LAND/FSI. THE DY. REGISTRAR CO - OPERATIVE SOCIETIES GRANTED PERMISSION TO SALE PORTION OF LAND SUBJECT TO VARIOUS CONDITIONS INCLUDING ONE ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 4 CONDITION THAT FUNDS RAISED FROM THE SALE OF LAND HAVE TO BE UTILIZED ONLY FOR THE PUR POSE OF CARRYING OUT MAJOR STRUCTURAL REPAIRS. COPY OF SANCTION LETTER EVIDENCING THIS CONDITION ALREADY PLACED ON RECORD. HENCE, THE SOCIETY LETTER EVIDENCING THIS CONDITION ALREADY PLACED ON RECORD. HENCE, THE SOCIETY HAD NO OPTION TO USE THE AMOUNT REC EIVED ON SALE OF LAND/FSI AT ITS DISCRETION. IN VIEW OF FOREGOING, THE AMOUNT RECEIVED ON SALE OF LAND/FSI GOT DIVERTED BY OVERRIDING TITLE AND WAS NOT LIABLE TO BE INCLUDED IN COMPUTATION OF TOTAL INCOME. BESIDES THIS, THE ASSESSEE HAS ALSO CHALLENGED THE VALIDITY OF REOPENING U/S 148 ON THE GROUND THAT , ALREADY ENQUIR I ES WERE CONDUCTED BY THE DEPARTMENT AND NO ADVERSE VIEW WAS TAKEN. THUS, SUCH A REOPENING NOW AMOUNTS TO CHANGE OF OPINION . HOWEVER, THE AO REJECTED THE ASSESSEES CONTENTION BOTH ON L EGAL GROUND AS WELL AS ON MERITS. 4. IN THE FIRST APPEAL, LD. CIT(A) TOO REJECTED THE ASSESSEES LEGAL SUBMISSION ON THE GROUND THAT ORIGINAL RETURN WAS NOT SUBJECT TO SCRUTINY ASSESSMENT U/S 143(3) THEREFORE, NO OPINION WAS FORMED AT ALL . THE NOTICE U/S 148 WAS ISSUED MUCH BEFORE 4 YEARS FROM THE END OF ASSESSMENT YEAR THEREFORE, AO HAS ALL THE POWERS TO REOPEN THE CASE U/S 147 AS HAD REASON TO BELIEVE THAT INCOME CHARGEABLE TO TAX HAS ESCAPED THE ASSESSMENT. IN HIS ORDER, LD. CIT(A) DISCUSSED THE ENTI RE LAW ON CHANGE OF OPINION VALIDITY OF REOPENING AFTER REFERRING TO THE VARIOUS DECISIONS AND DECIDED THE ISSUE AGAINST THE ASSESSEE. 5. BEFORE US, THE LD. COUNSEL SUBMITTED THAT ONCE THE ASSESSEE HAS GIVEN DETAILED NOTE IN THE RETURN OF INCOME FOR CLAIMING OF EXEMPTION OF LONG - TERM - CAPITAL - GAIN AND LATER ON IT HAS BEEN ENQUIRED BY THE DEPARTMENT ALSO TWICE, THEN ON THE SAME INFORMATION AND SOME MATERIAL ON RECORD , REOPENING U/S 147 ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 5 CANNOT BE DONE. IN SUPPORT OF HIS CONTENTION, CHRONOLOGY OF EVENTS A N D VARIOUS CITATIONS OF CASE LAWS WERE GIVEN BEFORE US . 6. ON THE OTHER HAND, LD. DR STRONGLY RELYING UPON THE ORDER OF THE CIT(A) SUBMITTED THAT, ONCE NO ORDER U/S 143(3) HAS BEEN PASSED THEN, THERE CANNOT BE A CASE OF CHANGE OF OPINION . HERE IN THIS C ASE, THE RETURN OF INCOME HAS BEEN ACCEPTED U/S 143(1) AND THERE WAS NO SCRUTINY ASSESSMENT U/S 143(3) THEREFORE THERE WAS NO APPLICATION OF MIND DURING ASSESSMENT . THUS, THE CASE HAS RIGHTLY BEEN REOPENED ON THE REASONS RECORDED BY THE AO. 7. WE HAVE HEARD THE RIVAL CONTENTION S AND ALSO PERUSED THE RELEVANT MATERIAL ON RECORD. THE ASSESSEE WHICH IS A CO - OPERATIVE INDUSTRIAL SOCIETY HAS SHOWN SALE CONSIDERATION FROM SALE OF FSI OF RS. 1 CRORE AND AFTER DEDUCTING THE COST OF ACQUISITION AT RS. 1,76,081/ - , TREATED THE ENTIRE LONG - TERM - CAPITAL - GAIN OF RS. 98,23,919/ - AS EXEMPT. IN THE COMPUTATION OF INCOME, THE ASSESSEE HAS GIVEN THE FOLLOWING NOTE FOR MAKING SUCH A CLAIM : - 1 ) IN RESPECT OF CONTRIBUTION FROM MEMBERS, THE PRINCIPLE OF MUTUALITY APPLIES AND H ENCE THE RELEVANT FIGURES ARE NOT INCLUDED IN ABOVE COMPUTATION. 2 ) IN RESPECT OF AMOUNT RECEIVED ON SALE OF FSI, THE RELEVANT FACTS ARE AS UNDER: THE STRUCTURE OF THE BUILDING OF THE SOCIETY NEEDED URGENT REPAIRS, SOCIETY HAD NO FUNDS TO CARRY OUT MAJOR STRU CTURAL REPAIRS. HENCE SOCIETY SOUGHT PERMISSION FROM DY. REGISTRAR OF COOPERATIVE SOCITIES TO RAISED FUNDS FOR CARRYING OUT THESE MAJOR REPAIRS BY SALE OF PART OF LAND/FSI. THE DY. REGISTRAR C OOPERATIVE SOCIETIES GRANTED PERMISSION TO SALE PORTION OF LAND SUBJECT TO THE CONDITION THAT FUNDS RAISED FROM SALE OF LAND HAVE TO BE UTILIZED ONLY FOR THE PURPOSE OF CARRYING OUT MAJOR STRUCTURAL REPAIRS.: THE SOCIETY HAD NO OPTION TO USE THE SAID AMOUNT AT ITS DISCRETION. HENCE THE AMOUNT RECEIVED ON SALE OF LAND GOT ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 6 DIVERTED BY OVERRIDING TITLE AND CONSEQUENTLY NOT INCLUDED IN ABOVE COMPUTATION OF TOTAL INCOME IN VIEW OF THE FOLLOWING DECISIONS. A ) IN KESHKAL CO - OP MARKETING SOCIETY LTD VS CIT (1987) 165 ITR 437 (MP) AMOUNT TRANSFERRED TO RESERVE FUND U/S 43(2) OF THE M.P. CO - OPERATIVE SOCIETIES ACT 161 CAN ONLY BE UTILIZED IN SUCH A MANNER AND ON SUCH TERMS AND CONDITIONS AS MAY BE LAID DOWN BY THE REGISTRAR OF THIS BEHALF SAID AMOUNT IS NOT, THEREFORE AVAILABLE FOR THE USE OF THE ASSESSEE SOCIETY AT ITS OPTIONS ASSESSEE THEREFORE LOSES CONTROL OVER THE SAIS AMOUNT SAME DIVERTED BY OVERRIDING TITLE. B ) CIT V/S SHRI CHHATRAPATI SAHAKARI SAHHAR KERHHENN LTD (2000) 245 ITR 498 (BOM) DEDUCTION MADE BY CO - OPERATIVE SUGAR MILL FROM PRICE PAYABLE BY IT TO CANE GROWERS FOR COLLECTING FUNDS FOR DEVELOPMENT OF LOCAL AREA AND TOWARDS VARIOUS RELIEF FUNDS PURSUANT TO INSTRUCTION OF THE GOVERNMENT DID NOT CONSTITUTE TRADING RECEIPTS AS THERE WAS DIVERSION OF INCOME BY OVERRIDING TITLE. SUCH A RETURN OF INCOME WAS DULY PROCESS ED AND ACCEPTED U/S 143(1). LATER ON, ITO , E 20(3)(4) MUMBAI ISSUED A LETTER DATED 03.07.2008 REQUIRING THE ASSESSEE TO FURNISH CERTAIN INFORMATION WHICH INCLUDED DETAILS OF TRANSACTION OF SALE AND PURCHASE MADE BY THE SOCIETY IN RESPECT OF IMMOVABLE PROPE RTY. IN REPLY, THE ASSESSEE HAD SUBMITTED THE ENTIRE DETAILS VIDE LETTER DATED 18 TH JULY,2008 AND 4 TH AUGUST, 2008 GIVING THE ENTIRE DETAILS OF PERMISSION SOUGHT FROM DY. REGISTRAR CO - OP SOCIETY AUTHORIZING THE SALE OF FSI, AND ALSO GAVE THE COPY OF DIRECT ION OF THE DY REGISTRAR TO UTILIZE THE FUND FOR SPECIFIC PURPOSE. AFTER HAVING RECEIVED THIS INFORMATION, THE ASSESSEES CASE WAS NOT SELECTED FOR SCRUTINY AND TIME LIMIT FOR ISSUANCE OF NOTICE U/S 143(2) HAD EXPIRED ON 30.09.2008. AGAIN A SUMMON WAS ISS UED BY THE INVESTIGATION ON 27.01.2010 , M AIN LY REQUIRING THE ASSESSEE TO ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 7 FURNISH COPY OF INCOME - TAX RETURN FURNISHED FOR THE LAST FIVE YEARS AND BANK STATEMENT. AGAIN IN RESPONSE TO SAID SUMMON, THE ASSESSEE SUBMITTED ALL THE REQUISITE DETAILS. 8 . NOW , AFTER ALL THESE EXERCISE OF SEEKING INFORMATION WHICH WAS ALREADY THERE ON RECORD AND WITHOUT THERE BEING ANY TANGENT MATERIAL COMING ON RECORD, THE ASSES S EES CASE WAS SOUGHT TO BE REOPEN ED ON THE GROUND THAT ASSESSEE HAS RECEIVED RS. 1 CRORE DURING THE RELEVANT FINANCIAL YEAR FROM SALE OF FSI AND THE ENTIRE AMOUNT CLAIMED AS DEDUCTION CANNOT BE ALLOWED. THERE IS NO REFERENCE IN THE REASONS RECORDED ABOUT A N Y MATERIAL OR INFORMATION COMING ON RECORD TO SHOW THAT ASSESSEES CLAIM F OR DEDUCTION IS EITHER NOT TENABLE OR IS INCORRECT AND THEREFORE, INCOME CHARGEABLE TO TAX HAS ESCAPED ASSESSMENT. HERE IT IS NOT A QUESTION OF PURELY CHANGE OF OPINION , ON THE GROUND THAT EARLIER ASSESSMENT WAS COMPLETED U/S 143(3) ALBEIT THE ISSUE IS , WHEN THE ASSESSEE HA S M ADE FULL DISCLOSURE IN THE RETURN OF INCOME WHICH HAS BEEN ENQUIRED UPON BY THE DEPARTMENT TWICE AND NO FURTHER ACTION HAS BEEN TAKEN , THEN , WITHOUT THERE BEING ANY CONTRARY OR ADVERSE MATERIAL ON RECORD, REOPENING U/S 147 CAN BE MADE WITHOUT ANY TANGENT M ATERIAL INDICATING ESCAPEMENT OF INCOME. T HERE CANNOT BE REASON TO BELIEVE ON THE SAME SET OF FACTS AND RECORD, WHICH HAS BEEN SUBJECTED TO EXAMINATION BY DIFFERENT DEPARTMENT AL AUTHORITIES. THE ENTIRE DISCLOSURE AND REASON FOR EXEMPTION OF LTCG WAS MADE IN THE RETURN OF INCOME , T HEN WHAT TANGIBLE MATERIAL HAVING L IVE - L INK - N EXUS WITH THE ESCAPEMENT OF INCOME C A ME INTO POSSESSION OF THE AO, SO AS TO ENTERTAIN REASON TO BELIEVE AND ACQUIRING JURISDICTION TO REOPEN THE CASE U/S 147. ON THE RECORDS, THERE I S NONE. 9. COMING TO ARGUMENT OF THE LD. DR THAT IN THIS CASE NO SCRUTINY ASSESSMENT WAS MADE U/S 143(3) BUT RETURN OF INCOME WAS PROCESSED U/S 143(1) AND THEREFORE, NEITHER THERE IS CHANGE OF OPINION NOR THERE IS ANY SUCH PRESUMPTION THAT THERE IS ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 8 APPL ICATION OF MIND ON THE MATERIAL ON RECORD. THE STATUTE HAS GIVEN SUFFICIENT POWER TO THE ASSESSING OFFICER FOR REOPENING THE ASSESSMENT EITHER IN THE CASES WHERE RETURN OF INCOME HAS BEEN ACCEPTED U/S 143(1) OR HAS BEEN SUBJECTED TO SCRUTINY ASSESSMENT U/S 143(3). HOWEVER, THE COMMON REQUIREMENT IN BOTH THE CASES IS THAT THE ASSESSING OFFICER MUST HAVE REASON TO BELIEVE THAT INCOME CHARGEABLE TO TAX HAS ESCAPED ASSESSMENT. THE WORDS REASON TO BELIEVE IS THE KEY ELEMENT AND ARE STRONGER THAN THE WORD SA TISFIED AND WHETHER THE ASSESSING OFFICER HAD REASON TO BELIEVE OR NOT IS ALWAYS A QUESTION OF JURISDICTION WHICH NEEDS TO BE EXAMINED WHENEVER THE REOPENING U/S 147 IS CHALLENGED. IT IS A TRITE LAW THAT THE REASON TO BELIEVE ENTERTAINED BY THE A SSESSING OFFICER SHOULD HAVE A RATIONAL CONNECTION AND RELEVANT BEARING ON THE FORMATION OF BELIEF WITH THE TANGIBLE MATERIAL COMING ON RECORD HAVING LIVE LINK NEXUS WITH THE INCOME CHARGEABLE TO TAX ESCAPING THE ASSESSMENT. THE BELIEF ENTERTAINED BY THE A SSESSING OFFICER MUST BE HELD IN GOOD FAITH AND NOT MERELY A PRETENCE FOR REVIEW AND ROVING AND FISHING ENQUIRY. AS STATED ABOVE, THERE IS NO NEW INFORMATION OR MATERIAL COMING ON RECORD TO REMOTELY SUGGEST THAT AO HAS ANY REASON TO BELIEVE THAT INCOME CHA RGEABLE TO TAX HAS ESCAPED THE ASSESSMENT E SPECIALLY , IN THE PRESENT FACTS WHEN THE SAME ISSUE HAS BEEN EXAMINED/ ENQUIRED UPON BY THE DEPARTMENT AL OFFICIALS TWICE. EVEN IN THE COURSE OF THESE EXAMINATIONS, NOTHING NEW MATERIAL OR INFORMATION HAS BEEN UNEAR THED. THU S, IN OUR OPINION, THE REASONS AS RECORDED BY THE AO DO NOT VEST HIM JURISDICTION FOR REOPENING THE ASSESSMENT U/S 147. THUS, WE HOLD THAT THE ENTIRE ASSESSMENT PROCEEDINGS IS BAD IN LAW AS REOPENING OF ASSESSMENT U/S 147 VIDE ISSUANCE OF NOTICE U/S 148 IS WI THOUT JURISDICTION AND VOID AB INITIO AND CONSEQUENTLY , ASSESSMENT ORDER ITSELF IS QUASHED. ZAKARIA INDUSTRIAL PRMISES CO OPERATIVE SOCIETY LTD ITA NO. 6254/M/2013 9 10. IN THE RESULT, ON GROUND NO. 1 ITSELF THE APPEAL OF THE ASSESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON 15 TH OCTOBER , 2015. SD/ - SD/ - ( . ) ( ) ( D. KARUNAKARA RAO ) ( AMIT SHUKLA ) ACCOUNTANT MEMBER JUDICIAL MEMBER MUMBAI, DATE: 15 TH OCTOBER , 2015 / COPY TO: - 1 ) / THE APPELLANT. 2 ) / THE RESPONDENT. 3) THE CIT (A) - 3 1 , MUMBAI. 4 ) THE CIT - 20 , MUMBAI. 5 ) , , / THE D.R. G BENCH, MUMBAI. 6 ) \ COPY TO GUARD FILE. / BY ORDER / / TRUE COPY / / / , DY. / ASSTT. REGISTRAR I.T.A.T., MUMBAI * . . *CHAVAN, SR.PS