| COURT: |
|
| CORAM: |
|
| SECTION(S): |
|
| GENRE: |
|
| CATCH WORDS: |
|
| COUNSEL: |
|
| DATE: |
(Date of pronouncement) |
| DATE: |
September 11, 2009 (Date of publication) |
| AY: |
|
| FILE: |
|
| CITATION: |
|
|
|
Non / belated issue of s. 143 (2) notice renders block assmt order void
S. 158BC provides that in determining the undisclosed income, the provisions of s. 143 (2) shall apply “so far as may be”. S. 143 (2) provides that a notice shall not be issued after the expiry of 12 months from the end of the month in which the return is furnished. The question arose whether the non-issue or belated issue of s. 143 (2) notice renders the block assessment order ab initio void. In Mudra Nanavati, the Tribunal held that the issue of the s. 143 (2) notice within the stipulated period was mandatory and that failure to do so renders the block assessment order void. This decision has been approved by the High Court following Scindia HUF where it was held that non-issue of s. 16 (2) notice of the W. T. Act rendered the s. 17 order invalid.
See Also: The decision of the Tribunal in Supreme Appar (included in the file) & Jayprakash Mangtani 22 DTR 320 (Ahd.)
Note: The
Special Bench has taken a contrary view in
Nawal Kishore & Sons 87 ITD 407 (Lucknow) (SB) which was
not followed after discussion in
Aurangabad Holiday Resorts 118 ITD 1 (Pune)
Related Posts:
- Ventura Textiles Ltd vs. CIT (Bombay High Court) Concealment of particulars of income was not the charge against the appellant, the charge being furnishing inaccurate particulars of income. As discussed above, it is trite that penalty cannot be imposed for alleged breach of one limb of Section 271(1)(c) of the Act while penalty proceedings were initiated for breach…
- M/s. J. S. & M. F. Builders vs. A. K. Chauhan (Bombay High Court) According to the Assessing Officer, assessee had erred in offering to tax ‘capital gains’ in the year when the individual flats were sold whereas such ‘capital gains’ could be assessed to tax only when the land is trasferred to the co-operative society formed by the flat purchasers. If the assessee…
- PCIT vs. ITAT (Bombay High Court) The use of the expression “may” in the aforesaid provision is clearly indicative of the legislative intent that the limitation period of six months from the end of the month in which the order was passed is not to be construed in such a manner that there can not be…
- PCIT vs. JSW Steel Ltd (Bombay High Court) In view of the second proviso to Section 153A(1) of the said Act, once assessment gets abated, it is open for the assessee to lodge a new claim in a proceeding under Section 153A(1) which was not claimed in his regular return of income, because assessment was never made/finalised in…
- Tata Communications Ltd vs. UOI (Bombay High Court) Although the respondents purport to contend that proper procedure had been followed, record does not bear that there had been any communication made to the petitioner as to its submissions being not acceptable before or at the time of making the adjustment. Decisions in the cases of “A. N. Shaikh”,…
- SYSKA LED Lights Pvt. Ltd vs. UOI (Bombay High Court) In the light of the discussions made above, we are of the unhesitant view that the impugned order in original is clearly unsustainable in law being in violation of the principles of natural justice as well as the statutory provisions as alluded to hereinabove. In the circumstances, relegating the petitioner…
Recent Comments