TMI Blog2019 (7) TMI 793X X X X Extracts X X X X X X X X Extracts X X X X ..... ause notice was issued by Income Tax Officer (Technical) and signed by the said Officer on behalf of the CIT. As per Sec. 263, the CIT cannot delegate his powers to the subordinate Officer or lower officer and, therefore, this defect is non-curable defect and the Show Cause Notice itself is bad in law. Besides this, after going through the assessment order, the AO has also taken cognizance of the material available and has arrived at a proper conclusion. There order u/s 263 is merely a second opinion which is not permissible under the provisions of the Income Tax Act, 1961. Therefore, order u/s 263 of the Act does not survive. - Decided in favour of assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... liable to tax even after the amendment and further erred in holding that assessment was erroneous am prejudicial to the interest of revenue. 4. That having regard to facts & circumstances of the case, Ld. CIT has erred in law and on facts in passing the impugned order u/s 263 which is not sustainable on carious legal and factual grounds. 5 That the appellant craves the leave to add, amend, modify, delete any of the grounds of appeal before or at the time of hearing and all the above grounds are without prejudice to each other." 2. The assessee is an Authority constituted under the U. P. Urban Planning & Development Act, 1973 to promote and secure the development of the area according to plan and for that purpose the authority has been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Sec. 2(15) of the Act, the Assessing Officer recognized the assessee as registered u/s 12A of the Act. The assessment order was passed u/s 143(3) of the Income Tax Act, 1961 ('the Act') in this case on 30.12.2011. A show cause notice was issued to the assessee on 24.3.2014 by the Income Tax Officer (Technical) on behalf of the Commissioner of Income Tax. The Commissioner of Income Tax passed order dated 31.3.2014 u/s 263 of the Income Tax Act, 1961. The Commissioner of Income Tax directed the Assessing Officer to re-compute income of the assessee authority after considering the accrued interest during the year under consideration on the loan advanced by HPBA, and further held that the assessee was not eligible for exemption u/s 11 of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... igned by the competent authority as the finding has been recorded by Tribunal therein that notice was issued under the signature of Income Tax Officer (Technical) whereas in view of provisions of powers of s.263(1) it is only the Commissioner of Income Tax to issue notice. In the present assessee's case also show cause notice was issued by Income Tax Officer (Technical) and signed by the said Officer on behalf of the Commissioner of Income Tax. As per Sec. 263, the Commissioner of Income Tax cannot delegate his powers to the subordinate Officer or lower officer and, therefore, this defect is non-curable defect and the Show Cause Notice itself is bad in law. Besides this, after going through the assessment order, the Assessing Officer has al ..... X X X X Extracts X X X X X X X X Extracts X X X X
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