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TMI Blog2019 (11) TMI 1107X X X X Extracts X X X X X X X X Extracts X X X X ..... ny registered under the Companies Act engaged in the business of manufacture and marketing of fabrics. The Petitioner filed its return of income for the assessment year 2014-15 on 22 September 2014 declaring nil income. The Petitioner's case was selected for scrutiny assessment vide notice dated 18 September 2015. On 7 April 2016, the Assessing Officer issued notice under section 142(1) of the Income Tax Act, 1961 calling upon the Petitioner to submit certain details regarding share application money received by the Petitioner. The Assessing Officer thereafter passed an assessment order on 1 September 2016 under section 143(3) of the Act accepting the income offered by the Petitioner. 3. The Assessing Officer issued a notice on 26 February ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... consideration as, if the Petitioner succeeds on this ground, it is not necessary to decide the other grounds raised as they would be rendered academic. 7. As per the provisions of section 151(2) of the Act, a sanction to issue notice for reopening under section 148 of the Act has to be given by the Joint Commissioner of Income Tax in case the reassessment is sought to be done before four years. Under section 2(28C) of the Act, a Joint Commissioner also means Additional Commissioner of Income Tax. In the present case, the Assessing Officer submitted a proposal to the Principal Chief Commissioner of Income Tax for reopening the assessment under section 148 on 6 February 2019. A copy of the proposal placed on record shows that it bears Inwar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is question we answer in the negative. Though the words "I feel that this is a fit case" are used in the communication, the further part of the communication seeks an approval of the Chief Commissioner of Income Tax, Therefore, this opinion was subject to the approval of the Chief Commissioner of Income Tax. The communication dated 13 February 2019 cannot, therefore, be considered as a final sanction. 9. The next question arises is whether the sanction granted by the Chief Commissioner of Income Tax would fulfill the requirement of section 151. It is long been settled that when the statute mandates the satisfaction of a particular authority for the exercise of power then it has to be done in that manner only. Adopting this principle, the D ..... X X X X Extracts X X X X X X X X Extracts X X X X
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