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TMI Blog2020 (10) TMI 988X X X X Extracts X X X X X X X X Extracts X X X X ..... TAT KOLKATA]. Thus impugned assessment order dated 22-03-2015 had been framed without the competent Assessing Officer s sec. 143(2) notice issued to the assessee. The same is declared invalid for this precise reason. - Decided in favour of assessee. - ITA No.2179/Kol/2016 C.O No. 34/Kol/2019 - - - Dated:- 22-10-2020 - Hon bleShri J. Sudhakar Reddy, AM and Hon bleShri S.S. Godara, JM By Assessee : Shri Somnath Ghosh, Advocate By Respondent : Smt. Ranu Biswas, Addl. CIT-DR ORDER Shri S.S. Godara, JM: This Revenue appeal and assessee s cross objection for assessment year 2012- 13arise against the Commissioner of Income Tax(Appeals)-4 Kolkata s order dated 09.09.2016 passed in case No.740/CIT(A)-4/Ward-10(1)/Kol/15-16 reversing the Assessing Officer s action treating the latter s share application / premium of ₹ 6 crores as unexplained cash credits in assessment order dated 22-03-2015 involving proceedings u/s 143(3)of the Income-tax Act, 1961 (in short Act ); respectively. Heard both the learned parties. Case file perused. 2. The Revenue s sole substantive grievance raised in its appeal ITA No. 2179/Kol/2016 pleads that the in Assessing Offi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , Kolkata who was supposed to frame assessment in the taxpayer s case. The latter authority never issued sec.143(2) notice to the assessee. There can hardly be any dispute that issuance of notice u/s. 143(2) from the competent Assessing Officer is a mandatory condition as per ACIT vs. Hotel Blue Moon (2010) 321 ITR 362. This tribunal s in D. Craft Entertainment Pvt. Ltd vs. Income Tax Officer, Ward-6(1), Kolkata in ITA No. 1461/Kol/2017 decided on 01.10.2018 holds that such an assessment in absence of section 143(2) notice issued from the Assessing Officer having jurisdiction is rendered invalid as under:- 2. The assessee has raised legal issues by preferring additional grounds of appeal (i) that no notice u/s. 143(2) of the Income-tax Act, 1961 (hereinafter referred to as the Act ) was issued by ITO, Ward-6(l), Kolkata (who framed the assessment order) was issued or served on the assessee. And the additional ground no. (ii) is that the notice issued by ITO, Ward No. 34(2), Kolkata u/s. 143(2) of the Act was without jurisdiction, hence, the assessment order framed by ITO, Ward-6(l), Kolkata without issuing notice u/s. 143(2) of the Act was null in the eyes of law and, therefo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s to be quashed. It was also submitted by the Ld. AR that the assessee company did not receive any scrutiny notice u/s. 143(2) of the Act from ITO, Ward-34(2), Kolkata though it has been acknowledged by the AO in the assessment order by ITO, Ward-6(1), Kolkata. Since the assessee did not receive any notice the assessee company could not represent or file documents and comply before the ITO the said proceedings. It was also submitted by the Ld. AR that the assessee company was not aware of the purported transfer of jurisdiction from ITO, Ward-34(2), Kolkata to ITO, Ward-6(1), Kolkata since it did not receive any notice u/s. 127 of the Act from the Pr. CIT-12, Kolkata transferring the file from ITO, Ward-34(2), Kolkata to ITO, Ward-6(1), Kolkata. He also brought to our notice that the assessee company did not receive any notice u/s. 142(1) of the Act from ITO, Ward-6(1), Kolkata as stated by AO in the assessment order. Because of which there was no compliance from the part of assessee in the said proceedings before ITO, Ward-6(1), Kolkata. Ld. AR of the assessee further submitted that assessee company's registered office is situated at 8, Lyons Range, Kolkata- 700001, therefore, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CBDT No. 228/2001 dated 31.07.2001 (Page 20 of paper book) reveals that Commissioner of Income Tax, Kolkata-XII has jurisdiction over persons other than companies deriving income from sources other than income from business or profession (though residing in PIN 700001). We also note from Notification No. 50/2014 dated 15.11.2014, issued from the office Principal Chief Commissioner of Income-tax, West Bengal Sikkim which takes effect from 15.11.2014 (page 5 of paper book) that Principal Commissioner of Income Tax/Commissioner of Income Tax, Kolkata-2, is the designated officer and under him Addl ClTl/Jt..CIT, Range-6, Kolkata has been placed under his charge (page 7 of paper book). Onperusal of page 9 reveals that under the Pr. ClT/ClT, KOlkata-12 the Add!.CIT/Jr. CIT. Range-34, Kolkata has been placed under him (page 9 of the paper book).Thus from a perusal of the aforesaid facts reveal that the assessee being a company registered under the Companies Act, 1956 and having its registered office in area covered by Pin No.700001,the Pr. ClT/ClT, Kolkata:2 enjoyed jurisdiction over the assessee Company. In the light of the Notification of CBDT dated 22.10.2014 [as well as Notific ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eciding to scrutinize and frame assessment u/s143(3)/144 of the Act, the legal challenge made by the assessee by way of additional ground nos. 1 to 3, ( which reads as under) needs to succeed: Additional Ground-I: For that no notice issued u/s 143(2) of the IT Act 1961 was served on the assessee and hence the assessment order passed deserves to be quashed. Additional Ground-2: For that the notice issued u/s 143(2) of the IT Act 1961 was beyond jurisdiction and bad in law and hence the assessment order passed deserves to be quashed. Additional Ground-3: For that the transfer of case without order u/s 127 of the IT Act 1961 was bad in law and hence the assessment order passed deserves to be quashed. . 6. We find that no notice u/s. 143(2) was issued by ITO, Wd-6(1), Kolkata before completing the assessment. We note that ITO, Wd-34(2), Kolkata did not enjoy the jurisdiction over the assessee company by virtue of both the earlier Notification No.228/2001 dated 31.07.2001(CBDT) as well as the latest Notification No. 5012014 dated 22.10.2014 of CBDT as discussed above. Therefore, the assessment completed by ITO, Wd- 6(1), Kolkata on the strength of the notice iss ..... X X X X Extracts X X X X X X X X Extracts X X X X
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