9911796707
TMI Blog2019 (12) TMI 1446X X X X Extracts X X X X X X X X Extracts X X X X ..... not curable. Such absence of approval has rendered the assessment order passed under s.153A of the Act as bad in law at the threshold. Action of the CIT(A) is reversed and the main ground of the assessee is allowed. Levy of interest under s.234A and 234B with reference to assessed income instead of returned income - HELD THAT:- As relying on M/s. Anand Vihar Construction Pvt. Ltd [ 2018 (11) TMI 1738 - ITAT RANCHI ] Interest under s.234A 234B of the Act is chargeable with reference to returned income only, we are inclined to adjudicate the legal objection raised by way of additional ground in favour of the assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... n needs to be quashed." 5. The assessee has also raised additional ground which is reproduced hereunder: "That interest u/s 234 and 234B can only be levied only on the total income declared in the return and not on the income assessed and determined by the AO. The issue is covered in view of full bench judgment of Ranchi bench of Patna High Court in the case of Smt. Tej Kumari." 6. The additional ground being purely legal in nature requires to be entertained as there cannot be no estoppel against law. The additional ground of appeal is accordingly admitted for adjudication. 7. We shall advert to the main grounds of appeal whereby the assessee has challenged the action of the AO in passing the assessment orders for various assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ment order in pursuance to direction of the Tribunal. 11. The CIT(A) did not see any merit in the legal objection towards absence of approval under s.153D of the Act. The relevant operative para of the order of the CIT(A) is reproduced hereunder for ready reference: "I have carefully perused the submission made by the appellant and the relevant provisions governing the procedure for search assessments. Chapter-XIV containing sec.139 to sec.158 deals with procedure for assessment. Again sec.153A to sec.153D specifically deals with assessment in case of search or requisition. As per sec,153A, where a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A after the 31st ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the appellant is accepted, than every order passed u/s.154, 147, 251, 254, 260. 263 etc, r.w.s.153A or 153C shall require the approval of Joint Commissioner u/s.153D, which was neither the scheme of the Act or legislative intention. Hence, I hold that the additional ground raised by the appellant has no legal basis and accordingly dismissed." 12. Having noticed the findings of CIT(A), we shall now turn to order of co-ordinate bench of ITAT in first round of proceedings. On perusal of the order of the ITAT in IT(SS)A Nos. 29 to 33/Ran/2014 order dated 11.03.2016 in first round of proceedings, it is noticed that the matter was remanded back to the file of the AO summarily owing to inadequacy in the opportunity at the time of the assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... under s.234A and 234B of the Act with reference to assessed income instead of returned income. 14.1 We find that identical issue has come up before the co-ordinate bench of ITAT in ITO vs. M/s. Anand Vihar Construction Pvt. Ltd. ITA No. 335/Ran/2017 order dated 28.11.2018 wherein the issue was dealt with as under: "16. We have heard rival submissions and perused the material on record. Prima facie the disputed issue, being charging of interest u/s.234A & 234B as envisaged by ld. AR, is covered by the decision of Hob'ble jurisdictional High Court in the case of Ajay Prakash Verma in ITA No.38 of 2010 reported in 2013(1) TMI 140. The Hon'ble Court in Para23&24 held as under :- "23. Learned counsel for the appellant submitted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the case of Shri Girdhari Lal Sharma vs. ITO, Ward1(4), Jamshedpur in ITA No. 31/Ran/2013 by an order dated 07.05.2012 in para No. 6 relying upon the above decision of the Hon'ble Jharkhand High Court held :- "We accordingly following the above decision, direct the Assessing Officer to re-compute the interest under section 2348 on the basis of the total income declared by the assessee in the return filed." 18. We respectfully following the decision of the jurisdictional High Court and the decision of coordinate bench of the Tribunal direct the AO to recomputed the interest u/s.234B on the basis of total income declared by the assessee in the return filed. This ground of Cross Objection of the assessee is allowed." 14.2 ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
