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TMI Blog2022 (4) TMI 88X X X X Extracts X X X X X X X X Extracts X X X X ..... d consequent assessment order are to be set aside as the issue of jurisdictional notice on non entity is a substantive illegality and not procedural irregularity of the nature as referred to in section 292B - mere fact that the assessee has participated in the proceedings before the AO will not cure this substantive illegality and the mere participation of the assessee in the assessment proceedings cannot debar the assessee from challenging the proceedings on this ground as there is no estoppel against law. Also in the case of BASF Ltd [ 2019 (11) TMI 1719 - ITAT MUMBAI] wherein it has been held that that assessment in the name of non-existent entity is invalid and has to be quashed - Decided in favour of assessee. - ITA No.529/Kol/20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... i Ram Financial Consultants Pvt. Ltd. Pertinent to state that the assessee intimated the AO vide letter dated 25.10.2019 filed on 06.11.2019 that M/s. Sri Ram Financial Consultants Pvt. Ltd. was merged with it i.e. M/s. Bbigplas Ploy Pvt. Ltd. vide order dated 23.01.2019 which was effective from 01.04.2018 and also surrendering the PAN of the ceased company and also requesting the AO to make all correspondences in future at the address of amalgamating company i.e. Bbigplast Poly Pvt. Ltd. The Ld. PCIT upon perusal of the assessment records came to the conclusion that the rental income received by M/s. Sri Ram Financial Consultants Pvt. Ltd. of ₹ 76,55,761/- has not been fully offered to tax as it has only shown ₹ 4,50,000/- as g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee was duly intimated to the ITO Ward 8(4), Kolkata vide letter dated 25.10.2019 filed on 06.11.2019 that M/s. Sri Ram Financial Consultants Pvt. Ltd. merged with M/s. Bbigplas Poly Pvt. Ltd. vide the above said order and the said letter was part of the assessment records before the AO. The Ld. AR submitted that the action of the ld. PCIT initiating the revisionary proceeding in the name of non-existent company is a substantive illegality which is not curable at all and renders the entire revisionary proceedings and the consequent order as invalid and nullity. The ld. AR argued that this is not a procedural irregularity which can be rectified by then ld. PCIT. The Ld. AR relied on a couple of decisions in defense of his arguments ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d DR also referred to the provisions of section 292B of the Act and submitted that since the assessee has participated and attended the assessment proceedings as well as the revisionary proceedings but did not point out this fact either to the AO or to the ld PCIT, therefore the assessee cannot be allowed to raise this issue of at this stage as the provisions of section 292B of the Act unequivocally and in clear terms provides that any such procedures irregularities or lapses committed by the AO or any other authority has no implications if the assessee has participated in the proceedings and is allowed sufficient opportunity of hearing. The ld DR therefore prayed that the appeal of the assessee may dismissed on this point. 6. We have he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ated 08.09.2021 issued u/s 263 of the Act by the ld PCIT is nullity and void ab initio on the ground that M/SSri Ram Financial Consultants Pvt. Ltd was non existing at the time when the show cause notice was issued. In our considered opinion, the jurisdiction assumed by ld PCIT by issuing show cause notice u/s 263 of the Act dated 08.09.2021 in the name of non-existent entity suffers from the substantive illegality and consequently the revisionary proceedings as well as order passed u/s 263 of the Act will not survive and have to be set aside as the very initiation of proceedings is invalid and nullity in the eyes of law. The case of the assessee is squarely covered by the decision of Hon ble Supreme Court in the case of PCIT vs Maruti Suzu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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