9911796707
TMI Blog2023 (11) TMI 1224X X X X Extracts X X X X X X X X Extracts X X X X ..... oth in law and on facts in upholding the assumption of jurisdiction u/s 153A of the Act and, framing of assessment u/s 153A/143(3) of the Act both of which deserve to be quashed as such. 1.1 That the learned Commissioner of Income Tax (Appeals) has failed to appreciate that addition made and upheld was without jurisdiction since there was no incriminating material detected as a result of search on the appellant. 2. That since approval obtained u/s 153D of the Act was mechanical, illegal and invalid approval, order of assessment made u/s 153D/143(3) is invalid and without jurisdiction. 3. That the learned Commissioner of Income Tax (Appeals) has erred both in law and on facts in upholding addition of Rs 10,25,100/- out of Rs. Rs. 70,706 by applying GP rate of 25% on the alleged bogus purchase of 70,78,000/- made with M/s Yash Trading Company. 3.1 That while confirming the above addition, the learned Commissioner of Income Tax (Appeals) has failed to appreciate the factual substratum of the case, statutory provisions of law and as such, addition so made and sustained is highly misconceived, totally arbitrary, wholly unjustified and therefore, unsustainable. 3.2 That th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... erences which are contrary to the facts on record, material placed on record and, are otherwise unsustainable in law and therefore, addition so sustained is absolutely unwarranted. 3.4 That in any case and without prejudice that addition made is highly arbitrary and excessive and therefore unsustainable. 3. The assessee has raised additional ground of appeal which reads as under :- "That having regard to the law and facts of the case, the assessment order is null and void as the same is in violation of CBDT Circular No. 19/2019 requiring mandatory DIN." 4. Since the additional ground goes to the root of the matter we decided to adjudicate it first. 5. A perusal of the assessment order dated 30.12.2019 for A.Y.2015-16 and 30.12.2019 for A.Y. 2016-17 show that there is no mention of DIN on the body of the assessment order. 6. The impugned assessment order is dated 30.12.2019 and admittedly there is no mention of any DIN which makes the CBDT circular No.19/2019 squarely applicable. 7. It would be pertinent to refer to the CBDT Circular No.19/2019 dated 14.08.2019 which is binding on the AO and is as under :- 8. The CBDT further clarified the need for the said Circular as u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... umber (DIN) which is mandatory as per the CBDT Circular No.19/2019 dated 14.08.2019. 8. The ld. DR vehemently stated that DIN was generated but due to upgradation, it was not reflected in the order. It is the say of the ld. DR that the error is not so fatal as to make the assessment order null and void. It would be pertinent to refer to CBDT Circular No.19/.2019 which reads as under : GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE CENTRAL BOARD OF DIRECT TAXES Circular No.19/2019 New Delhi dated the 14th August 2019 Subject : Generation/ Allotment /Quoting of Document identification Number in Notice/ Order / Summons / letter/ Correspondence issued by the Income-tax Department-reg. With the launch of various e-governance initiatives, Income tax Department is moving toward total computerization of its work. This' has led to a significant improvement in delivery of services and has also brought greater transparency in the functioning of the tax administration. Presently, almost all notices and orders are being generated electronically on the Income Tax Business Application (ITBA) platform. However, it has been brought to the notice of the Central ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... munication in the following format- This communication issues manually without a DIN on account of reason/reasons given in para 3 (i)/3(il)/3 (iii)/3 (iv)/3 (v) of the CBDT Circular No ... dated (strike off those which are not applicable) and with the approval of the Chief Commissioner / Director General oj Income Tax vide number.... dated .. .. " 4. Any communication which is not in conformity with Para-2 and Para-3 above, shall be treated as invalid and shall be deemed to have never been issued. 5. The communication issued manually in the three situations specified in para 3- (i), (ii) or (iii) above shall have to be regularised within 15 working days of its issuance, by - i. uploading the manual communication on the System. ii. compulsorily generating the DIN on the System; iii. communicating the DIN so generated to the assessee/any other person as per electronically generated pro-forma available on the System. 6. An intimation of issuance of manual communication for the reasons mentioned in para 3(v) shall be sent to the Principal Director General of Income-tax (Systems) within seven days from the date of its issuance. 7. Further, in all pendi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... quire to be backed by the approval of the Chief Commissioner/ Director General. The manual communication is required to furnish the reference number and the date when the approval was granted by the concerned officer. The formatted endorsement which is required to be engrossed on such a manual communication, should read as follows : "……. This communication issues manually without a DIN on account of reason/ reasons given in para 3 (i)/3(ii)/3(iii)/3(iv)/3(v) of the CBDT Circular No…… dated …..and with the approval of the Chief Commissioner / Director General of Income Tax vide number ….. dated …." 8.3 As indicated hereinabove, insofar as communications falling in circumstances alluded to in paragraph 3 (i) to 3 (iii) are concerned, the process of regularization in the manner indicated in paragraph 5, should take place within fifteen (15) working days of its issuance. This period of regularization with regard to the circumstance referred to in paragraph 3 (v) is reduced to seven (7) days, and is required to be marked to the Principal Director General of Income-Tax (Systems) [see paragraph 6 of the 2019 Circular] 9. In the ins ..... X X X X Extracts X X X X X X X X Extracts X X X X
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