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TMI Blog2024 (11) TMI 82X X X X Extracts X X X X X X X X Extracts X X X X ..... onal CIT the assumption of jurisdiction by the Learned AO to reopen assessment was not in accordance with the provision under Section 151 of the Act, the notice issued under Section 148 of the Act is found to be, invalid, bad in law and is, therefore, set aside - Assessee appeal allowed. - Ms Madhumita Roy, Judicial Member For the Assessee : Shri Pancham Sethi, CA For the Department : Shri Sanjay Kumar, SR, DR ORDER PER MADHUMITA ROY, JUDICIAL MEMBER The instant appeal filed by the assessee is directed against the order dated 29.12.2017 passed by Learned Commissioner of Income Tax(Appeals)-1, NOIDA arising out of the order dated 28.10.2016 passed by the ITO, Ward-1(1)NOIDA, under Section 147/148 of the Income Tax Act, 1961 (hereinafter re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... filed by the assessee dated 10.10.2024 challenging the maintainability of the proceedings in the absence of approval granted by the competent authority in terms of the provisions Section 151(1) of the Act before issuing notice under Section 148 of the Income Tax Act beyond 4 years. Further that, issuance DIN on 13.03.2018 whereas the order was passed by the CIT(A)on 29.12.2017 is also violative of the provisions of the Act. As there is no change of fact in the matter and since these are legal grounds to the issues involved in the matter relying upon the judgment passed by the Hon ble Apex Court in the case of National Thermal Power Corporation Vs CIT reported in 229 ITR 383(SC), these additional grounds are admitted. 4. As the ground of app ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f approval claimed to have been granted by the Principal Commissioner of Income Tax, NOIDA. In this regard the Learned Counsel appearing for the assessee has taken us to the RTI reply by and under the order dated 26.06.2024 issued by the Commissioner of Income Tax, Range-1 NOIDA in response to the RTI appeal preferred by the assessee seeking copy of the satisfaction note and sanction granted by the Principal Commissioner of Income Tax, NOIDA under Section 151 for initiating proceedings by issuing notice under Section 148 of the Act. The same is annexed to the Paper Book filed before us; the copy of the form for recording the reasons for initiating proceedings under Section 148 of the Act and for obtaining the approval of PCIT, NOIDA is anne ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 021) 129 taxmann.com 435(Delhi-Trib), Judgment passed in the matter of Voltas Limited Vs Assistant Commissioner of Income Tax, reported in (2022) 141 taxmann.com 127 (Bombay), the judgment passed by the Rajasthan High Court in the matter of Dhadda Exports Vs Income Tax Officer, Ward-1(1), Jaipur, reported in (2015) 58 taxmann.com 176(Rajasthan) and in the matter of Anil Jaggi Vs ACIT reported in (2018) 89 taxmann.com 266 Bombay. On the other hand the Learned DR relied upon the order passed by the authorities below. 9. We have heard the rival submissions made by the respective parties and perused the relevant materials available on record. Section 151(1) of the Act dealt with the sanction for issuance of notice under Section 148 of the Act. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is, thus on a wrong footing and found to be bad in law and therefore, liable to be quashed. 10. In this connection judgments relied upon by the Learned AR have been duly considered by me. In all the judgments it has been held that sanction under Section 151 by the appropriate authority is a pre-requisite for issuance of re-opening notice under Section 148 of the Act ( when re-opening is beyond 4 years from the end of the relevant assessment year) in the absence of which sanction becomes legally not valid and is, therefore, liable to set aside. 11. Thus, taking into consideration the entire aspect of the matter as it is evident from the records itself that sanction has not been given by the PCIT or CCIT on the reasons recorded by A.O. for ..... X X X X Extracts X X X X X X X X Extracts X X X X
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