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TMI Blog2024 (1) TMI 1380X X X X Extracts X X X X X X X X Extracts X X X X ..... ction to pass the impugned assessment order. As noticed earlier, it is not in dispute that such an objection was raised within the stipulated time and was not dealt with by the AO. A perusal of order of CIT (A) would also go to show that CIT (A) has not dealt with this aspect, inasmuch as ground nos. 1 and 2 were separate and distinct grounds, than those on merits and thus, the disposal of the grounds on merits cannot amount to disposal of grounds nos. 1 and 2 as held by the CIT(A). It is trite that an order which is passed without jurisdiction (which is an issue which goes to the root of the matter) is non est in the eyes of law. Considering the fact that at the time of assessment, the appellant-assessee was residing and carrying on her profession at Bangalore, the assumption of jurisdiction by the AO at Mumbai was invalid. The change of address in the records and/or migration of PAN are not strictly relevant in the matter where the jurisdiction is governed by the statutory provisions as contained in Section 120 read with Section 124 of the Act and the notification issued by the Board. - Justice (Retd.) C.V. Bhadang, President And Shri B.R. Baskaran, Accountant Member For the Ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... above paragraphs. The sum total of the order on the said grounds amounts to disposal of this ground and hence this ground does not call for any separate adjudication. 5. Feeling aggrieved by the refusal by the CIT (A) to uphold the ground of lack of jurisdiction with the AO, as also on other grounds, the assessee is in appeal before us. 6. We have heard the parties. The parties have also filed written submissions. We have gone through the same and the record. 7. The learned counsel for the appellant referring to ground nos. 1 2 of the appeal has submitted that the CIT (A) was in error in refusing to uphold the ground of lack of territorial jurisdiction with the AO. It is submitted that the CIT (A) ought to have held that the notice issued by the AO under Section 143(2) of the Act and the consequent assessment order passed under Section 143(3) of the Act are without jurisdiction as per the provisions of Section 120 r.w.s. 124 of the Act. The learned counsel has taken us through the notice and the records in order to submit that the assessee is a resident of Bengaluru where she is carrying on her profession. He submitted that the assessee was residing in Mumbai from 2008 to 2012 as t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... no voluntary act contemplated at the instance of the assessee while filling-up the said field. It is pointed out that it is not disputed that the assessee was residing as well as carrying on her profession at Bangalore and thus, assumption of jurisdiction by the AO at Mumbai was invalid. 10. We have considered the rival submissions. At the outset, it may be mentioned that the parties have confined their arguments to the issue of territorial jurisdiction of AO which are reflected in ground nos. 1 and 2. The parties have not adverted to merits of the matter and, therefore, we are only dealing with the ground of territorial jurisdiction of AO and the consequence thereof, if the assumption of jurisdiction is invalid. 11. Material facts in this case are not in dispute, apart from being matters of record. It is undisputed that the assessee had obtained her PAN from Mumbai where she was residing from 2008 to 2012 as her father was a Central Government employee, then posted in Mumbai. According to assessee, she initially migrated to New Delhi in the year 2012 and then to Bangalore in the year 2015 on account of her marriage. She is a practising lawyer practising at Bangalore. It is also a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fession is situate within the area, and (b) in respect of any other person residing within the area. (Emphasis supplied) 13. It can thus be seen that by virtue of any direction or order issued under Sub-section (1) or (2) of Section 120 of the Act, the AO has been vested with jurisdiction over an area within the limits of which the assessee is carrying on business or profession and in respect of any other person residing within the said area. Thus, a conjoint reading of Sections 120 and 124(1) of the Act, with the directions or orders issued by the Board, would indicate that the territorial jurisdiction of the AO is determined on the basis of place where the assessee resides and/or carries on his business or profession. As per notification (copy of which is produced on record at page 114 of the paper book), the jurisdiction of ITO Ward 19(2)(4), Mumbai as notified under Section 120 of the Act extends to Ward D of the Municipal Corporation of Greater Mumbai, excepting the areas set out in the said notification. We, therefore, find that the AO of Ward 19(2)(4), Mumbai lacked territorial jurisdiction to pass the impugned assessment order. As noticed earlier, it is not in dispute that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... assessee-company from Mumbai to Pune. 18. In that case, on behalf of the assessee, validity of the assessment order was challenged on the ground that it was passed after the jurisdiction of the AO was transferred by the competent authority from Mumbai to Pune, which objection has been upheld by this Tribunal, which order came to be confirmed by the Hon ble Bombay High Court in Principal Commissioner of Income Tax vs Capstone Securities Analysis Pvt. Ltd. [2023] 457 ITR 775 (Bombay) (supra). 19. It is trite that an order which is passed without jurisdiction (which is an issue which goes to the root of the matter) is non est in the eyes of law. Considering the fact that at the time of assessment, the appellant-assessee was residing and carrying on her profession at Bangalore, the assumption of jurisdiction by the AO at Mumbai was invalid. The change of address in the records and/or migration of PAN are not strictly relevant in the matter where the jurisdiction is governed by the statutory provisions as contained in Section 120 read with Section 124 of the Act and the notification issued by the Board. 20. Thus, in our opinion, the appeal has to succeed on ground nos. 1 and 2 alone. T ..... X X X X Extracts X X X X X X X X Extracts X X X X
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