9911796707
TMI Blog1982 (8) TMI 87X X X X Extracts X X X X X X X X Extracts X X X X ..... ng an addition of more than a lac of rupees without going through the procedure laid down in s. 144B of the IT Act, the assessment was ab initio illegal and invalid. A ground was also raised relating to the merits of addition of Rs. 1,04,500 as income from other sources. It would appear, that the assessee's ld. Counsel submitted before the CIT (A) that he would press the ground regarding the validity of the assessment only if he did not succeed on the ground relating to the addition itself on merits. The CIT (A) went into the merits of the addition and in the discussion on this, which forms the first part of his order dt. 9th Jan., 1981 rejected the assessee's claim that an addition of Rs. 1,04,500 was not to be made to the assessment. Deal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... passing an order in accordance with law. The ld. Counsel for the assessee without thus challenging the order if the CIT (A) setting aside the assessment urged before us that his finding with regard to the explanation given for the credit of Rs. 1,04,500, were unjustified and should be deleted from his order. It is also pointed out that these findings with regard to the addition on merits should not in the assessment to be made, if any, by the ITO for year under appeal, where the CIT (A) has set aside the original assessment be treated by the ITO as binding on him since they were erroneous. 3. For the Department, it is pointed out that the assessment having been set aside by the CIT (A) and the assessee not having challenged these actions ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of an assessment order existing, observations on a hypothetical case. The ld. Counsel for the assessee in effect requires us to give our finding on these observations of the CIT (A). When we hold that the CIT (A)'s observations even were not called for when an assessment having been set aside does not exist, it would be preposterous for us to give our own observations on such hypothetical circumstances or to observe that whatever views are aired by the CIT (A) in respect of a cancelled and non-existent assessment order would be binding or not binding on the ITO if ever he makes a fresh assessment. The request of the ld. Counsel for the assessee, therefore, to declare the first part of the CIT (A)'s order as not binding on the ITO, cannot, ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
