The Tax Publishers2019 TaxPub(DT) 4432 (Guj-HC) : (2020) 425 ITR 0070 : (2020) 312 CTR 0300

INCOME TAX ACT, 1961

Section 148 Section 292B

It is the officer who records reasons has to issue notice under section 148(1) whereas in the instant case reasons had been recorded by jurisdictional AO, whereas notice under section 148(1) was issued by an officer who did not have jurisdiction over assessee. Since notice under section 148 was jurisdictional notice, any inherent defect therein could not be cured under section 292B, accordingly, impugned notice was set aside.

Reassessment - Notice under section 148 - Validity - Issuance of notice by officer not having jurisdiction over assessee---Applicability of section 292B

Reasons for reopening of assessment were recorded by jurisdictional AO, viz. the Deputy Commissioner of Income Tax, Circle 2, Jamnagar, whereas notice under section 148(1) was issued by the Income Tax Officer, Ward 2(2), Jamnager who had no jurisdiction over assessee. Assessee challenged validity of reassessment notice. Revenue sought to take shelter under section 292B. Held: It is the officer who records reasons has to issue notice under section 148(1) whereas in the instant case reasons had been recorded by jurisdictional AO, but notice under section 148(1) was issued by an officer who did not have jurisdiction over assessee. Since notice under section 148 was jurisdictional notice, any inherent defect therein could not be cured under section 292B, accordingly, impugned notice was set aside.

REFERRED :

FAVOUR : In assessee's favour.

A.Y. : 2011-12



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