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| The Tax Publishers2019 TaxPub(DT) 7063 (SC) : (2019) 418 ITR 0662 : (2019) 311 CTR 0165 : (2019) 267 TAXMAN 0471 INCOME TAX ACT, 1961
Section 143(2)
In absence of any specific intimation to AO with respect to change in address of assessee, the AO was justified in sending notice under section 143(2) at the available address mentioned in PAN database of the assessee, more particularly when the return was filed under E-Module scheme. Hence, the CIT (A), Tribunal and High Court were not justified in holding that the assessment order passed subsequent to such notice was bad in law.
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Assessment - Notice under section 143(2) - Limitation - Notice not issued on new address
AO issued notice under section 143(2) to assessee-company at the address as mentioned in PAN database and the same was within the time limit prescribed in proviso to section 143(2). However, assessee contended that the said notice was not served upon it as it changed its address and shifted to new address prior thereto and by the time when subsequently the notices under section 143(2) were served upon it, the same became barred by the period prescribed in proviso to section 143(2). Accordingly, it contended that the assessment order was bad in law. Further, CIT (A) allowed the appeal of assessee and held that assessment order was bad in law. Tribunal and High Court also confirmed the said action of CIT (A). Held: In absence of any specific intimation to AO with respect to change in address of assessee, the AO was justified in sending the notice at the available address mentioned in PAN database of the assessee, more particularly when the return was filed under E-Module scheme. Further, notices under section 143(2) are issued on selection of case generated under automated system of Department, which picks up the address of the assessee from the database of PAN. Therefore, the change of address in the database of PAN is must, in case of change in the name of the company and/or any change in the registered office or corporate office and the same has to be intimated to the Registrar of Companies in the prescribed format and after completing with the said requirement, the assessee is required to approach the Department with the copy of the said document and the assessee is also required to make an application for change of address in the departmental database of PAN, which the assessee failed to do in the instant case. Accordingly, the impugned order passed by High Court holding the assessment order passed subsequent to such notice as bad in law could not be sustained.
REFERRED : Asstt. CIT & Anr. v. Hotel Blue Moon (2010) 3 SCC 259 : 2010 TaxPub(DT) 1434 (SC)
FAVOUR : Against the assessee.
A.Y. :
IN THE SUPREME COURT OF INDIA
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