--Tax deduction at source--Assessee-in-defaultJurisdiction of AO--Assessee was assessed at New Delhi. PAN and TAN numbers were allotted to assessee under sections 139A and 203A by AO at Delhi. All returns including TDS returns had been filed at New Delhi. Certificate of registration under section 12A/12AA for claiming exemption under section 11 had also been issued by CIT at New Delhi. Assessee had been allotted certain land by MMRDA at Bandra Kurla Complex on lease for 80 years for purpose of construction of office complex. Assessee paid lease premium (Rs. 88.52 crores). In pursuance of survey under section 133A, since period of limitation specified in proviso to section 201(3) was to expire AO Mumbai sought disclosure of why TDS had not been deducted and passed order holding assessee to be assessee-in-default under section 201(1A). Assessee challenged jurisdiction of AO Mumbai. Held: Assessee's contention that AO Mumbai had no jurisdiction could not be brushed aside for reason that assessment was getting time-barred on 31-3-2011 and it was now not possible to transfer case to authorities at New Delhi. It could not be denied that jurisdiction would lie not with AO at Mumbai but with competent authority at New Delhi. [Para 8]

IN THE BOMBAY HIGH COURT

D.Y. CHANDRACHUD & A.A. SAYED, JJ.

Indian Newspaper Society. v. ITO

Writ Petition No. 1504 of 2011

9 November, 2011

Petitioner by : Sanjiv M. Shah