The ITO, Ward-1(2), Guntur v. Sri Jayanthilal, Guntur

CO 52/VIZ/2009 | 2004-2005
Pronouncement Date: 01-07-2010 | Result: Dismissed

Appeal Details

RSA Number 5225323 RSA 2009
Assessee PAN ADNPP4534G
Bench Visakhapatnam
Appeal Number CO 52/VIZ/2009
Duration Of Justice 8 month(s) 27 day(s)
Appellant The ITO, Ward-1(2), Guntur
Respondent Sri Jayanthilal, Guntur
Appeal Type Cross Objection
Pronouncement Date 01-07-2010
Appeal Filed By Assessee
Order Result Dismissed
Bench Allotted DB
Tribunal Order Date 01-07-2010
Date Of Final Hearing 04-02-2010
Next Hearing Date 04-02-2010
Assessment Year 2004-2005
Appeal Filed On 05-10-2009
Judgment Text
ITA NO.373/VIZAG/2009 JAYANTHILAL GUNTUR PAGE 1 OF 3 IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM BENCH VISAKHAPATNAM BEFORE: SHRI SUNIL KUMAR YADAV JUDICIAL MEMBER AND SHRI BR BASKARAN ACCOUNTANT MEMBER ITA NO. 373/VIZAG/2009 ASSESSMENT YEAR: 2004-05 ITO WARD-1(2) GUNTUR JAYANTHILAL GUNTUR (APPELLANT) VS. (RESPONDENT) (PAN NO:ADNPP 4534 G) CO NO.52/VIZAG/2009 ASSESSMENT YEAR: 2004-05 JAYANTHILAL GUNTUR ITO WARD-1(2) GUNTUR (APPELLANT) VS. (RESPONDENT) DEPARTMENT BY: SHRI SUBRATA SARKAR CIT(DR) ASSESSEE BY: SHRI G.V.N. HARI CA ORDER PER SHRI B. R. BASKARAN ACCOUNTANT MEMBER: THE APPEAL FILED BY THE REVENUE IS DIRECTED AGAINS T THE ORDER DATED 27.3.2009 PASSED BY LEARNED CIT(A) GUNTUR AND IT R ELATES TO THE ASSESSMENT YEAR 2004-05. THE ASSESSEE IS SUPPORTIN G THE ORDER OF LEARNED CIT(A) BY FILING THE CROSS OBJECTION. 2. THE ASSESSMENT FRAMED IN THE HANDS OF THE AS SESSEE U/S 153C R.W.S. 153A OF THE ACT HAVING BEEN ANNULLED BY HOLDING TH AT THE NOTICE ISSUED U/S 153C IS NOT IN ACCORDANCE WITH LAW THE REVENUE IS IN APPEAL BEFORE US. ITA NO.373/VIZAG/2009 JAYANTHILAL GUNTUR PAGE 2 OF 3 3. THE FACTS WHICH ARE BORNE OUT OF RECORD ARE THAT THE ASSESSEE IS ONE OF THE PARTNERS OF THE FIRM NAMED M/S PHOOL CHAND L ALIT KUMAR & CO. THE REVENUE CARRIED OUT SEARCH AND SEIZURE OPERATIONS U /S 132 OF THE ACT IN THE HANDS OF THE FIRM AND THE ASSESSEE ON 15.10.2003. SINCE THE SEARCH OPERATION HAS TAKEN PLACE IN THE HANDS OF THE ASSES SEE THE ASSESSING OFFICER HAS TO DO ASSESSMENT U/S 153A OF THE ACT WI THIN TWO YEARS FROM THE END OF THE FINANCIAL YEAR IN WHICH THE LAST OF AUTH ORIZATIONS OR SEARCH U/S 132 WAS EXECUTED. HENCE THE ASSESSING OFFICER SHOU LD HAVE COMPLETED THE ASSESSMENT IN THE HANDS OF THE ASSESSEE U/S 153A OF THE ACT BEFORE 31.3.2006. HOWEVER THE ASSESSING OFFICER ISSUED A NOTICE DATED 27.2.2007 U/S 153C OF THE ACT ON THE ASSESSEE AND THE SAME WA S SERVED ON 1.3.2007. SUBSEQUENTLY THE AO COMPLETED THE ASSESSMENT BY ST ATING THAT THE ASSESSMENT IS COMPLETED U/S 143(3) R.W.S. 153A OF T HE ACT. 4. THE ASSESSING OFFICER HAS STATED IN THE ASS ESSMENT ORDER THAT THE NOTICE U/S 153A WAS ISSUED TO THE ASSESSEE. HOWEVE R IN THE STATEMENT OF FACTS OF THE CASE FILED BEFORE US BY THE ASSESSING OFFICER IT HAS BEEN CLARIFIED THAT THE NOTICE WAS ISSUED TO THE ASSESSE E U/S 153C OF THE ACT ON 27.2.2007. 5. THUS IT IS PROVED THAT THE NOTICE U/S 153A O F THE ACT WHICH IS THE APPLICABLE PROVISION IN THE CASE OF THE ASSESSEE W AS NOT ISSUED WITHIN THE TIME LIMIT PRESCRIBED U/S 153B OF THE ACT. THE ASS ESSEE COULD NOT ALSO BE SERVED WITH NOTICE U/S 153C SINCE THE SEARCH HAS TA KEN PLACE IN HIS HANDS. HENCE THE ASSESSMENT FRAMED IN THE HANDS OF THE ASS ESSEE BY ISSUING NOTICE U/S 153C IS NOT IN ACCORDANCE WITH LAW AND I S LIABLE TO BE QUASHED. SINCE THE DECISION RENDERED BY LEARNED CIT(A) IS IN ACCORDANCE WITH THE ITA NO.373/VIZAG/2009 JAYANTHILAL GUNTUR PAGE 3 OF 3 LEGAL PROVISIONS OF THE ACT WE DO NOT FIND ANY INF IRMITY IN HER DECISION. SINCE WE HAVE QUASHED THE ASSESSMENT ON LEGAL GROUN D WE FIND IT NOT NECESSARY TO DEAL WITH THE ISSUES RELATING TO THE M ERITS OF THE CASE. 7. IN THE RESULT THE APPEAL OF THE REVENUE AND THE CROSS OBJECTION FILED BY THE ASSESSEE ARE DISMISSED. PRONOUNCED IN THE OPEN COURT ON 1.7.2010. SD/- SD/- (SUNIL KUMAR YADAV) (B R BASKARAN ) JUDICIAL MEMBER ACCOUNTANT MEMBER VISAKHAPATNAM DATE: 1 ST JULY 2010 COPY TO 1 THE ITO WARD-1(2) CR BUILDING KANNAVARI THOTHA GUNTUR 2 SRI JAYANTHILAL S/O PHOOLCHANDJI DOOR NO.21-8-64 DOODHPEER PANJA STREET CHOWTHRA GUNTUR 3 4. THE CIT GUNTUR RANGE GUNTUR THE CIT(A) GUNTUR 5 THE DR ITAT VISAKHAPATNAM. 6 GUARD FILE. BY ORDER SENIOR PRIVATE SECRETARY INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM