Vivek Mann Vs ITO (ITAT Delhi)
The Delhi Bench (SMC) of the ITAT allowed the appeal of Vivek Mann for AY 2015-16 and quashed the assessment order as void ab initio due to lack of jurisdiction.
The Tribunal admitted an additional legal ground challenging the validity of the assessment on the basis that the mandatory notice under section 143(2) was issued by ITO, Ward-1, Karnal, whereas the assessment was ultimately completed by ITO/ACIT, Ward-5, Karnal, without any valid transfer order under section 127. In the absence of such a statutory transfer, the latter authority never acquired lawful jurisdiction to complete the assessment.
Relying on binding judicial precedents, including the Delhi High Court decision in Raj Sheela Growth Fund (P) Ltd. and co-ordinate bench rulings such as Sanjay Kumar Singhal v. ACIT, the ITAT reiterated that jurisdiction cannot be assumed by implication, participation, or acquiescence, and that section 292BB cannot cure a case of non-issuance of notice by the jurisdictional AO.
Since the assessment itself was held to be without authority of law, the Tribunal quashed the assessment order in entirety. All other grounds on merits were left open, having become academic.
Accordingly, the appeal was allowed on jurisdictional grounds.
FULL TEXT OF THE ORDER OF ITAT DELHI
