NR TMT (India) Pvt. Ltd. Vs DCIT (Central)-2 (ITAT Raipur)
ITAT Raipur held that AO has passed the final assessment order u/s.143(3) r.w.s. 153B(b) of the Act without seeking a prior approval of the same by the Jt. CIT u/s. 153D of the Income Tax Act and hence the order so passed is liable to be quashed.
Facts- The assessee company which is engaged in the business of manufacturing of sponge iron and MS Ingots/Billets was as on 24.10.2017 subjected to search and seizure proceedings u/s.132 of the Act. The assessee company subsequent to the search proceedings had in compliance to notice issued by the A.O u/s.142(1) of the Act filed its return of income for A.Y.2018-19 on 29.09.2018, declaring its income at Rs.93,66,200/-.
A.O, thereafter, framed the assessment for the year under consideration i.e. A.Y.2018-19 vide his order passed u/s.143(3) of the Act, dated 30.12.2019, wherein based on the difference in the quantity of physical inventory of raw material, finished goods, spare parts and consumable items that was got prepared and valued by the department from a registered valuer, viz. M/s. Frontline Consultants Pvt. Ltd. vis-à-vis that disclosed by the assesse company in its books of account, an addition towards suppressed investment of Rs.2,89,20,981/-was made in the hands of the assessee company.
