Subramaniam Mohan Sundaram Vs PCIT (ITAT Chennai)
ITAT Chennai held that passing of an order in the name of dead/ deceased person is not sustainable in law. Accordingly, revisionary order passed by PCIT is liable to be quashed and set aside.
Facts- Post reassessment proceeding, AO completed the assessment u/s.147 r.w.s. 143(3) of the Act by accepting the returned income. Thereafter, PCIT on perusal of the assessment records found that the AO has failed to make necessary enquiries or verifications of investments and deposits made by the assessee, which was found during the survey proceedings. Therefore, the ld. PCIT passed an order u/s.263 of the Act dated 13.03.2024 by directing the AO to modify the assessment order by verifying the investments made in residential properties and fixed deposits. Aggrieved by the order of the ld. PCIT, the assessee is in appeal before us.
Conclusion- Allahabad High Court in the case of Sri Nath Suresh Chand Ram Naresh v. CIT [2006] 280 ITR 396/145 Taxman 186 it is held that framing of assessment against a non-existing entity/person goes to the root of the matter, which is not a procedural irregularity, but a jurisdictional defect, as there cannot be any assessment against a dead person.
