Bharat Kantilal Chengede Vs ITO (ITAT Pune)
Reassessment Quashed for Non-Issue of Section 143(2) Notice Despite Belated Return Filed u/s 148- Pune Trib
The Pune Bench of the ITAT allowed the assessee’s appeal for AY 2012-13 by quashing the entire reassessment proceedings on the ground of non-issuance of mandatory notice under section 143(2) after the assessee filed a return in response to notice under section 148, even though the return was filed belatedly.
The Tribunal noted that the Assessing Officer issued notice u/s 148 on 25.03.2019 and the assessee filed the return on 11.12.2019. However, the assessment was completed on 20.12.2019 without issuing any notice u/s 143(2). The CIT(A)/NFAC had upheld the reassessment by invoking section 292BB, holding that participation in proceedings cured the defect.
Rejecting this approach, the ITAT relied on a consistent line of judicial precedents, including decisions of the Delhi High Court and Patna High Court, to hold that issuance of notice u/s 143(2) is a jurisdictional and mandatory requirement once a return is filed pursuant to section 148, irrespective of whether such return is filed within or beyond the time specified. The Tribunal further held that section 292BB cannot cure the complete absence of a statutory notice, as it applies only to defects in service and not to total non-issuance.
Since the reassessment itself was rendered void ab initio for want of notice u/s 143(2), the Tribunal did not adjudicate the additions on merits, including denial of exemption under section 54F and additions relating to fixed deposits. Accordingly, the reassessment order was held to be a nullity in law and the appeal was allowed in favour of the assessee.
FULL TEXT OF THE ORDER OF ITAT PUNE
This appeal filed by the assessee is directed against the order dated 03.07.2025 of the Ld. CIT(A) / NFAC, Delhi relating to assessment year 2012-13.
