Ultima Realtors Private Limited Vs ITO (ITAT Mumbai)
The assessee appealed against an order dated 29 March 2025 passed by the NFAC for Assessment Year 2014–15. The appeal raised several grounds, including maintainability of the appeal, passing of an ex-parte order, denial of opportunity of hearing, violation of natural justice, and non-adjudication of multiple substantive grounds. These grounds included objections such as issuance of notice and reassessment order on a non-existing company, additions made without basis, disallowance of loss, failure of the Assessing Officer to consider submissions, and levy of interest under sections 234A and 234B.
The Tribunal examined the record and noted that the CIT(A) dismissed the appeal on the sole ground that it was filed by a non-existent company. The assessee contended that the assessment order itself was invalid because it was passed on a company that no longer existed. The facts showed that the original return was filed in September 2014 and processed under section 143(1) in November 2014. A revised return filed in March 2016 was also processed similarly.
Subsequently, the assessment was reopened under section 147 based on recorded reasons and with requisite approval. A notice under section 148 was issued on 31 March 2021. During the reassessment proceedings, the assessee objected to the notice on the ground that the company had been struck off from the register as of 23 June 2018. Accordingly, at the time of issuance of notice and initiation of reassessment proceedings, the entity no longer existed. Despite this, the reassessment order was passed in the name of the struck-off company.
