ABC India Limited Vs DCIT (ITAT Kolkata)
Assessment Quashed for Want of Jurisdiction – Notice u/s 143(2) by Wrong AO Invalid
The Kolkata ITAT quashed the assessment for AY 2015-16 holding that the notice issued under section 143(2) and the consequential assessment were void as they were issued by an officer lacking pecuniary jurisdiction under CBDT Instruction No. 1/2011. Since the assessee had returned nil income, jurisdiction lay with the ITO and not with the DCIT who issued the notice and completed the assessment. The Tribunal relied on several coordinate bench decisions and the Calcutta High Court ruling in Kusum Goyal to hold that issuance of statutory notice by a non-jurisdictional officer goes to the root of jurisdiction and renders the assessment a nullity. It further held that such a defect is not curable under section 292BB, as it is a case of complete lack of jurisdiction and not merely defective service of notice. Accordingly, the assessment framed u/s 143(3) was quashed and the assessee’s appeal was allowed.
FULL TEXT OF THE ORDER OF ITAT KOLKATA
This is an appeal preferred by the assessee against the order of the National Faceless Appeal Centre, Delhi (hereinafter referred to as the “Ld. CIT(A)”] dated 10.07.2025 for the AY 2015-16.
