Intas Lifesciences Vs ACIT (ITAT Ahmedabad) -
The issue under consideration is whether AO is correct in issuing notice u/s 143(2) in the name of erstwhile partnership firm which was a non-existent entity at that point of time?...
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Balaji Enterprise Vs ACIT (ITAT Guwahati) -
Balaji Enterprise Vs ACIT (ITAT Guwahati) The case of the assessee was reopened u/s 148 by the ACIT, Investigation, Delhi, on the basis of CBI search. When the question of jurisdiction came before the Hon’ble High Court, it was held that where the assessee shifts his residence etc., the AO of the place where the […]...
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Self assessment - The assessee is required to make a self assessment and pay the tax on the basis of the returns furnished. Any tax paid by the assessee under self assessment is deemed to have been paid towards regular assessment. Regular assessment - On the basis of thereturn of income chargeable to tax furnished by the assessee an intim...
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ITO Vs Ajay Raj (ITAT Delhi) -
ITO Vs Ajay Raj (ITAT Delhi) The issue under consideration is whether the notice u/s 143(2) served on wrong address is sustainable in law? ITAT states that, the notice u/s 143(2) of the Act was issued to the address at “85, Kumharon Wali Gali, Village Khampur, Delhi” which was not served on the assessee whereas […]...
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CIT Vs Authority for Advance Ruling Income Tax (Delhi High Court) -
CIT Vs Authority for Advance Ruling (Delhi High Court) The issue under consideration is whether the question raised in the notice under Section 143(2) can be stated to be ‘pending’ to attract clause (i) of the proviso to Section 245R(2) of the Act? In the present case, the petitioner i.e CIT argues that since the […]...
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Shri Abhishek Acharya Vs ITO (ITAT Mumbai) -
The issue under consideration is whether the assessment order passed without serving of the notice u/s 143(2) on correct address as mentioned in ITR is considered as Valid order?...
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Sumit Balkrishna Gupta Vs ACIT (Bombay High Court) -
Sumit Balkrishna Gupta Vs ACIT (Bombay High Court) The issue under consideration is whether the issuing of a notice u/s 143(2) in the name of the wrong person is sustainable in law? High Court states that it is a fact that the petitioner had filed return for the assessment year 2016-17 in the name of […]...
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It is noticed that the department has lost the revenue in number of cases mainly on account of fatal mistake made by the AO in issuance of notice to dead person/ non-existent entity or in framing the assessment order in the name of dead person/non-existent entity....
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Ashok S Vakharia HUF Vs ITO (ITAT Mumbai) -
The issue under consideration is whether the CIT(A) is correct in confirming addition u/s 69C of the Act on account of unexplained purchases made during the year, calculated on the basis of peak credit?...
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Shri Gaurav Kumar Vs ITO (ITAT Jaipur) -
The issue under consideration is whether AO can issue notice under section 148 for re-assessment without issuing notice u/s 143(2)?...
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An assessee is required to file an income tax return under Section 139 or in response to notice under section 142, consisting all the details of income earned during the previous year. Once the return is filed the next step of Income tax department is to examine the return for its correctness. This examination is known as Assessment....
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CIT Vs NCR Corporation Pvt. Ltd. (Karnataka High Court) -
High Court states that so long as functions of the computers are performed with other functions and other functions are dependant on the functions of the computer, ATMs are to be treated as computers and are entitled to higher rate of depreciation....
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ACIT Vs Padma Logistics & Khanij Pvt. Ltd (Madras High Court) -
ACIT Vs Padma Logistics & Khanij Pvt. Ltd (Madras High Court) The issue under consideration is whether the set off of brought forward losses and unabsorbed depreciation of merged division in revised return is justified in law? In present case, the assessee Company had filed the original return of income on 28.09.2010 showing total i...
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Maharashtra State Board of Technical Education Vs ITO (ITAT Mumbai) -
The issue under consideration is whether CIT(A) is correct in holding that the appellant is not a state under Article 289 of the Constitution of India and therefore, liable to tax under the Income Tax Act?...
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ITO Vs Satish Singh Bhati (ITAT Delhi) -
The issue under consideration is whether CIT(A) is correct by annulling the assessment order on the ground that no notice under section 143(2) was issued before the completion of assessment?...
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These days people are getting different types of notices/intimations from the Income Tax department by different modes such as delivery by post or by an e-mail. This article aims to highlight the different situations in which income tax notices can be received and how to respond to those notices if anyone receives the same. ...
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Kailash Kanhaiyalal Gidwani Vs ACIT (ITAT Pune) -
Existence of reasons for escapement of income are sine qua non to embark upon the assessment or reassessment u/s 147 of the Act. Change or no change of opinion, as argued by the ld. DR, are the factors to be considered after fulfilling the jurisdictional condition of there being an escapement of income, in the absence of which no assessme...
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The process of request for re-sending of CC-Intimation u/s 143(1)/154 and refund is now available in 'Services' option. 1. The option is available once you login into you account on https://incometaxindiaefiling.gov.in/portal/index.do 2. After login click on the main menu Services and sub menu 'CPC intimation Services as shown in pictur...
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Please refer the order issued in the case of Kunal Structure (India) Private Limited Vs DCIT (Gujarat High Court) for the validity of issuing scrutiny notice under section 143(2) for the return filed under section 139(9). Let us analyse the provisions of the sections to understand the order. According to the section 143(2), an Assessing...
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CIT Vs A.R.Builders & Developers P Ltd, (Madras High Court) -
The issue under consideration is that, when two views are possible and A.O. adopt one of the view and passed his order accordingly. But that view is not acceptable by PCIT, in such case can PCIT adopt its one of the other views and call the order of A.O. the erroneous?...
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CIT Vs Laxman Das Khandelwal (Supreme Court) -
CIT Vs Laxman Das Khandelwal (Supreme Court of India) S. 143(2)/ 292BB: The failure to issue a notice u/s 143(2) renders the assessment order void even if the assessee has participated in the proceedings. S. 292BB does not save complete absence of notice. For S. 292BB to apply, the notice must have emanated from the […]...
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PR. CIT Vs Marck Biosciences Ltd. (Gujarat High Court) -
Notice under section 143(2) was issued prior to the filing of the return of income which was invalid and the assessment order passed would also be invalid....
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Anil Kisanlal Marda Vs ITO (ITAT Pune) -
Since no effort was made by AO to serve another notice u/s. 143(2) before the deadline after returning from postal authorities the original notice u/s 143(2) thus, the jurisdictional condition of `service’ of notice u/s. 143(2) and not its `issue’ was not satisfied and accordingly, assessment order passed in absence of a valid juris...
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M/s. Supersonic Technologies Pvt. Ltd. Vs PCIT (ITAT Delhi) -
Since no notice under section 143(2) had been issued for completion of the re-assessment proceedings, therefore, the re-assessment order itself was bad in law and the same could not be revised under section 263. ...
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ACIT Vs M/s. Sukhamani Cotton Industries (ITAT Indore) -
Reassessment order passed u/s 147 r.w.s 143(3) by issuing notice under section 148 but without issuance of notice u/s 143(2) was invalid and void ab initio and thus liable to be quashed....
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When any sum is payable as a result of any order passed under the Act, then the Assessing Officer shall serve upon the assessee a notice of demand U/s 156 specifying the sum so payable. Whereas Section 143 (1) is itself deemed as notice of demand & demand notice U/s 156 need not to be […]...
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Income Tax Return filing season for certain class of assessees including individuals not falling under tax audit provisions has just been over and by now the Income Tax Department (the Department) has already started processing of these returns. In fact, return filing and processing thereof are an ongoing process for different class of as...
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Notice under Section 142(1) - Inquiry before assessment Notice under Section 142(1) is usually served to call upon documents and details from the tax payers, and to take a particular case under assessment.The basic purpose is to inquire the details of the assessee before making assessment under the Act. It can be related to ‘Preliminary...
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1) Intimation issued under section 143(1) of the Income-tax Act, 1961 (`the Act') displays mismatch of income without detailed analysis or reconciliation, of income tax returns filed by assesses. 2) Challenges and potential consequences in relation to returns processed by CPC...
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Notification No. F.No. 225/157/2017/ITA.II-Income Tax -
(23/06/2017) -
The three formats of notice(s) are: Limited Scrutiny (Computer Aided Scrutiny Selection}, Complete Scrutiny (Computer Aided Scrutiny Selection), Compulsory Manual Scrutiny
The revised format of 143(2) notice(s) with a note on benefits & Procedures of' E-Proceeding' facility are enclosed for information of the field authorities....
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F.No. 225/162/2016/ITA.II -
(11/07/2016) -
Central Board of Direct Taxes, with approval of the Revenue Secretary, has decided to modify notice under section 143(2) of the Income-tax Act. Henceforth, there shall be three formats of the said notice namely: Limited Scrutiny, Complete Scrutiny, Manual Scrutiny...
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ITO Vs Shri Rajesh Agarwal (ITAT Lucknow) -
ITAT Lucknow held In the case of ITO vs. Shri Rajesh Agarwal that undisputedly notice of hearing under section 143(2) was issued on the last day of limitation/prescribed period for issuance of notice i.e. on 30.9.2011 at 15.19 hours by speed post....
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Shri Jeevan Kumar Agarwal Vs. ACIT (ITAT Lucknow) -
ITAT Lucknow held In the case of Shri Jeevan Kumar Agarwal vs. ACIT that there is no specific provision in the Act requiring the assessment made under section 153A to be after issue of notice under section 143(2). In the case of Ashok Chaddha vs. CIT...
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ITO Vs M/s Staunch Marketing Pvt. Ltd. (ITAT Delhi) -
The issue in dispute raised in additional ground relating to non issue of the mandatory notice u/s. 143(2) of the Act is decided in favour of the assessee and we hold that the impugned assessment order dated 31.12.2009 passed u/s. 147/143(3) of the Act by the AO as invalid....
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Service of notice, summon, intimation, requisition or order (by whatever name called) marks the very foundation and pedestal for the inception of any proceedings of whatever nature and by whatever name called and designated as the pinnacle and ace caveat for steeping into the shoes of legality. ...
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The provisions concerning the recuperative and the penal statutes are always to be construed strictly and stringently as per the profuse principles of interpretative jurisprudence available and codified into analogous legislative spheres. In what can be called as a formal invitation to invoke the jurisdiction of the adjudicating and arbit...
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Instruction No.1/2015 -
(13/01/2015) -
Instruction No.1/2015 Clarification regarding applicability of section 143(1D) of the Income-tax Act, 1961- Vide Finance Act, 2012, section 143(1D) was introduced in income tax act which prohibited processing of income tax returns in case notice u/s 143(2) has been issued (i.e. scrutiny cases). Ambiguity arose as to whether the said sub-s...
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Instruction No. 18/2013 -
(17/12/2013) -
Several instances have come to the notice of the Board Where due to certain technical or other reasons (which inter-alia included wrong migration of PAN and delayed release of returns by the Centralized Processing Cell to the jurisdictional authorities), intimation in refund cases could not be sent to the concerned assessees within the ti...
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Shri Mohinder Kumar Chhabra Vs Income Tax Officer (ITAT Delhi) -
In view of this position, there was no reason why reassessment proceedings should continue as no notice under section 143(2) of the Act was served on the assessee within the stipulated time. Decision of Hon'ble Jurisdictional High Court in the case of Alpine Electronics Asia Pte. Ltd. (supra) and V.R. Educational Trust (supra) would be ap...
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Alpine Electronics Asia Pte Ltd. Vs Director General of Income Tax & Others (Delhi High Court) -
Alpine Electronics Asia Pte Ltd Vs. DGIT (Delhi HC)- Draft order is not the final assessment order and does not result in completion of assessment. Under sub-section (2) to Section 143, the assessee has a right to accept, within 30 days, the draft assessment order or has right to file objections with the Dispute Resolution Panel and the ...
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V.R.A. Cotton Mills (P) Ltd. Vs Union of India and others (Punjab & Haryana High Court) -
V.R.A. Cotton Mills (P) Ltd. Vs. UOI (P & H HC)- The date of receipt of notice by the addressee is not relevant to determine, as to whether the notice has been issued within the prescribed period of limitation. The expression serve means the date of issue of notice. The date of receipt of notice cannot be left to be undetermined dependent...
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DCIT Vs. Mascomptel (India) Ltd. (ITAT Delhi) -
The revenue is in appeal against the order dated 03.09.2009 passed by ld. CIT(A) in the matter of assessment made by the Assessing Officer u/s 144 of the Income Tax Act, 1961 for the A.Y. 2006-07....
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Jyoti Traders Vs DCIT (ITAT Mumbai) -
Jyoti Traders Vs DCIT (ITAT Mumbai )- In our view the conditions precedent for passing an order u/s.142(2A) of the Act directing the Assessee to get its account audited by a special auditor viz., the satisfaction of the AO having regard to the nature and complexity of the accounts of the assessee and the interest of the revenue, that is ...
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UKT Software Technologies Vs. ITO (ITAT Delhi) -
It is mandatory for the AO to issue notice u/s 143 (2). The issuance and service of notice u/s 143 (2) is mandatory and not procedural. If the notice is not served within the prescribed period, the assessment order is invalid...
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The Supreme Court has ruled that it is mandatory for the Income Tax Department to issue notice within the prescribed time limit of one year where the assessing officer in repudiation of the block return filed by the assessee proceeds for an inquiry....
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Modi Cements Ltd Vs Union Of India And Others (Delhi High Court) -
Enactment of new provisions in the Income-tax Act, 1961, instead of reducing more than not, increases litigation This is either because of the ambiguity or lack of clarity in the provision enacted or the manner in which the newly enacted provision is applied The present case falls in the second category as we shall presently see...
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