MITASHI EDUTAINMENT PVT. LTD.,MUMBAI vs. THE DCIT, CENTRAL CIRCLE 6(4), MUMBAI., MUMBAI

Since all the issues involved in these four appeals are common and identical, therefore, they have been clubbed, heard together and consolidated order is being passed for 2 Mitashi Edutainment Pvt Ltd, Mumbai. the sake of convenience and brevity. We shall take A.Y 2017-18 as lead case and facts narrated therein.

At the very outset, Ld. AR submitted that the notice u/s 148 of the Act was issued without requisite permission u/s 151 of the Act. In this regard relied upon the decision of Hon’ble Supreme Court in the cases of Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) and Ashish Agarwal, civil appeal No. 3005/2022 dated 04.05.2022. It was further argued by Ld. AR that the noticed issued is without containing DIN and was not issued by faceless AO.

On the contrary Ld. DR relied upon the decision of Hon’ble Gujarat High Court in the case of Dhanraj Govindram Kela Vs. ITO Special Civil Application No. 6387/5688/996 of 2023 and 22260 of 2022 and requested for dismissal of assessee appeal.

After having heard the arguments for both the parties, we found that these grounds were not taken by the assessee before the revenue authorities. Although a general plea / ground has been taken by the assessee thereby challenging the reopening of the case, but no such specific plea or ground was even taken by the assessee therefore there was no occasion before the revenue authorities to adjudicate the same.

In our view, although legal plea / ground can be raised at any stage of the proceedings, therefore we allow the assessee to raise the same in view of the decision of Hon’ble Supreme Court in the case of NTPC. Ltd [1998] 229 ITR 383 (SC). Since certain factual verifications from the assessment records are required to adjudicate legal grounds raised by the assessee before us. Therefore we restore the matter back to the file of Ld. CIT(A) with a direction to adjudicate these grounds on merits and Ld. CIT(A) would be at liberty to call for the assessment record or any other information from the A.O for proper adjudication. The assessee shall not seek any adjournment on frivolous grounds and shall remain cooperative during the course of proceedings.

Before parting, we make it clear that our decision to restore the matter back to the file of the Ld. CIT(A) shall in no way be construed as having any reflection or expression on the merits of the dispute, which shall be adjudicated by the Ld. CIT(A) independently in accordance with law.

In the result, the appeal filed by the assessee is allowed for statistical purposes , 629 & 630/Mum/2025, 2014-15 to 2016-17

As the facts and circumstances in these appeals are identical to for the A.Y 2017-18 (except variance in figures) and the decision rendered in 4 Mitashi Edutainment Pvt Ltd, Mumbai. above paragraph would apply mutatis mutandis for these appeals also. Accordingly, the grounds of appeal of the present appeals also stands allowed for statistical purposes.

In the result, all the appeals filed by the assessee allowed for statistical purposes.