ACIT, CENTRAL CIRCLE-4, NEW DELHI vs. SMC POWER GENERATION LTD., NEW DELHI

PDF · subscribers
ITA 5535/DEL/2017Status: DisposedITAT Delhi25 March 2021AY 2008-092 pages

In favour of the assessee: the Revenue's appeal was dismissed. From the AI summary of this appeal.

AI SummaryDismissed

What did the Tribunal hold?

The Tribunal held that since the order passed under Section 263 was already quashed by a previous Tribunal order, the assessment order passed pursuant to it could not survive. Therefore, the Revenue's appeal was dismissed.

What were the facts?

The Revenue filed an appeal against the CIT(A)'s order which had quashed an assessment order passed under Section 143(3) read with Section 263. The CIT(A)'s decision was based on a prior Tribunal order that had already set aside the order passed under Section 263.

What were the issues?

Whether an assessment order passed pursuant to a Section 263 order that has been subsequently quashed by a higher authority is valid.

Which sections of the Income-tax Act were involved?

Section 143(3),Section 263

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘G’, NEW DELHI

Before: Sh. Bhavnesh SainiDr. B. R. R. Kumar

Hearing: 25.02.2021Pronounced: 25.03.2021

Per Dr. B. R. R. Kumar, Accountant Member:

1.

The present appeal has been filed by the revenue against the order of the ld. CIT(A)-23, New Delhi dated 19.06.2017.

2.

Following grounds have been raised by the revenue: 1. The order of the ld. CIT(A) is not correct in law and facts.

2. On the facts and circumstances of the case, the ld. CIT(A) has erred in quashing the assessment order passed u/s 143(3) r.w.s. 263.

3.

The assessment order u/s 263 r.w.s. 143(3) of the Income Tax Act, 1961 has been passed on 26.12.2016. At the outset, it was brought to our notice that the order passed by the ld. PCIT u/s 263 has been set aside by the order of the Tribunal dated

2 SMC Power Generation Ltd. 30.01.2017 in and that the ld. CIT (A) has allowed the appeal of the assessee based on the order of the Tribunal.

4.

Since, at this juncture, the order u/s 263 stands quashed, we hold that the Assessment Order passed pursuant to the order u/s 263 of the Act do not survive.

5.

In the result, the appeal of the revenue is dismissed. Order Pronounced in the Open Court on 25/03/2021.

More judgments on Section 263

All 13,616 judgments and leading authorities on Section 263 →

Recent GST High Court judgments

Search GST case law →