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Facts
The assessee engaged in trading paddy and allied products. The case was reopened under Section 147 due to substantial credits in the bank account not reflected in the books of account, leading to an addition of ₹12,16,00,000/- by the AO. The National Faceless Appeal Centre (NFAC) confirmed the AO's order.
Held
The Tribunal held that the assessment framed by the National Faceless Assessment Centre was without jurisdiction as the provisions enabling faceless assessment were notified subsequent to the assessment order. Consequently, the assessment was deemed null and void.
Key Issues
Validity of assessment proceedings conducted by the National Faceless Assessment Centre when the relevant provisions for faceless assessment were not yet notified.
Sections Cited
139(1), 147, 148, 142(1), 151A
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Income Tax Appellate Tribunal, “D” BENCH, KOLKATA
Before: SHRI RAJESH KUMAR, AM & SHRIPRADIP KUMAR CHOUBEY, JM
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 07.10.2025 for the AY 2014-15.
At the time of hearing, the ld. Counsel for the assessee pressed only one issue which is against the invalid assessment framed by the National Faceless Appeal Centre, Delhi [the learned CIT (A)] vide order dated 22.03.2022, which is without jurisdiction and is accordingly, invalid.
The facts in brief are that the assessee engaged in the business of trading of paddy and allied products. The assessee filed the return of
In the appellate proceedings, the ld. CIT (A) confirmed the order of the ld. Assessing Officer.
After hearing the rival contentions and perusing the materials available on record, we find that the assessment has been framed by the National Faceless Assessment Centre vide order dated 22.03.2022, which in our opinion, is without jurisdiction as the Provisions of Section 151A of the Act which provides for faceless assessment were notified from 29.03.2022 vide notification no. 18/2022/F. No. 370142/16/2022-TPL(Part) though the same were brought on statute book by the Taxation and Other Law (realization and amendment of certain provisions) Act, 2020 with effect from 01.11.2020. Considering these facts, the assessment framed by the National Faceless Appeal Centre is null and void as the same is without jurisdiction and cannot be sustained. The case of the
In the result, the appeal of the assessee is allowed.
Order pronounced in the open court on 26.02.2026.