JKS IMPEX PVT. LTD.,DELHI vs. ITO, NEW DELHI

The assessee presses the legality of the issue that Section 148 is not applicable in the present circumstances and facts of the case since no notice has been served within the time allowed under the law.

The learned CIT(A) rejected the legal ground of the assessee and the assessee is in appeal before the Tribunal.

I have heard the rival contentions and perused the facts of the case. It is a matter of fact that the return in the present case for the assessment year 2007-08 was filed on 27.9.2007 and accordingly notice under Section 148 should have been issued on 31st March, 2014. The notice was issued on 28.3.2014 but at the old address at 4514, 1st Floor, Pahadi Dheeraj, Delhi whereas the return was also filed at the same address. But the assessee had changed the address vide acknowledgement of change in correction in PAN data dated 12.12.2008 available at PB 67 which is D-4/4 Ganga Triveni Apartments, Sector 9, Rohini and it is relevant to mention that intimation under Section 143(1) was also served on the assessee at the Rohini address which is dated 19th March, 2009 available at PB 66. Again the address was changed by the assessee to 412 M.G. House, Wazirpur Industrial Area, Delhi 110052 which is dated 31.5.2011 as per Income Tax PAN Services unit available at PB 65. In such circumstances, sending the notice at the old address especially when the new address is available with the department, how the notice can be served upon the assessee. Issuance of a notice is wrong itself and is bad in law and the AO does not seize the reassessment proceedings i.e. AO does not acquire the jurisdiction under Section 147/148 of the Act. The reassessment proceedings so initiated are bad in law and are directed to be quashed. The legal ground of the assessee is allowed.

Since the legal ground of the assessee is allowed but I am not deciding the issue on merit.

In the result, appeal of the assessee in is allowed.