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Facts
The assessee filed appeals against the orders of the CIT(A) for assessment years 2014-2015 to 2016-2017. For AY 2015-2016, the assessment was based on an order u/s.263 of the Act, which was later quashed by the Tribunal. For AY 2014-2015 and 2016-2017, the issues were identical to AY 2015-2016 and involved reopening and regular assessment respectively.
Held
The Tribunal held that the assessment order for AY 2015-2016, which was consequential to the quashed order u/s.263, could not survive. For AY 2014-2015 and 2016-2017, the issues were found to be identical to AY 2015-2016, and in the interest of justice, these appeals were restored to the AO for re-adjudication.
Key Issues
Whether the assessment orders, particularly those consequential to a quashed revisionary order, are valid? Whether identical issues in other assessment years should be restored for fresh adjudication based on prior tribunal directions?
Sections Cited
263, 143(3)
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Income Tax Appellate Tribunal, RANCHIBENCH,RANCHI
ĮċĊĭŊįēćıकीओरसे/Assessee by : Shri Devesh Poddar, Adv. �ȡ�è��ȧj � ȯ/Revenue by : Md. A.H.Chowdhury, CIT-DR Ǖ��ȡ_�ȧ�ȡ�ȣ�/ Date of Hearing : 05/05/2025 �Ȫ��ȡ�ȧ�ȡ�ȣ�/Date of Pronouncement : 05/05/2025 आदेश/ O R D E R PerBench: These are the appeals filed by the assessee against the separate orderspassed by the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi, 08.08.2023 & 07.08.2023, for the assessment years2014-2015, 2015-2016 & 2016-2017, respectively.
Shri Devesh Poddar, Advocate appeared on behalf of the assessee. Md. A.H.Chowdhury, CIT-DR on behalf of the revenue.
It was submitted by the ld. AR that for the assessment year 2015- 2016, the foundation of the assessment was an order u/s.263 of the Act passed by the ld. Pr.CIT, Patna. It was the submission that the said order of the ld. Pr.CIT,Patna passed u/s.263 of the Act was the subject matter of an appeal before the Tribunal and the coordinate bench of the Tribunal in has, vide an order dated 23.02.2023, quashed the order passed u/s.263 of the Act. It was the submission that as the order u/s.263 of the Act has already been quashed, the consequential assessment order for the assessment year 2015-2016 no more survives.
In reply, ld. CIT-DR vehemently supported the order of the ld. AO and ld. CIT(A). It was the submission that the assesse has not represented before the ld. CIT(A).
We have considered the rival submissions. As it is noticed that the impugned assessment order is an order consequential to the order u/s.263 of the Act passed by the ld. Pr.CIT and the said order of the ld. Pr.CIT passed u/s.263 of the Act has already been quashed by the Tribunal in vide order dated 23.02.2023. The very foundation for the impugned assessment order no more survives. Consequently, the assessment order passed u/s.143(3) r.w.s.263 of the Act, dated 27.12.2018 for the assessment year 2015-2016 in the case of the assesse stands quashed. Thus, the appeal of the assesse in ITA No.181/Ran/2023 for A.Y.2015-2016 stands dismissed.
In regard to appeals of the assesse filed in for the assessment years 2014-2015 & 2016- 2017, it was the submission of the ld. AR that the order u/s.263 of the Act for the assessment year 2015-2016 has been quashed with the directions. It was the submission that in the assessment year 2014-2015, the issue was reopening of the assessment and for the assessment year 2016- 2017, it was a regular assessment. It was the prayer of the ld. AR that the issues in both the appeals were being identical to the appeal filed by the assesse for A.Y.2015-2016, could be restored to the file of AO for readjudication following the directions and examinations as directed for the assessment year 2015-2016 in the order passed by the coordinate bench of the Tribunal.
In reply, ld. CIT-DR vehemently supported the orders of the ld. AO and ld. CIT(A). It was the submission that the assesse has not represented its appeal before the ld. CIT(A).
We have considered the rival submissions. A perusal of the order of the coordinate bench of the Tribunal in the case of assesse for A.Y.2015- 2016 passed in vide order dated 23.02.2023, shows that there are certain verifications and directions done by the coordinate bench of the Tribunal on the additions made for the assessment year 2014-2015 & 2016-2017 are identical to the additions made for the assessment year 2015-2016. This being so, in the interest of justice, the issues in both the appeals for A.Ys.2014-2015 & 2016-2017 are restored to the file of AO for examination and verification in line with the order of the coordinate benchof the Tribunal in assessee’s own case for the assessment year 2015-2016. Thus, both appeals of the assesse for A.Y.2014-2015 & 2016-2017 are partly allowed for statistical purposes.
9. In the result, appeal of the assessee in allowed and appeals of the assessee in ITA Nos.180&182/Ran/2023 are partly allowed for statistical purposes. Order dictated and pronounced in the open court on 05/05/2025.