INCOME TAX OFFICE, CIVIC CENTER NEW DELHI vs. SHALINI CHAUDHARY SHARMA, INDIA

PER Ms. MADHUMITA ROY, JM: The instant Revenue’s appeal is directed against the order dated 01.02.2024 (DIN & Order No. ITBA/NFAC/S/250/2023-24/1060388071(1) passed by the National Faceless Appeal Centre (NFAC), Delhi, arising out of the order dated 26.12.2016 passed by the ITO, Ward-52(2), New Delhi under Section 143(3) r.w.s. 147 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”), for Assessment Year 2009-10. 2 2. Grounds of appeal raised by the Revenue read as under: 1(a) The Ld. CIT(A) has erred in not appreciating the fact that assessment was made not on a dead person but it was made in the name of Sh. Vinod Choudhary (deceased) through S.C. Nanda, Advocate, the Executor of the deceased person. (b) The Ld. CIT(A) has erred in not appreciating the fact that during the course of assessment proceedings the AR of the assessee filed a copy of Will which was clearly depicting the fact that Sh. S.C. Nanda, Advocate was appointed as Executor by the deceased assessee for all the legal proceedings Ground 2 (c) The Ld. CIT(A) has erred in not appreciating the fact that the return with reference to notice u/s 148 of the Act was aiso filed by Sh. S. C. Nanda, Advocate who appointed as Executor by the deceased assessee for all the legal proceedings. (d) The ld. CIT(A) has erred in not appreciating the fact that during the assessment proceedings the CA attended the proceedings and this CA was given POA by Sh. S. C. Nanda. Advocate who has appointed as Executor by the deceased assessee for all the legal proceedings. 3 (e) The Ld. CIT(A) has erred in not appreciating the fact that during assessment proceedings, Sh. S.C. Nanda (appointed as Executor by the deceased assessee for all the legal proceedings) given letter dated 22.11.2016 and submitted therein that in his legal capacity being executor of the Will of Sh. Vinod Choudhary, he has all the authority and power to perform all the acts and deeds of Sh. Vinod Choudhary (deceased person) and he is lawfully competent to perform as his Executor. (f) The Id. CIT(A) has erred in not appreciating the fact that during the assessment the validity of notice u/s 148 of the Act never challenged (g) The appeal before CIT(A) was filed by Legal Heir appointed by order of Delhi High Court vide order dated 30.01.2017. However, Id. CIT(A) has erred in ignoring the Will of deceased assessee which appointed S.C. Nanda (Advocate) as the executor of this Will.” 3. The short issue for adjudication in the instant Revenue’s appeal is as to whether the Ld. CIT(A) is right in holding the notice issued under Section 148 of the Act as invalid, having been issued in the name of a dead person, and consequently treating the reassessment order as null and void.

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4. It is seen that in his order the Ld. CIT(A) allowed the assessee’s appeal by treating the reassessment as null and void, inter alia, by observing as under:
“7. During the appellate proceedings, ……. the legal heir of the appellant has challenged the very validity of the notice dated 18.02.2016 issued u/s 148 of the Act. Accordingly, the said issue is taken up for adjudication first.
7.1 Submissions filed by the legal heir of the appellant and the copy of the death certificate filed along with, shows that the appellant had passed away on 20th January 2016. A perusal of the assessment order further shows that the AO himself has not disputed the fact that the AR of the assessee attended the hearing on 22.11.2016 and explained that the assessee had expired on 20.01.2016. The AR also submitted a copy of the death certificate of the assessee, Shri Vinod Choudhary bearing No. SA-1346189 dated 29.01.2016
issued by the Sub-