ITO SENDHWA, SENDHWA vs. MS/S. NORTH AVENUE INFRASTRUCTURE (P) LTD., BARWANI

Since, the assessee has challenged the maintainability of the proceedings initiated under S.148 of the Act, we would like to address the same at the very threshold.

The original assessment was made by the Ld.AO on 30.11.2018 for A.Y. 2012-13. The notice under Section 148 of the Act was issued on 12.12.2017 after approval granted by the Pr.CIT -2, Indore vide letter dated 16.08.2017 as it is reflecting from the order passed by the Ld.AO. Since, the notice under Section 148 of the Act is supposed to be issued by 31st March, 2017, the issuance of notice under Section 148 of the Act is admittedly beyond limitation period prescribed under the statute. Hence, the reopening is not sustainable in the eye of law as the case made out by the assessee.

The Ld.DR also has not been able to controvert such submissions made by the Ld.AR at the time of hearing of the matter.

Thus, having heard the learned counsel appearing for the parties and having regard to the facts and circumstances of the case, we find that the very basis of the re-assessment, assessment being notice under Section 148 of the Act has been issued beyond limitation prescribed under the law, the same is admittedly not sustainable and therefore, the entire proceeding is liable to be quashed. We, therefore, quash the proceedings initiated under Section a/w. CO No. 14/Ind/2020 (ITO vs. M/s. North Avenue Infrastructure P. Ltd.) Asst.Year.– 2012-13 - 3 - 147/148 of the Act. The departmental appeal, therefore, become infructuous and the Cross Objection filed by the assessee is allowed.

In the result, Revenue’s appeal is dismissed as infructuous and assessee’s cross objection is allowed.