Defect of a belated Jurisdictional Notice is not Curable u/s 292B of the Income Tax Act: ITAT [Read Order]

The Income Tax Appellate Tribunal (ITAT), Chennai bench has held that the defect of a belated jurisdictional notice is not curable under section 292B of the Income Tax Act, 1961.

The assessee approached the Tribunal contending that the assessment in the instant case has been passed on the basis of a time-barred and non est notice issued under Section 143(2) of the Act and therefore the entire assessment is required to be quashed at the threshold.

A bench of Shri Pradip Kumar Kedia, Accountant Member & Shri Narender Kumar Choudhry, Judicial Member found that the validity of impugned assessment order resulting in present appeal is under challenge on the grounds of notice issued under Section 143(2) purportedly barred by limitation.

Relying on the decision of the Supreme Court in Hotel Blue Moon, the bench observed that “the Assessing Officer in the instant case has no jurisdiction to make assessment on the basis of belated notice issued under Section 143(2) of the Act. The defect, being substantive, is not curable under Section 292B of the Act. Section 292BB also does not apply as the notice issued under Section 143(2) itself has been issued after limitation period and merely served belatedly. The impugned assessment order culminated from a belated jurisdictional notice is thus nonest and deserves to be quashed.”

To Read the full text of the Order CLICK HERE

Support our journalism by subscribing to Taxscan AdFree. Follow us on Telegram for quick updates.