Notice under section 142 should be complied with the proper address of the assessee or it cannot be treating valid

Last updated: 22 September 2012

Court :
INCOME TAX APPELLATE TRIBUNAL

Brief :
It would be relevant to recount the facts of the case in brief. The assessee’s return of income for the year, filed on 30-11-2006 at a loss of Rs.226.07 lakhs, was selected for scrutiny, serving notice u/s. 143(2) of the Act. There being no response to notice u/s. 142(1), the assessment was framed by the AO u/s. 144 of the Act, also considering the paucity of time, estimating the income at 5% of the turnover of Rs.1852.65 lakhs, i.e., at Rs.92.63 lakhs. In first appeal, the assessee raised contentions qua assessment u/s. 144 as well as on the quantum of the income assessed. The Revenue having served notice u/s. 142(1), i.e., which was not complied with, at the new address of the assessee, taking pains to locate the same (from the website of the Registrar of Companies), the assessee’s contention that there was no service of the said notice could not be accepted; it being incumbent on it to notify any change in its address to the Revenue, and which it had clearly failed to. As such, the framing of assessment u/s. 144 of the Act could not be assailed, and was accordingly upheld

Citation :
DCIT, Circle-9, Ayakar Bhawan, 5th Floor, P7, Chowringhee Square, Kolkata – 700 069 (Appellant) V/s. Negamum Suppl iers Pvt . Ltd. , 4, Fairl ie Place, Mazanine Floor, Room No.M-32, Kolkata-700001[PAN: AAACN 9884A] (Respondent)