Law:

Section:

Section 143, read with section 282, of the Income-tax Act, 1961 - Assessment - Issue of notice - Assessment year 2001-02 - Whether where notice issued to assessee under section 143(2) had been dispatched by speed post at its address as per its return and same had not been received back, it could be presumed that it had reached assessee, particularly when no affidavit had been filed by assessee to effect that notice was not received by it - Held, yes FACTS The assessee-company had filed its return of income declaring certain loss. Notices under section 143(2) were issued by the Assessing Officer on 23-10-2002 and on 24-12-2002 but none attended in response to those notices. The Assessing Officer again issued a notice under section 142(1) on 29-1-2003, which was also not complied with and, accordingly, the Assessing Officer framed an assessment under section 144. On appeal, the assessee challenged the assessment order on the ground that notice under section 143(2) had not been served on it within the prescribed period. The Commissioner (Appeals) held that notice issued by the Assessing Officer on 23-10-2002 was within the prescribed period and the assessment order framed by the Assessing Officer was upheld. On second appeal, the Tribunal quashed the assessment as well as the demand raised in pursuance thereto on the ground that notice under section 143(2) had not been served upon the assessee within a period of limitation as prescribed under section 143(2). On appeal by the revenue : HELD Section 27 of the General Clauses Act, 1897 provides that service by post is deemed to have been affected by properly addressing, pre-paying and posting by registered post, a letter containing the notice required to be served. Unless the contrary is proved, the service is deemed to have been effected at the time when the letter would be delivered in the ordinary course of post. [Para 9] Though this presumption is rebuttable, yet in the absence of any proof to contrary, the presumption of proper service or effective service of the notice would arise. There was nothing on record to show that the notice dated 23-10-2002 dispatched on 25-10-2002 by speed post at the address of the…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492