Case Number: ITA 453/DEL/2021
Appellant: Manish Dhruv Trust, Meerut
Respondent: Pr. CIT, Ghaziabad
Assessment Year: 2016-17
Case Filed On: 2021-04-19
Order Type: Final Tribunal Order
Date of Order: 2021-09-09
Pronounced On: 2021-09-09
The case involved the appeal filed by Manish Dhruv Trust against the order of the Principal Commissioner of Income Tax (Pr. CIT), Ghaziabad, dated 26th March 2021. The primary ground for the appeal was that the order was made against a non-existent entity as the trust was dissolved on 31st March 2016.
The appellant raised several grounds in the appeal, including:
The assessee provided detailed replies to the queries raised by the Assessing Officer during the assessment proceedings. The key arguments included:
The Income Tax Appellate Tribunal (ITAT) found that the trust was dissolved as per the trust deed and the relevant documents were filed before the revenue authorities. The Pr. CIT issued a notice to a non-existent trust, which is a substantive illegality that cannot be cured under Section 292B of the Act. The tribunal referred to the Hon’ble Supreme Court’s decision in Pr. CIT vs. Maruti Suzuki India Ltd., where it was held that any order passed in the name of a non-existent entity is a nullity.
The ITAT concluded that the impugned order passed by the Pr. CIT in the name of Manish Dhruv Trust was a substantive illegality and a nullity. Consequently, the order under Section 263 was quashed on the jurisdictional issue.
Order Pronounced in the Open Court on 09/09/2021.
Judicial Member: Amit Shukla
Accountant Member: Dr. B. R. R. Kumar
Case Filed by Manish Dhruv Trust, Meerut vs. Pr. CIT, Ghaziabad – ITA 453/DEL/2021
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