Crystal Phosphates Ltd vs. ACIT (ITAT Delhi) S. 143(3) assessment void if case picked up contrary to CBDT’s Scrutiny Guidelines For AY 2006-07, the assessee filed a ROI declaring income of Rs. 3.97 crore. · The case was selected for scrutiny under clause 2(v)(b) of the Scrutiny Guidelines issued by the CBDT. · The said clause of the Scrutiny Guidelines provided that a case had to be selected for compulsory scrutiny if an addition/ disallowance of Rs. 5 lacs or more was pending in appeal before the CIT(A) and such identical issue also originated in the year under consideration. The assessee claimed that as this condition stipulated in the Scrutiny Guidelines was not satisfied, the AO had no jurisdiction to select the case for scrutiny . The AO & CIT(A) rejected the claim . On appeal by the assessee to the Tribunal, HELD allowing the appeal : The CBDT’s instructions ...
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