Signature on the assessment order is a mandatory requirement. Mere authentication is not sufficient: ITAT Mumbai
Reuters Asia Pacific Ltd. (ITA NO.587/MUM/2021)
Facts:
⏩1. The assessee was served an unsigned assessment order through email. In the email, a note was given that a signed copy may be sent separately if it is not already digitally signed.
⏩2. However, except for the assessment order received through email, no other assessment order was ever communicated to the assessee.
⏩3. Draft assessment order was duly sent to the assessee, which was duly signed too. However final assessment order remained unsigned.
⏩4. The AO maintained that Rule-127A read with Section 282(2) of the Income Tax Act pertains to the service of notice, summons, requisition order, and other communication, and pointed out that since the assessment order was communicated to the assessee originated from the designated email id of the AO, therefore, in terms of Rule 127A, the said document shall be deemed to be “authenticated”.
⏩5. The AO has tried to take shelter under Section 292B of the Income Tax Act to cure the procedural defects or omissions.
ITAT Mumbai held as under:
⏩1. Subsection (1) of Sec 282A makes it obligatory that where any notice or other document is required to be issued under the provisions of the Act, the same shall be signed and issued by the competent authority in accordance with the procedures prescribed.
⏩2. The section is unambiguous and specifies the mandatory signing of notices or documents mandatory and manner of signing procedural.
⏩3. Therefore, the board has issued instructions from time to time laying down the procedure, inter alia, for signing the notices and the assessment order.
⏩4. Sub-section (2) of Section 282A of the Act explains the connotation of the expression “authentication.” Thus, the signing of documents and the authentication of documents carry different meanings. Signing of a document denotes committing to the document, whereas authentication of documents is related to the genuineness of origin of document.
⏩5. If signing and authentication would be meaning the same, there is no need for the Legislature to lay down the requirement of signing of documents viz notice, order etc. in sub-section (1) and explain the purpose of authentication in sub-section (2) of Section 282A of the Act.
⏩6. Therefore, it is held that the requirement of the signature of the AO is a legal requirement. The omission to sign the order of assessment cannot be cured by relying on the provisions of Section 292B of the Act.
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