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2022 (4) TMI 1561 - HC - Income TaxReopening of assessment - Limitation period to issue notice - distinction between issuing of notice and delivery of notice or receipt of notice - HELD THAT:- Limitation prescribed for completing the assessment under Section 147 is at Section 153(2) of the Act which says - No order of assessment, re-assessment or re-computation shall be made under Section 147 after the expiry of 9 months from the end of the financial year in which the notice under Section 148 was served As in the present case, the limitation started from the last date of financial year during which the notice u/s 148 was served on the assessee. The word 'served' has been predominantly and unambiguously used by the legislature, that means, the limitation starts only from the last date of the financial year, wherein the notice was served on the assessee and not from the notice was 'issued' or 'sent' by the Revenue. In the case in hand, admittedly the notice dated 30.03.2018 has been served on the assessee only on 03.04.2018. If that being so, 03.04.2018 is the date of serving of notice. Therefore, if that date falls in a particular financial year, the limitation starts only after the last date of that financial year. Here in the case in hand, since the notice was served on 03.04.2018, since that falls in the financial year 2018-19, the last date of the financial year being 31.03.2019, the limitation of nine months as contemplated under Section 153(2) of the Act would necessarily start only from 01.04.2019 and not from 01.04.2018 as projected by the learned counsel for the assessee. In this context, the submission made by the learned Standing Counsel for the Revenue is to be accepted. If that being the factual position, certainly the order impugned dated 21.02.2022 passed under Section 147 of the Act is well within the limitation of nine months period and therefore it cannot be stated that it is beyond the period of limitation and hence on that ground it can be assailed before this Court invoking the extraordinary jurisdiction. Hence, this Court has no hesitation to hold that the ground raised by the petitioner on the basis of limitation as contemplated under Section 153(2) of the Act is to be answered in favour of the Revenue and against the assessee. Thus, impugned order cannot be assailed successfully on the ground of limitation within the meaning of Section 153(2) of the Act. Hence, the challenge fails and the writ petition is liable to be rejected.
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