2023 (1) TMI 538 - HC - Income Tax
Validity of reopening of assessment u/s 147 - notice sent to entity, which no longer exists and it is merged - HELD THAT:- Noticing the decision of the Apex Court in the case of CIT vs. Maruti Suzuki India Ltd,[2019 (7) TMI 1449 - SUPREME COURT] where it has been held that the amalgamating entity would cease to exist against the approved scheme of amalgamation.
In Gayatri Microns ltd.[2019 (12) TMI 1241 - GUJARAT HIGH COURT] this Court had followed the Apex Court’s decision of Maruti Suzuki India Ltd (supra) to hold that the jurisdictional notice issued in the name of the company, which has been amalgamated is illegal and without jurisdiction, since the amalgamating entity ceases to exist and cannot be regarded as person under sub-section (31) of section 2 of the Act against whom the assessment proceedings can be initiated.
In view of all notice itself is not sustainable under the law. Petition stands allowed quashing and setting aside the notice issued under section 148 with all consequential reliefs. - Decided in favour of assessee.