TMI Blog2021 (7) TMI 695X X X X Extracts X X X X X X X X Extracts X X X X ..... hik, Adv. Respondents Through: Mr. Ruchir Bhatia, Adv. JUDGMENT NAVIN CHAWLA, J: 1. This petition has been filed by the petitioner challenging the Notice dated 22.03.2019 issued under Section 148 of the Income Tax Act, 1961 (hereinafter referred to as the Act ); Assessment Order dated 14.11.2019 under Section(s) 144/147 of the Act; as also the Penalty Notice(s) dated 14.11.2019 under Section 274 read with Section 271(1)(c) and Section 274 read with Section 271F of the Act. 2. The above-mentioned Impugned Notices and the Assessment Order have been issued / passed by the respondents in the name of Late Shri Sripathi Subbaraya Gupta the Assessee and relate to the Assessment Year 2012-13. 3. It is the case of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eposited a cash amount of ₹ 11,55,000/- (Rupees Eleven Lakhs Fifty-five Thousand) in a savings bank account maintained with the Indian Bank. As the assessee had not filed his return of income, the Assessing Officer, having reason to believe that the said amount had escaped assessment for the Assessment Year 2012-13, re-opened the same under Section 147 of the Act and Impugned Notice under Section 148 of the Act was issued to the assessee, after getting the prior approval of the Principal Commissioner of Income Tax. As the assessee failed to file the return of income, further Notices were issued to the assessee and as no explanation was received from the assessee, the Impugned Assessment Order dated 14.12.2019 was passed. He submits th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... law that if the Assessing Officer had no jurisdiction to initiate assessment proceeding, the mere fact that subsequent orders have been passed would not render the challenge to jurisdiction infructuous. xxxxx THE SINE QUA NON FOR ACQUIRING JURISDICTION TO REOPEN AN ASSESSMENT IS THAT NOTICE UNDER SECTION 148 SHOULD BE ISSUED TO A CORRECT PERSON AND NOT TO A DEAD PERSON. CONSEQUENTLY, THE JURISDICTIONAL REQUIREMENT UNDER SECTION 148 OF THE ACT, 1961 OF SERVICE OF NOTICE WAS NOT FULFILLED IN THE PRESENT INSTANCE. xxxxx 26. In the opinion of this Court the issuance of a notice under Section 148 of the Act is the foundation for reopening of an assessment. Consequently, the sine qua non for acquiring jurisdiction to re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of death of an assessee to the income tax department. After all, there may be cases where the legal representatives are estranged from the deceased assessee or the deceased assessee may have bequeathed his entire wealth to a charity. Consequently, whether PAN record was updated or not or whether the Department was made aware by the legal representatives or not is irrelevant. In Alamelu Veerappan (supra) [2018 (6) TMI 760 Madras High Court ] it has been held nothing has been placed before this Court by the Revenue to show that there is a statutory obligation on the part of the legal representatives of the deceased assessee to immediately intimate the death of the assessee or take steps to cancel the PAN registration. xxxxx 34. Con ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epresentatives. 10. We have enquired from the learned counsel for the respondents as to whether the above judgment has been challenged. The learned counsel for the respondents fairly submits that the same has not been challenged so far. He submits that this may be because the period of limitation has been extended by the Supreme Court in the orders passed in Re: Cognizance for Extension of Limitation, in Suo Motu Writ Petition (Civil) No. 3 of 2020 . However, in our view, the judgment having been pronounced on 16.07.2020, we are bound by the same and, even otherwise, see no reason to differ from the law laid down therein. 11. In the present case as well, the Impugned Notice dated 22.03.2019 under Section 148 of the Act, having be ..... X X X X Extracts X X X X X X X X Extracts X X X X
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