9911796707
TMI Blog2023 (12) TMI 1134X X X X Extracts X X X X X X X X Extracts X X X X ..... ction 148A(d) of the Income Tax Act, 1961 (for short 'Act') for the Assessment Years 2015-16, 2016-17, 2017-18 and further challenging the notices dated 25th July, 2022 issued under Section 148 of the Act. The petitioner further challenges the constitutional validity of Section 115BBE of the Act. 2. Learned counsel for the Petitioner states that the notices issued under Section 148 of the Act have been issued after three years from the end of the relevant Assessment Years and that too could have been issued after obtaining the sanction from the Principal Chief Commissioner of Income Tax and not from the Principal Commissioner of Income Tax as has been done in the present cases. 3. Learned counsel for the Respondents-Revenue, who appears o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ture and not mandatory [Ref. CIT v/s P.K. Noorjahan - (1999) 237 ITR 670 (SC)] and because of that they are prone to the vice of perversity in exercise thereof. This may lead to a situation where similarly placed assessees may be subjected to differential treatment under the Act based on the discretion of the Assessing officer. The very section 115BBE is prone to mischief. It can be manifested by way of a simple illustration. Suppose two different assesses in the very same business earning the very same nature of income are assessed before the same Assessing Officer wherein income from business earned in cash is disclosed by both the Assessees. The said income is taxable u/s 28 of the Act. It needs to be mentioned that even incomes to which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n unrealistic fashion or in a vacuum or on the ground that there is an apprehension of misuse of Statutory Provision or possibility of abuse of power. It must be presumed, unless the contrary is proved, that administration and application of a particular law would be done "not with an evil eye and unequal hand". In Maganlal Chhaganlal (P) Ltd. Vs. Municipal Corporation of Greater Bombay & Ors., (1974) 2 SCC 402, the Supreme Court has held as under:- "15..... Administrative officers, no less than the courts, do not function in a vacuum. It would be extremely unreal to hold that an administrative officer would in taking proceedings for eviction of unauthorised occupants of Government property or Municipal property resort to the procedure pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat the short answer to this contention (and I hope its shortness will not be regarded as disrespect) is that the validity of a measure is not to be determined by its application to particular cases.... If it is not so exercised (i.e. if the powers are abused) it is open to challenge and there is no need for express provision for its challenge in the statute." The possibility of abuse of a statute otherwise valid does not impart to it any element of invalidity........." 7. Consequently, at this stage, Section 115BBE of the Act cannot be held unconstitutional on the ground that there is an apprehension of misuse of the said provision. 8. Further, it is settled law that the Act provides a complete machinery for assessment/re-assessme ..... X X X X Extracts X X X X X X X X Extracts X X X X
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