9911796707
TMI Blog2025 (5) TMI 1502X X X X Extracts X X X X X X X X Extracts X X X X ..... sed under Section 148A (d) of the Act, which in turn was passed pursuant to a notice dated 29.06.2021 issued under Section 148 of the Act that was deemed to be a notice under Section 148A (b) of the Act in terms of the directions issued by the Supreme Court in Union of India & Ors. v. Ashish Agarwal: (2023) 1 SCC 617. 3. Ms Kapoor, the learned counsel appearing for the petitioner has assailed the said notice and the proceedings initiated pursuant thereto on the basis that the notice is invalid as it was not issued with the prior approval of the authorities specified under Section 151 (ii) of the Act. 4. Briefly stated the facts as necessary to address the aforesaid controversy are as under: 5. The petitioner is a senior citizen aged 72 y ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tions in exercise of powers under Article 142 of the Constitution of India. The Court directed that all notices that were issued under Section 148 of the Act after 01.04.2021 till the date of the said decision (04.05.2022), including those that had been set aside by the High Courts, would be construed as show cause notices under Section 148A (b) of the Act. The Assessing Officers were directed to provide the information and material relied upon by the Revenue for issuance of such notices, to the respective assessees within a period of thirty days from the date of the decision so as to enable the respective assessees to respond to the same. 8. In compliance of the directions issued by the Supreme Court in Union of India & Ors. v. Ashish Aga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... that it was a fit case for reopening the assessment proceedings under Section 147/148 of the Act. 11. The AO issued a notice dated 29.07.2022 under Section 148 of the Act accompanied with the order dated 29.07.2022 passed under Section 148A (d) of the Act. 12. It is apparent from the said notice that it was not issued with the prior approval of the Principal Chief Commissioner of Income Tax (PCCIT) or any other authority specified under Section 151 (ii) of the Act. Such approval is mandatory for issuance of a notice issued under Section 148 of the Act beyond the period of three years from the end of the relevant assessment year. 13. Section 151 of the Act (as amended by the Finance Act, 2021) as in force on the date of issuance of notice ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ndal HUF v. Income Tax Officer Ward 54 (1) Delhi & Ors. (supra). The same is set out below: "17. As was noticed in the introductory parts of this decision, the respondents had, contrary to the above, argued that once a notice for reassessment comes to be issued after the expiry of four years by virtue of the extended period of time made available by TOLA, all the impugned notices would fall within the ken of sub-section (2) of the pre-amendment Section 151 and consequently the sanction and approval accorded by the JCIT would be in accordance with law. *** *** *** 38. It would therefore be wholly incorrect to read TOLA as intending to amend the distribution of power or the categorisation envisaged and prescribed by Section 151. The add ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mmissioner /Commissioner. It would only be in a case where the reassessment was proposed to be initiated before the expiry of four years from the end of the relevant AY that approval could have been accorded by the JCIT. Similar would be the position which would emerge if the actions were tested on the basis of the amended Section 151 and which divides the power of sanction amongst two sets of authorities based on whether reassessment is commenced within three years or thereafter." 15. The aforesaid issue is also covered by the earlier decisions of this Court in Cadence Real Estates Pvt. Ltd. v. Income Tax Officer and Anr.: W.P.(C) 482/2023, decided on 24.04.2025; Twylight Infrastructure Pvt. Ltd. v. Income Tax Officer Ward 25 3 Delhi and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Act. The said proviso, at the risk of repetition, reads as follows: "Provided that no notice under this section shall be issued unless there is information with the Assessing Officer which suggests that the income chargeable to tax has escaped assessment in the case of the assessee for the relevant assessment year and the Assessing Officer has obtained prior approval of the specified authority to issue such notice." 12.3. In these cases, there is no dispute that although three (3) years had elapsed from of the end of the relevant AY, the approval was sought from authorities specified in clause (i), as against clause (ii) of Section 151." 12.4. Before us, the counsel for the Revenue continue to hold this position. The only liberty ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
