Genpact Servies LLC Vs ACIT (ITAT Delhi)
AY 2015-16 Reopening After 01.04.2021 Is Dead on Arrival- TOLA Can’t Save AY 2015-16
In Genpact Services LLC Vs. ACIT, ITA No.3480/Del/2025, AY 2015-16, order dated 31.12.2025, Delhi ITAT quashed reassessment proceedings as time-barred & allowed Assessee’s appeal.
Assessee was issued notice u/s 148 on 08.04.2021 under old regime, which was later sought to be converted into new regime proceedings pursuant to SC decision in UOI Vs. Ashish Agarwal. Subsequently, notice u/s 148A(b) was issued on 01.06.2022, followed by order u/s 148A(d) & fresh notice u/s 148 on 29.07.2022, culminating in assessment u/s 147 r.w.s. 144C(13) dated 11.03.2025.
Tribunal held that in view of Supreme Court in UOI Vs. Rajeev Bansal (469 ITR 46), Revenue has categorically conceded that for AY 2015-16, all notices issued on or after 01.04.2021 are barred by limitation & must be dropped, as they cannot be completed within period prescribed under TOLA. This position was reaffirmed by SC in Deepak Steel & Power Ltd. (2025). Since notice u/s 148 in Assessee’s case was admittedly issued after 01.04.2021, ITAT held that entire reassessment was void ab initio. Consequently, final assessment order was quashed, rendering other grounds academic. Appeal was allowed in full.
FULL TEXT OF THE ORDER OF ITAT DELHI
This appeal has been preferred by the assessee against the Final Assessment Order dated 11.03.2025 passed by the Learned Assessing Officer (AO) under Section 147 read with Section 144C(13), of the Income-tax Act, 1961 (“the Act”), pursuant to the directions of the Hon’ble Dispute Resolution Panel-2, New Delhi (DRP) order dated 18.02.2025 for the Assessment Year 2015-16.
