ACIT Vs Wave Silver Tower Private Limited (Supreme Court of India)
In ACIT Vs Wave Silver Tower Private Limited, the Supreme Court of India dismissed the Special Leave Petition filed by the Revenue against the decision of the Delhi High Court, both on the ground of delay and on merits. The Court noted a gross delay of 411 days in filing the petition, which was not satisfactorily explained, and therefore declined to entertain it. Additionally, the Court found no reason to interfere with the High Court’s judgment.
Read HC Judment in this case: Delhi HC Quashed Reassessment Notice as Issued Beyond Six-Year Limitation Period
The High Court had examined the validity of a reassessment notice issued under Section 148 of the Income Tax Act, 1961 for Assessment Year 2016–17, along with related proceedings under Sections 148A(b) and 148A(d). The petitioner contended that the notice, issued on 30.08.2024, was barred by limitation. Reliance was placed on judicial precedents, including a Supreme Court ruling, which clarified that reassessment notices under the new regime cannot be issued if the limitation period under the old regime had already expired.
Applying this principle, the High Court held that the six-year limitation period for AY 2016–17 expired on 31.03.2022. Since the notice was issued after this date, it was time-barred. The Revenue was unable to counter this position. Consequently, the High Court set aside the reassessment notice and allowed the petition.
