Shivam Dealcom Private Limited Vs JCIT (Calcutta High Court)
In Shivam Dealcom Private Limited Vs JCIT, the Calcutta High Court examined the validity of reassessment proceedings initiated for Assessment Year 2015-16 through a show-cause notice dated 25 November 2025 issued under Section 148A(b) of the Income Tax Act, along with subsequent notices under Sections 148A(d) and 148 dated 29 January 2026.
The petitioner argued that the reassessment notices were invalid because Section 149 of the Income Tax Act had been amended with effect from 1 September 2024. According to the petitioner, after the amendment, a notice under Section 148 could not be issued after three years from the end of the relevant assessment year unless the conditions under Section 149(1)(b) were satisfied. The petitioner contended that for Assessment Year 2015-16, the limitation period had already expired and that there was no allegation or material showing escaped income of Rs. 50 lakh or more to invoke the extended limitation period of ten years.
The petitioner further relied on the Supreme Court judgment in Income Tax Officer & Anr. vs Sri Sai Kumar Mateti, which referred to the earlier Constitution Bench ruling in Union of India vs Rajeev Bansal. The Supreme Court had observed that if the matter related to Assessment Year 2015-16, the reassessment notices would be time-barred under the amended provisions.
