Lok Developers Vs DCIT (Bombay High Court)
Notice Issued on Secondary E-Mail Id Despite Having Primary E-Mail Id and Email Id Mentioned in the Last Filed ITR is Liable to be Quashed- Hon. Bombay High Court
THE CONTROVERSY:
“Whether subsequent proceedings initiated by the revenue authorities for non-compliance of notice u/s 148 under the Income Tax Act would be vitiated on account of notice u/s 148 of the Act being served on the secondary email id registered with PAN instead of the registered primary email id or updated email id filed with the last Return of Income.”
FACTS OF THE CASE
1. That The assessee is a partnership firm challenging the reassessment notice u/s. dated 28th March 2021, for the Assessment Years (AY) 2015-16, 2016-17 and 2017-18.
2. hat the notice u/s. 148 was issued on the secondary email id as per PAN card i.e. on [email protected] and not on the registered primary email id i.e. [email protected].
3. That the last ITR filed by the petitioner was for AY 2020 – 21 and the email id mentioned thereon was [email protected]
ARGUMENTS OF THE ASSESSEE:
1. That the revenue ought not to have issued Notice u/s. 148 on the email-id mentioned in the Return of Income for AY 2013- 14 but on the last Return of Income filed by the petitioner.
2. That the notice under section 148 dated 28th March 2022 was in contravention of section 282 and 282A of the Act r.w. Rules 127 and 127A of the Income Tax Rules, 1962 w. notifications issued by the CBDT and consequently not in accordance with law.
3. That the revenue had not proved service on the petitioner which is a mandatory requirement and consequently the subsequent proceedings would be null and void.
4. That the assessee had refused to participate in proceedings that were ab initio null and void for want of valid service of notice.
RELEVENT PROVISIONS:
(A) Notification no. 2/2016 [DGIT(S)/DIT(S)-3/AST/PAPERLESS ASSESSMENT PROCEEDINGS/96/2015-16], dated 3-2-2016
Clause 2. Accordingly, Board vide Income-tax (18th Amendment) Rules, 2015 has notified rule 127 for Service of notice, summons, requisition, order and other communication on 2nd December 2015.
Sub-clause (b) of sub-rule (2) of rule 127 states that: For communications delivered or transmitted electronically –
