SMT. Sowmya S Vs ITO (Karnataka High Court)
The Karnataka High Court recently passed a significant judgment in the case of SMT. Sowmya S Vs ITO, emphasizing that assessment orders passed against deceased individuals are null and void. The petitioner, SMT. Sowmya S, challenged the validity of multiple assessment and penalty orders issued under various sections of the Income Tax Act, 1961. The primary contention was that these orders were issued after the petitioner’s death, rendering them legally untenable.
Case Background: The petitioner passed away on 21st May 2022, as evidenced by the Death Certificate. However, the Income Tax Department proceeded with issuing notices and orders under Sections 147, 148, and 148A of the Act even after the petitioner’s demise. The critical dates are as follows:
- Notice under Section 148A(b) and the order under Section 148A(d) were issued while the petitioner was still alive.
- Subsequent proceedings and the assessment order were carried out ex-parte after the petitioner’s death.
Legal Provisions and Arguments: Section 159(2)(a) of the Income Tax Act stipulates that any proceeding against a deceased person should continue against their legal representative from the point where it was left at the time of death. The petitioner argued that the Income Tax Department failed to adhere to this provision, as the assessment order and related notices were issued in the name of the deceased without involving the legal representatives.
