ITO Vs Preethi V (Karnataka High Court)
Karnataka High Court held that Assessment Order and other proceedings taken up against the deceased are all null & void. Also held that proceedings initiated against deceased person by issuing notice after demise cannot be continued against the legal representative.
Facts- The Assessing Authority received information that the Assessee Smt. Ramanatha Gurulakshmi had huge cash deposits and that during the Assessment Year 201617 she had made transactions pertaining to immovable properties and further that she had not filed her Returns of Income declaring interest from the deposits and capital gains. A notice dated 31.01.2023 was issued to her u/s. 148A(b) of the Income Tax Act, 1961.
As no reply was filed to the above notices, order u/s.148A(d) came to be passed on 11.03.2023 and further notice u/s.148 also was issued directing the Assessee to file her returns. This was followed by statutory notice dated 15.11.2023 issued u/s.142(1) by Speed Post. However, the same went back unserved with a postal shara ‘Deceased’.
Petitioner mainly challenges the above Assessment Order, Computation Sheet, Notice of Demand & Notice of Penalty mainly on the ground that, all they were generated against a dead person and consequently were liable to be treated as null & void. The learned Single Judge vide order dated 19.06.2024 agreed with this and granted relief to him. Aggrieved thereby, this Intra-Court Appeal is preferred.
