Sheetal Dhamreshbhai Patel Vs ITO (Gujarat High Court)
Gujarat High Court held that reopening of assessment by issuance of notice under section 148 issued beyond the surviving time limit as prescribed under Income Tax Act read with TOLA is barred by limitation. Accordingly, notice is quashed and writ petition allowed.
Facts- By this petition under Article 226/227 of the Constitution of India, the petitioner has challenged assessment order dated 29.07.2022 passed by Respondent No.1 under Section 148A(d) of the Income Tax Act, 1961 which inter alia propose to re-open the assessment.
Conclusion- Held that there is a notice dated 30.6.2021, only one day time was left for the issuance of the notice under Section 148 after granting 14 days time to the assessee from the decision of Union of India v. Ashish Agarwal, the date of issuance of the notice under Section 148 would be 17.6.2022, whereas in the facts of the case the notice under Section 148 is issued on 29.7.2022 and as such the notice dated 30.6.2021 would be an invalid notice. In the result, the petition succeeds only on this ground. The impugned notice dated 29.7.2022 as well as notice dated 30.6.2021 are hereby quashed and set-aside. Rule is made absolute to the aforesaid extent. No order as to costs.
