DCIT Vs Sh. Pranav Gupta (ITAT Delhi)
Summary: ITAT Delhi dismissed the Revenue’s appeal, holding that a notice under Section 148 issued in the name of a deceased assessee after his death was invalid. Since the limitation expired on 31 March 2016 and the assessee had already died on 2 October 2015, the Assessing Officer could not cure the defect by subsequently proceeding against the legal heir. The reassessment proceedings were held void ab initio.
Facts of the Case
The original assessee, Shri Vijay Kumar Gupta, filed his return of income on 22.07.2009 declaring total income of Rs.209,13,750/-. The return was processed under Section 143(1) of the Income Tax Act, 1961. The return disclosed long-term capital gain arising from sale of a house property situated at C169 Greater Kailash, New Delhi, with sale consideration of Rs.275,00,000/-.
Shri Vijay Kumar Gupta died on 02.10.2015. Thereafter, the Assessing Officer issued a notice under Section 148 on 31.03.2016 in his name. The son/legal heir, Shri Pranav Gupta, informed the Assessing Officer on 19.04.2016 that the notice had been issued in the name of a deceased person and requested that the proceedings be dropped. The legal heir reiterated the objection and requested the recorded reasons.
