Sama Sangeeta Reddy Vs DCIT (ITAT Hyderabad)
Summary: The assessee, Sama Sangeeta Reddy, filed an appeal against the order dated 21.02.2025 of the CIT(A), Hyderabad-11, relating to AY 2016-17. The appeal challenged, among other matters, an addition of Rs.1,73,39,000/- under section 56(2)(vii)(b) of the Income Tax Act, 1961. The reassessment originated from a notice dated 31.03.2021 under section 148, which the assessee contended was actually issued and served on 01.04.2021 through the Department’s ITBA/e-mail system.
The assessee argued that once the notice was issued after 01.04.2021, the amended reassessment regime under sections 148 and 148A applied. The assessee relied on the ITBA screenshot and Department e-mail showing transmission on 01.04.2021 at 6.03 hours, and contended that the Assessing Officer had not followed the procedure under section 148A or obtained the sanction required under section 151. Reliance was placed on Kalyan Chillara v. DCIT, the Supreme Court decision in Additional/Joint/Deputy/Assistant Commissioner of Income Tax/Income Tax Officer v. Anantha Reddy Pannala and the Hyderabad ITAT decision in Iqbal Ali Jaweed.
The Revenue contended that the notice had been digitally signed by the Assessing Officer on 31.03.2021 at 6.40 hours and was automatically transmitted to ITBA for onward e-mail delivery. According to the Revenue, the subsequent e-mail delivery on 01.04.2021 did not change the issuance date. The Revenue therefore maintained that the old reassessment regime applied and that approval from the Principal Commissioner was valid.
