Case Law Details

Case Name : Kulwant Singh Vs Union of India And Others (Punjab and Haryana HC)
Appeal Number : CWP-18032-2022 (O&M)
Date of Judgement/Order : 23/08/2022
Related Assessment Year :

Kulwant Singh Vs Union of India And Others (Punjab and Haryana HC)

Challenge in writ petition before Punjab and Haryana High Court was to Notice under section 148 and subsequent order under section 148-A(d)  as well as CBDT Instructions No.1 of 2022 dated 11.05.2022.

The Hon’ble Division Bench of Hon’ble Justice Tejinder Singh Dhindsa and Hon’ble Justice Deepak Manchanda while hearing the arguments raised by Senior Advocate Radhika Suri that the initiation of proceedings by issuance of notice under section 148 A (d) for Assesement year 2013-14 are time barred and without jurisdiction in view of the proviso of Section 149 of The Income Tax Act as amended by the Finance Act 2021  has kept all further proceedings in abeyance till further orders.

FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT

Challenge in the instant petition is to notice dated 13.04.2021 (Annexure P-1) pertaining to assessment year 2013-2014; notice dated 17.05.2022 (Annexure P-8) – treating the earlier notice to be under Clause (b) of Section 148-A of the Act; order dated 28.07.2022 (Annexure P-18) passed under Section 148-A(d) of the Income Tax Act 1961 and all consequential proceedings thereto.

Learned Senior counsel would submit that as per ratio laid down by the Apex Court in the cases of Union of India & others Vs. Ashish Agarwal decided on 04.05.2022  all defences including the defence under Section 149 of the Act were available to the assessee even if the notice under Section 148 was treated as a notice under Section 148-A of the Act.

It is argued that the proceedings pertaining to assessment year 2013-2014 are time barred by virtue of the proviso to Section 149 of the Income Tax Act.

The proviso to Section 149 specifically provides that no notice under Section 148 shall be issued if such notice could not have been issued at that time on account of being beyond the time limit specified under the provisions of Sub Section (1) (b) of the Section as it stood immediately before the commencement of Finance Act 2021 as such in terms of proviso to Section 149 as amended w.e.f. 01.04.2021 since more than 06 years had elapsed from the end of assessment year 2013-2014 on 31.03.2020, the re-assessment notice for assessment year 2013-2014 could not be issued.

It is vehemently asserted that the initiation of proceedings by issuance of notice under Section 148 A (d) for assessment year 2013-2014 are wholly without jurisdiction and are time barred.

Further contended that the department is purportedly proceeding on the basis of CBDT instructions dated 11.05.2022 (Annexure P-7) which in turn proceed directly in the teeth of the dictum laid down by Hon’ble Supreme Court in Ashish Agarwal (supra) and on a clear misleading thereof. On such ground a challenge to such circular dated 11.05.2022 at Annexure P-7 has also been raised in the instant petition.

Notice of motion returnable for 13.12.2022.

Mr. Vaibhav Gupta, Junior Standing Counsel, accepts notice on behalf of respondents No.2 and 3 and waives service.

A complete copy of the writ paper-book already stands furnished.

Further proceedings in the matter shall be kept in abeyance till further orders.

Download Judgment/Order

Author Bio

Qualification: LL.B / Advocate
Company: N/A
Location: Chandigarh, Chandigarh, India
Member Since: 27 Aug 2022 | Total Posts: 1

Join Taxguru’s Network for Latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Whatsapp

taxguru on whatsapp GROUP LINK

Join us on Telegram

taxguru on telegram GROUP LINK

Review us on Google

More Under Income Tax

Leave a Comment

Your email address will not be published. Required fields are marked *

Search Posts by Date

September 2022
M T W T F S S
 1234
567891011
12131415161718
19202122232425
2627282930