Great Getsby Club of India Vs ITO (ITAT Delhi)
Reopening Without Reasons Is Void: Delhi ITAT Quashes 148 Notice Issued Before Recording Satisfaction
Reasons First, Notice Later—ITAT Pulls Plug on Illegal Reopening- 148 Issued Before Satisfaction? Reassessment Non Est
Delhi ITAT ‘SMC’ Bench in The Great Getsby Club of India Vs. ITO [ITA No. 7144/Del/2025, AY 2014-15, order dated 16.12.2025] allowed Assessee’s appeal and quashed reassessment proceedings where notice u/s 148 was issued prior to recording reasons and obtaining statutory approval. Tribunal noted that notice u/s 148 was issued on 19.01.2016, whereas reasons were recorded and approval of JCIT was obtained only on 17.03.2016. CIT(A) sought remand report but failed to adjudicate this jurisdictional defect. Tribunal held that on the date of issuance of notice, AO lacked subjective satisfaction, rendering the reopening without jurisdiction. Relying on PCIT Vs. Tata Sons Ltd. (SC), Tribunal reiterated that reasons must precede issuance of notice and reopening cannot be done in a casual or routine manner. Consequently, notice u/s 148 and all subsequent proceedings were held vitiated and quashed.
FULL TEXT OF THE ORDER OF ITAT DELHI
This appeal by the assessee is directed against the order of Commissioner of Income Tax (Appeals)-29, New Delhi [in short ‘the CIT(A)’] dated 16.10.2025, for the Assessment Year 2014-15.
