Case Law Details
Vivek R. Vs ITO (Karnataka High Court)
The Karnataka High Court set aside the entire reassessment proceedings for AY 2020–21 on the fundamental ground that the notice under Section 148A(b) was issued in the name of a deceased person. The Court noted that the assessee had passed away prior to issuance of the notices, and this fact was supported by the death certificate placed on record. It held that any proceedings initiated against a dead person are void ab initio and have no legal validity. Consequently, not only were the notices under Section 148A(b) quashed, but also all subsequent proceedings including the order under Section 148A(d), assessment order and penalty orders were set aside. At the same time, the Court granted liberty to the Department to initiate fresh proceedings in accordance with law against the legal representatives, thereby keeping the merits of the case open.
FULL TEXT OF THE JUDGMENT/ORDER OF KARNATAKA HIGH COURT
The petitioner has sought for setting aside of the notices under Section 148A(b) of the Income Tax Act, 1961 (for short ‘the Act’) dated 09.03.2024 and 18.03.2024 at Annexures-B and C respectively. The petitioner has also called in question the validity of the consequential proceedings including the assessment order as well as the orders of penalty.
2. It is the case of the petitioner that the notice under 148A(b) was issued in the name of Ramakrishnappa who is the father of the petitioner and the first of such notices was issued on 09.03.2024 at Annexure-B, followed by further notice on 18.03.2024 at Annexure-C. It is however submitted that the petitioner’s father Late Ramakrishnappa, to whom notice was issued, passed away on 20.10.2023 and accordingly, notice to the dead person being void, all further proceedings pursuant to the notice under Section 148A(b) are non-est and required to be set aside.
3. Perused the certificate at Annexure-A. In light of the uncontroverted fact regarding the date of death of Ramakrishnappa being on 20.10.2023, the proceedings by way of notices at Annexures-B and C and the subsequent proceedings being conducted against a dead person is void in the eye of law and accordingly, petition is required to be allowed.
4. In light of the facts made out, the notices at Annexures-B and C and subsequent proceedings as culminated in Annexures-D, H, J, K, L and M are set aside. Liberty is reserved to the respondents to initiate proceedings regarding the subject matter of the notice under Section 148A(b) of the Act, as is permissible in law. All contentions on merits are kept open.
Accordingly, petition is disposed of.
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