Aggarwal Abhushan Private Limited Vs DCIT (ITAT Delhi)
AO issued notice u/s 148 on 27.07.2022 for AY 2016-17, pursuant to which reassessment was completed u/s 147 r.w.s. 144B on 17.05.2023. Assessee challenged the same before NFAC (CIT(A)), which dismissed the appeal vide order dated 21.01.2025.
Before ITAT, Assessee raised additional grounds contending that the 148 notice itself was time-barred, hence the reassessment lacked jurisdiction. Assessee contended that the extended limitation period expired on 21.06.2022 & Notice dated 27.07.2022 was beyond the permissible time limit u/s 149. Relied on SC rulings in Union of India v. Ashish Agarwal (444 ITR 1) & Union of India v. Rajeev Bansal (469 ITR 46). Placed reliance on Delhi HC decisions in Ram Balram Buildhome (477 ITR 133) & Kanwaljeet Kaur (171 taxmann.com 174).
Additional grounds were admitted by Tribunal relying on NTPC Ltd. (229 ITR 383 SC) since they went to the root of jurisdiction. Examining the timeline of limitation along with TOLA relaxations & SC rulings, the Bench held that the last valid date for issuance of notice u/s 148 was 21.06.2022. The subsequent notice dated 27.07.2022 was barred by limitation. Accordingly, the entire reassessment was held void ab initio.
FULL TEXT OF THE ORDER OF ITAT DELHI
