S.159 applies when reassessment notice was issued during lifetime of deceased assessee

Late Sh. Lal Chand Verma Vs Union of India & Anr. (Delhi High Court)

Conclusion: Sine qua non for acquiring jurisdiction to reopen an assessment was that notice under section 148 should be issued to a correct person and not to a dead person. Moreso, section 159 was applicable when proceedings were initiated and pending against an assessee during their lifetime, and the legal representative assumed responsibility after the assessee’s death.

Held: In the instant case, the original assessee Lal Chand Verma passed away on 30 July 2021.

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