ACIT Vs Sanman Trade Impex Ltd. (Supreme Court of India)
The Bombay High Court, in petitions concerning reassessment proceedings, recorded the petitioners’ and Revenue’s agreement that the matters were covered by New India Assurance Co. Ltd. vs. Assistant Commissioner of Income Tax, Circle 3(2)(1), Mumbai & Ors. It accordingly quashed and set aside the impugned orders under Section 148A(d) and notices under Section 148 of the Income Tax Act, 1961, along with consequential notices or orders, while keeping all other rights and contentions open. Subsequently, the Supreme Court considered the Revenue’s Special Leave Petitions in ACIT Vs Sanman Trade Impex Ltd. The Court condoned the delay and allowed the exemption applications. It held that the SLPs were squarely covered by its judgment dated 03.10.2024 in Union of India & Ors. vs. Rajeev Bansal (Civil Appeal No.8629/2024 etc.), 2024 (11) Scale 473. The Revenue’s petitions were therefore disposed of, with the assessee to be governed by the reasons in that judgment. The assessing officers were directed to dispose of objections according to the law laid down by the Supreme Court, after which aggrieved assessees could pursue available rights and remedies, except on issues concluded by Rajeev Bansal. The supplied Supreme Court order does not expressly state that it affirmed or reversed the Bombay High Court order.
Read HC Judgment in this case: Bombay HC Quashes Section 148 Reassessment Orders & Notices Following Precedent
Cases Discussed
- Union of India & Ors. vs. Rajeev Bansal (Supreme Court), Civil Appeal No.8629/2024 etc., 2024 (11) Scale 473
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
1. Delay condoned.
2. Exemption Applications are allowed.
3. These Special Leave Petitions are squarely covered by the Judgment of this Court rendered on 3-10-2024 in “Union of India & Ors. vs. Rajeev Bansal” (Civil Appeal No.8629/2024 etc.) 2024 (11) Scale 473.
4. In view of the above, the petitions filed by the Revenue are disposed of. The assessee will be governed by reasons discussed in the said Judgment.
5. The assessing officers will dispose of the objections in terms of the law laid down by this Court. Thereafter, the assessee who is aggrieved will be at liberty to pursue all the rights and remedies in accordance with law, save and except for the issues which have been concluded in the Judgment.
6. Pending applications, if any, also stand disposed of.
