Case Law Details
Maruti Clean Coal & Power Ltd Vs. ACIT (Chhattisgarh High Court)
When we refer to Section 151(1) the proviso therein, specifically deals with the Chief Commissioner or the Commissioner to be satisfied on the reasons recorded by the Assessing officer for issuance of a notice after the expiry of 4 years from the end of the relevant assessment year. It is this what is missing in the instant case. There can be no dispute as regards the requirement of Act to be strictly complied with. In the absence of the non-compliance of the statutory requirement as is required for issuance of a notice under Section 148, particularly when it is being issued beyond the period of 4 years, then the notice and the proceedings initiated stands vitiated for want of specific sanction as is required under the proviso to Section 151(1).
Issuance of notice under Section 148 at the first instance itself was without a proper sanction as is required under the proviso to Section 151(1) of the Income Tax Act. We need not go into the veracity and merits of the case any further at this stage. Leaving open the issue on merits, the present notice under Section 148 stands set-aside/ quashed only on account of non fulfillment of the condition precedent as is envisaged under the of the proviso to section 151(1) of the Income Tax Act. The writ petition stands allowed only on this ground alone.
FULL TEXT OF THE HIGH COURT JUDGMENT / ORDER IS AS FOLLOWS:-
1. With the consent of the parties the matter was heard at motion stage.
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