Case Law Details
Swati Viren Karani Vs ITO (Gujarat High Court)
The case of Swati Viren Karani Vs ITO involves a challenge to a notice issued under Section 148 by the Assessing Officer to reopen the assessment for the assessment year 2014-15. The court examined the validity of the notice based on the new provisions introduced by the Finance Act, 2021.
The Finance Act, 2021, introduced Section 148A and recast Section 149, altering the time limit for issuing notices for reopening assessments. The Supreme Court clarified that notices issued between 1-4-2021 and 30-6-2021 shall be deemed issued under Section 148A(b). However, the court emphasized that the amended provisions will not extend the time limit for notices that were time-barred under the old regime.
The Gujarat High Court ruled that all original notices under Section 148 issued between 1-4-2021 and 30-6-2021, related to assessment years 2013-14 and 2014-15, are deemed time-barred and illegal as per the provisions applicable in the old regime. The court quashed the notice and order for the assessment year 2014-15 accordingly.
FULL TEXT OF THE JUDGMENT/ORDER OF GUJARAT HIGH COURT
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