SLP Filed Only to Get SC Stamp Dismissed Due to 426-Day Delay & Vague Explanation

ACIT Vs Adani Power Limited (Supreme Court of India)

The Special Leave Petition before the Supreme Court of India arose from a judgment dated 05.08.2024 passed by the Gujarat High Court, by which the High Court had quashed a reassessment notice issued under Section 148 of the Income-tax Act, 1961, dated 31.03.2021, along with the order rejecting the assessee’s objections to the reopening.

Read Gujarat High Court Judgment: Gujarat HC Quashed Reopening Due to Absence of Fresh Tangible Material

The Supreme Court noted at the outset that the High Court’s decision on merits did not warrant any interference. The Court further observed that the Special Leave Petition had been filed with an inordinate delay of 426 days. The explanation offered for the delay, attributing it to departmental and administrative procedures, was held to be vague and unacceptable. The Court found that no case for condonation of delay was made out and accordingly dismissed the petition both on the ground of delay as well as on merits. All pending applications were also disposed of.

The High Court proceedings originated from a writ petition challenging a reassessment notice issued for Assessment Year 2014–15. The assessee company was engaged in developing, operating, and maintaining power projects and sale of power. It had filed its return of income for the relevant year declaring losses under normal provisions as well as under Section 115JB. The case was selected for scrutiny, during which several notices and questionnaires were issued and duly responded to by the assessee.