Assessee challenged a Section 148 reassessment notice issued beyond three years for alleged escaped income under Rs.50 lakh. The Court held the notice violated Section 149(1)(b) and allowed the petition in terms of prayer clause 'C'.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
2024:BHC-AUG:6489-DB
908-WP-1865-2023.odt
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
BENCH AT AURANGABAD
WRIT PETITION NO. 1865 OF 2023
Sunil Bhimashankar Walse
VERSUS
The Principal Chief Commissioner Of
Income Tax And Another
...
Mr. R. R. Chandak, Advocate for the Petitioner
Mr. A. M. Sharma, Advocate for Respondents
...
CORAM:RAVINDRA V. GHUGE &
R. M. JOSHI, JJ
DATE:MARCH 20, 2024
PER COURT :
1.The substantive prayer put-forth by the
Petitioner is in terms of clause ‘C’.
2.The only issue raised in this Petition is as
regards the escaped assessment of an amount, which is
less than Rs.50,00,000/- (Fifty Lakh). As regards the
issuance of a notice for reassessment or re-computation
under Section 147 of the Income Tax Act, 1961, it is
undisputed that the notice was issued under Section 148
of the Income Tax Act, 1961.
3.The Petitioner had filed the income tax
returns for the Assessment Year 2017-2018. Hence, the
grievance of the Petitioner is that the notice under
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908-WP-1865-2023.odt
Section 148 cannot be issued in the light of Section
149(1)(b) of the Income Tax Act, 1961, with reference
to the escaped assessment, if the notice is issued
beyond three years of the Assessment Year and if the
amount is less than Rs.50,00,000/- (Fifty Lakhs). A
notice in such peculiar circumstances could be issued
even within ten years, provided the escaped income is
more than Rs.50,00,000/- (Fifty Lakhs).
4.This issue is no longer res-integra. Despite
the vehement submissions of the learned Advocate Shri.
Sharma, for the Department, he is unable to indicate
from the record that the impugned notice was issued
within three years and that the amount of escaped
assessment was more than Rs.50,00,000/-.
5.Therefore, this Writ Petition is allowed in
terms of prayer Clause ‘C’.
(R. M. JOSHI, J) (RAVINDRA V. GHUGE, J)
Malani
Page 2 of 2
1 issue framed by the court
Whether a notice under Section 148 could be issued beyond three years for escaped assessment below Rs.50,00,000/- contrary to Section 149(1)(b).
3 provisions across 1 enactments
Sunil Bhimashankar Walse
The Principal Chief Commissioner of Income Tax
Ravindra V. Ghuge
R. M. Joshi
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court