Disposed

Sushma Goel v. Income Tax Officer, Ward 59(6), Delhi & Ors.

Delhi HC5 Jan 2024W.P.(C)/720/2023

Case brief

AI extract

What is this about?

Batch of writ petitions concerning AY 2016-17 and AY 2017-18 challenged reassessment notices issued without approval of the authority specified in Section 151(ii), following the Finance Act 2021 amendment. The Court held prior approval from the correct specified authority is mandatory and quashed the impugned notices and orders.

What did the court decide?

Impugned notices and orders quashed for want of approval by specified authority under Section 151(ii); liberty to revenue to proceed afresh as per law.

Sushma Goel Vs Income Tax Officer, Ward 59(6), Delhi & Ors. — Income Tax | Delhi HC (2024)

¶1

$~ SB-1 to 18, 20 to 29, 31 to 34, 36, 37, 39 to 76, 78 to 84, 86 to 93, 96 to 109

¶2

IN THE HIGH COURT OF DELHI AT NEW DELHI

¶3

% Decision delivered on: 05.01.2024

¶4

- W.P.(C) 16524/2022

¶5

TWYLIGHT INFRASTRUCTURE PVT LTD ..... Petitioner versus

¶6

INCOME TAX OFFICER WARD 25 3 DELHI AND ORS. ..... Respondents

¶7

- W.P.(C) 119/2023

¶8

ARUN GARG ..... Petitioner

¶9

versus

¶10

INCOME TAX OFFICER WARD 35 1 DELHI ..... Respondent

¶11

- W.P.(C) 387/2023

¶12

R.P. BASIA & CO. ..... Petitioner

¶13

versus INCOME TAX OFFICER WARD 34(1) NEW DELHI... Respondent + W.P.(C) 720/2023

¶14

SUSHMA GOEL ..... Petitioner

¶15

versus

¶16

INCOME TAX OFFICER, WARD 59(6), DELHI & ORS. ..... Respondents

¶17

- W.P.(C) 992/2023

¶18

ADA NEWS IN SHORTS PVT LTD ..... Petitioner Versus

¶19

ASSISTANT COMMISSIONER OF INCOME TAX & ORS. ..... Respondents

¶20

W.P.(C)No.16524/2022 & connected matters Page 1 of 28

¶21

Signature Not Verified

¶22

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶23

+	W.P.(C) 1006/2023
	ABHINAV JINDAL	..... Petitioner
	versus
	ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 52 1 DELHI	..... Respondent
+	W.P.(C) 1543/2023
	MANGLA GUPTA	..... Petitioner
	versus
	INCOME TAX OFFICER, WARD 36(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 1566/2023
	VANITA GULATI	..... Petitioner
	versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 49(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 1705/2023
	SMT. SANTOSH GARG versus	..... Petitioner
	INCOME TAX OFFICER, WARD 58(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 1813/2023
	RAHUL GOEL	..... Petitioner
	versus ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 43(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 1938/2023
	MS RAMSONS	..... Petitioner
	versus
	ASSISTANT COMMISSIONER OF INCOME

¶24

W.P.(C)No.16524/2022 & connected matters Page 2 of 28

¶25

Signature Not Verified

¶26

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶27

TAX CIRCLE 49 (1) DELHI ..... Respondent

¶28

W.P.(C) 1974/2023 MS RAMSONS ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 49 (1) DELHI ..... Respondent + W.P.(C) 2047/2023 E-SQUARE ALLIANCE PVT. LTD. ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 7(1), DELHI & ORS. ..... Respondents + W.P.(C) 2449/2023 RAJEEV GOEL HUF ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 43(1), DELHI & ORS. ..... Respondents + W.P.(C) 2558/2023 ASP DEVELOPERS PRIVATE LIMITED ..... Petitioner versus ITO WARD 1 (1) NEW DELHI & ANR. ..... Respondents

¶29

W.P.(C) 2631/2023 SANTOSH INFRATECH PRIVATE LIMITED ..... Petitioner versus INCOME TAX OFFICER, WARD 22(3), DELHI & ORS. ..... Respondents

¶30

Signature Not Verified

¶31

W.P.(C)No.16524/2022 & connected matters Page 3 of 28

¶32

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶33

+	W.P.(C) 2735/2023 NALINI GULATI	..... Petitioner
	versus
	INCOME TAX OFFICER, WARD 70(1),
	DELHI & ORS.
	..... Respondents
+	W.P.(C) 2812/2023
	SANGITA GARG	..... Petitioner
	versus INCOME TAX OFFICER, WARD 59(3),
	DELHI & ORS.	..... Respondents
+	W.P.(C) 2862/2023
	ARCHNA KHATRI	..... Petitioner
	versus
	ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 28(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 2874/2023 & CM Appl.11170/2023
	GAMUT COMMERCIALS PRIVATE LIMITED versus ITO WARD 10 (1) NEW DELHI & ANR.	..... Petitioner ..... Respondents
+	W.P.(C) 2876/2023
	SRKK ASSOCIATES PRIVATE LIMITED	..... Petitioner
	versus
	ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 22(2), DELHI & ORS.	..... Respondents
+	W.P.(C) 2898/2023
	KHANNA COIR PRODUCTS LIMITED versus	..... Petitioner
	INCOME TAX OFFICER, WARD 14(3),
	DELHI & ORS. .	.... Respondents

¶34

W.P.(C)No.16524/2022 & connected matters Page 4 of 28

¶35

Signature Not Verified

¶36

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶37

W.P.(C) 2967/2023 BRIJ MOHAN BARWAL ..... Petitioner

¶38

versus

¶39

ITO WARD 61 (1) NEW DELHI & ANR.

¶40

..... Respondents

¶41

- W.P.(C) 3001/2023

¶42

OSS INFOCOM PRIVATE LIMITED ..... Petitioner

¶43

versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 19(1) DELHI & ANR. ..... Respondents

¶44

¶45

W.P.(C) 3009/2023

¶46

SONIA BARWAL ..... Petitioner

¶47

versus

¶48

ITO WARD 61 (1) NEW DELHI & ANR. ..... Respondents

¶49

- W.P.(C) 3160/2023

¶50

ALOK INFRA.BUILDERS PRIVATE LIMITED ..... Petitioner

¶51

versus

¶52

UNION OF INDIA & ORS. ..... Respondents

¶53

- W.P.(C) 3171/2023

¶54

ISRAR ALI KHAN ..... Petitioner

¶55

versus

¶56

ITO WARD 28 (5) NEW DELHI & ANR. ..... Respondents

¶57

W.P.(C) 3295/2023 & CM Apl.12817/2023 VIJAY KHEMKA ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 58(1) DELHI & ORS. ..... Respondents

¶58

Signature Not Verified

¶59

W.P.(C)No.16524/2022 & connected matters Page 5 of 28

¶60

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶61

W.P.(C) 3335/2023 VISHAL JEWELLERS ..... Petitioner

¶62

versus ACIT CIRCLE 43(1) DELHI & ANR. . .... Respondents + W.P.(C) 3338/2023 SAURAV BANSAL ..... Petitioner

¶63

versus ITO WARD 43(6) DELHI & ANR. ..... Respondents

¶64

W.P.(C) 3414/2023 AZAM AHMED ..... Petitioner versus INCOME TAX OFFICER, WARD 46(1), DELHI & ORS. ..... Respondents

¶65

W.P.(C) 3546/2023 KAILASH RANI ..... Petitioner

¶66

versus INCOME TAX OFFICER WARD 60(1) & ANR. ..... Respondents + W.P.(C) 3677/2023

¶67

RAKESH SINGLA HUF ..... Petitioner

¶68

versus INCOME TAX OFFICER, WARD 58 -3 DELHI ..... Respondent + W.P.(C) 3678/2023

¶69

SUDERSHAN KUMAR SINGLA HUF ..... Petitioner versus INCOME TAX OFFICER, WARD 58 - 3 DELHI ..... Respondent

¶70

W.P.(C)No.16524/2022 & connected matters Page 6 of 28

¶71

Signature Not Verified

¶72

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶73

W.P.(C) 3877/2023

¶74

DEEPTI AHLAWAT ..... Petitioner

¶75

versus INCOME TAX OFFICER, WARD 29-1 & ORS. ..... Respondents + W.P.(C) 3880/2023

¶76

BHARAT BHUSHAN ..... Petitioner versus ACIT, CIRCLE 43(1), DELHI & ANR. ..... Respondents + W.P.(C) 3881/2023

¶77

ATUL SINGLA HUF ..... Petitioner versus ITO WARD 43(6) DELHI & ANR. ..... Respondents

¶78

W.P.(C) 3882/2023 SAURAV BANSAL ..... Petitioner versus ITO WARD 43(6) DELHI & ANR. ..... Respondents

¶79

- W.P.(C) 3893/2023 & CM Nos.15110-11/2023

¶80

NITIN SAXENA ..... Petitioner

¶81

versus INCOME TAX OFFICER, WARD 49-1, DELHI ..... Respondent + W.P.(C) 3894/2023, CM Nos.15112/2023 & 42622/2023

¶82

NEERAJ SINGLA ..... Petitioner

¶83

versus ITO WARD 43(6) DELHI & ANR. ..... Respondents + W.P.(C) 3896/2023 & CM No.30261/2023 ANURADHA KHAN ..... Petitioner

¶84

versus

¶85

INCOME TAX OFFICER WARD 28(5) & ANR. ..... Respondents

¶86

W.P.(C)No.16524/2022 & connected matters Page 7 of 28

¶87

Signature Not Verified

¶88

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶89

W.P.(C) 3997/2023 & CM No.743/2024 C.E. INFO SYSTEMS LIMITED ..... Petitioner versus DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 4(2), NEW DELHI AND ORS ..... Respondents + W.P.(C) 4001/2023 RAKESH KUMAR VERMA ..... Petitioner versus DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 4(2), NEW DELHI AND ORS ..... Respondents + W.P.(C) 4003/2023 & CM No.15556/2023 SACHIT KUMAR SAHIJPAL ..... Petitioner versus ASSISTNAT COMMISSIONER OF INCOME TAX, CIRCLE 49 1 DELHI AND ANR ..... Respondents + W.P.(C) 4177/2023 MOHAMMAD SHAFIQUDDIN ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 46(1), DELHI & ORS. ..... Respondents + W.P.(C) 4342/2023 CHELSEA BLOCKS AND PIPES PRIVATE LIMITED..... Petitioner versus DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 4(2), DELHI & ORS. ..... Respondents + W.P.(C) 4369/2023 & CM Appl.16844/2023 DEVSHI EARTHMOVERS PRIVATE LIMITED ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CENTRAL

¶90

W.P.(C)No.16524/2022 & connected matters Page 8 of 28

¶91

Signature Not Verified

¶92

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶93

CIRCLE-8, DELHI & ANR. ..... Respondents

¶94

W.P.(C) 4377/2023 MK JAIN HUF ..... Petitioner versus INCOME TAX OFFICER, WARD 44(1), DELHI & ORS. ..... Respondents + W.P.(C) 4403/2023 JYOTI GUPTA ..... Petitioner versus INCOME TAX OFFICER WARD 44(6) NEW DELHI ..... Respondent + W.P.(C) 4440/2023 RAJEEV KUMAR CHAHAL ..... Petitioner versus INCOME TAX OFFICER WARD 44(6), DELHI AND ORS. ..... Respondents + W.P.(C) 4443/2023 ROOP DIAMOND HOUSE PRIVATE LIMTED ..... Petitioner versus INCOME TAX OFFICER & ANR. ..... Respondents + W.P.(C) 4487/2023 & CM Appl.17171/2023 MANOJ MITTAL ..... Petitioner versus UNION OF INDIA & ORS. ..... Respondents + W.P.(C) 4564/2023 & CM Appl.17379/2023 ANJANI STEELS LIMITED ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 1(1), DELHI & ORS. ..... Respondents

¶95

Signature Not Verified

¶96

W.P.(C)No.16524/2022 & connected matters Page 9 of 28

¶97

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶98

+	W.P.(C) 4573/2023 & CM Appl.17413/2023
	S A S FININVEST LLP	..... Petitioner
	versus INCOME TAX OFFICER WARD 30(5), DELHI & ORS.	..... Respondents
+	W.P.(C) 4607/2023 & CM Appl.17593/2023
	SHIV KUMAR GOEL	..... Petitioner
	versus ASSISTANT COMMISSIONER OF INCOME T DELHI & ANR.	AX CIRCLE 22(2) ..... Respondents
+	W.P.(C) 4614/2023 & CM Appl.17601/2023
	TANAY GAUR versus INCOME TAX OFFICER WARD 50(1) & ORS.	..... Petitioner ..... Respondents
+	W.P.(C) 4636/2023 & CM Appl.17731/2023
	UMA GOEL versus ASSISTANT COMMISSIONER OF INCOME T DELHI & ANR.	..... Petitioner AX CIRCLE 22(2) ..... Respondents
+	W.P.(C) 5121/2023 & CM Appl.20030/2023
	KRBL LIMITED. versus DEPUTY COMMISSIONER OF INCOME TAX ORS.	..... Petitioner CIRCLE 13-1 & ..... Respondents
+	W.P.(C) 5231/2023 & CM Appl.33987/2023
	RITIKA GARG	..... Petitioner
	versus
	ACIT, CIRCLE 43(1) DELHI & ANR.	..... Respondents
+	W.P.(C) 5531/2023 & CM Appl.21637/2023
	NEERU JAIN	..... Petitioner

¶99

W.P.(C)No.16524/2022 & connected matters Page 10 of 28

¶100

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶101

versus

¶102

INCOME TAX OFFICER WARD 29(1), DELHI & ORS. ..... Respondents + W.P.(C) 5642/2023 & CM Appl.22121/2023 UPENDRA GULATI AND SONS HUF ..... Petitioner versus INCOME TAX OFFICER, WARD 30(5), DELHI & ORS. ..... Respondents + W.P.(C) 5973/2023 & CM Appl.23465/2023 VARUN DAHIYA ..... Petitioner versus INCOME TAX OFFICER WARD 34(5) & ORS. ..... Respondents + W.P.(C) 5978/2023 & CM Appl.23474/2023 PARVEEN DEVI ..... Petitioner versus INCOME TAX OFFICER WARD 44-1 & ORS. ..... Respondents + W.P.(C) 5990/2023 & CM Appl.23498/2023 VARUN DAHIYA ..... Petitioner versus INCOME TAX OFFICER WARD 34(5) & ORS. ..... Respondents + W.P.(C) 6182/2023 & CM Appl.24308/2023 GEETU BHATIA ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 43(1), DELHI & ORS. ..... Respondents + W.P.(C) 6252/2023 & CM Appl.24583/2023 WELCOME SHOES PVT. LTD. ..... Petitioner

¶103

W.P.(C)No.16524/2022 & connected matters Page 11 of 28

¶104

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶105

versus INCOME TAX OFFICER, WARD-27(1), DELHI & ORS. ..... Respondents

¶106

- W.P.(C) 6256/2023, CM Nos.24591/2023 & 742/2024

¶107

SANDEEP PAHWA ..... Petitioner versus INCOME TAX OFFICER WARD 35(1), DELHI & ORS. ..... Respondents + W.P.(C) 6436/2023 & CM Appl.25325/2023 NARULA CHEMIST AGENCIES ..... Petitioner versus ACIT, CIRCLE - 34(1) DELHI & ANR. ..... Respondents + W.P.(C) 6440/2023 & CM Appl.25332/2023, 33986/2023 SANGEETA SAHNI ..... Petitioner versus INCOME TAX OFFICER & ANR. ..... Respondents + W.P.(C) 6450/2023 & CM Appl.25355/2023 DEVSHI EARTHMOVERS PRIVATE LIMITED ..... Petitioner versus DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 8 & ORS. ..... Respondents + W.P.(C) 6453/2023 OPEN ONLINE SECURITIES PVT. LTD. ..... Petitioner versus ASSISTANT COMMISIONER OF INCOME TAX CIRCLE-19(1), NEW DELHI & ANR. ..... Respondents + W.P.(C) 6532/2023 & CM Appl.25657/2023 NITIN GARG ..... Petitioner versus

¶108

W.P.(C)No.16524/2022 & connected matters Page 12 of 28

¶109

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶110

INCOME TAX OFFICER WARD 43(1) DELHI ..... Respondent + W.P.(C) 6543/2023 & CM Appl.25674/2023 GAURAV KUMAR KHANNA ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME-TAX CIRCLE 70-1 DELHI ORS. ..... Respondent + W.P.(C) 6633/2023 & CM Appl.26032/2023 HARSH VARDHAN BANSAL ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 43(1), NEW DELHI & ANR. ..... Respondents + W.P.(C) 6644/2023 & CM Appl.26056/2023 M/S ATULYA REALTY VENTURES PRIVATE LIMITED ..... Petitioner versus COMMISSIONER OF INCOME TAX & ORS. ..... Respondents + W.P.(C) 6656/2023 & CM Appl.26078/2023 AKHIL SINGLA ..... Petitioner versus ACIT CIRCLE 19(1), DELHI & ANR. ..... Respondents + W.P.(C) 6657/2023 & CM Appl.26080/2023 MEENU BANSAL ..... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 43(1), NEW DELHI & ANR. ..... Respondents

¶111

W.P.(C)No.16524/2022 & connected matters Page 13 of 28

¶112

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶113

+ W.P.(C) 6660/2023 & CM Appl.26086/2023 MAHIPAL SINGH ..... Petitioner

¶114

versus

¶115

INCOME TAX OFFICER WARD 68 5 DELHI ..... Respondent + W.P.(C) 6668/2023 & CM Appl.26112/2023 SANDHAR TECHNOLOGIES LIMITED ..... Petitioner

¶116

versus

¶117

ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 10(1), NEW DELHI & ORS. ..... Respondents

¶118

+ W.P.(C) 6794/2023 & CM Appl.26541/2023

¶119

VK GLOBAL PUBLICATIONS PRIVATE LIMITED.... Petitioner versus ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 25(1), DELHI & ANR. ..... Respondents

¶120

W.P.(C) 6894/2023 & CM Appl.26875/2023 KAPIL GARG ..... Petitioner

¶121

versus

¶122

INCOME TAX OFFICER WARD 43(6) DELHI ..... Respondent W.P.(C) 6967/2023, CM Nos.27136/2023 & 741/2024 RAJESH GUPTA ..... Petitioner

¶123

- W.P.(C) 6967/2023, CM Nos.27136/2023 & 741/2024

¶124

versus

¶125

ITO WARD 35 (1) DELHI & ANR. ..... Respondents

¶126

- W.P.(C) 6981/2023 & CM Appl.27176/2023

¶127

M/S CHANDRAMAULI BUILDCON PRIVATE LIMITED ..... Petitioner

¶128

versus

¶129

INCOME TAX OFFICER WARD-6(1), DELHI ..... Respondent

¶130

W.P.(C)No.16524/2022 & connected matters Page 14 of 28

¶131

Signature Not Verified

¶132

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶133

+	W.P.(C) 7046/2023 & CM Appl.27413/2023
	TIA ENTERPRISES PVT LTD .... versus	. Petitioner
	INCOME TAX OFFICER WARD, 25(3) DELHI ....	. Respondent
+	W.P.(C) 7050/2023 & CM Appl.27421/2023
	SONAM GARG .... versus	. Petitioner
	INCOME TAX OFFICER WARD 34(1) DELHI & ANR. ....	. Respondents
+	W.P.(C) 7085/2023 & CM Appl.27582, 35438/2023
	DHAWAN EXIM PRIVATE LIMITED .... versus	. Petitioner
	ASSISTANT COMMISSIONER OF INCOME TAX, DELHI & ANR. ....	CIRCLE-7(1), . Respondents
+	W.P.(C) 7096/2023 & CM Appl.27617/2023
	KATHURIA CASTINGS PRIVATE LIMITED .... versus	. Petitioner
	INCOME TAX OFFICER & ORS. ....	. Respondents
+	W.P.(C) 7145/2023 & CM Appl.27869/2023
	VIKAS SPOOL PVT.LTD .... versus	. Petitioner
	INCOME TAX OFFICER, WARD-26(3) ....	. Respondent
+	W.P.(C) 7146/2023 & CM Appl.27871/2023
	ROOP DIAMOND HOUSE PRIVATE LIMITED .... versus	. Petitioner
	INCOME TAX OFFICER WARD 21-1 DELHI & ANR. ....	. Respondents

¶134

W.P.(C)No.16524/2022 & connected matters Page 15 of 28

¶135

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶136

+	W.P.(C) 7169/2023 & CM Appl.27935/2023
	KASHISH AGGARWAL versus	..... Petitioner
	INCOME TAX OFFICER, WARD 36(1), DELHI & ORS.	..... Respondents
+	W.P.(C) 7174/2023 & CM Appl.27952/2023
	SAKSHI GOEL versus	..... Petitioner
	INCOME TAX OFFICER AND ANR	..... Respondents
+	W.P.(C) 7259/2023 & CM Appl.28256/2023
	KULDIP SINGH GULATI versus ASSISTANT COMMISSIONER OF INCOME DELHI & ORS.	..... Petitioner TAX, CIRCLE 25(1), ..... Respondents
+	W.P.(C) 7289/2023 & CM Appl.28334/2023
	RAJESH GUPTA HUF versus	..... Petitioner
	ASSISTANT COMMISSIONER OF INCOME & ORS	TAX ..... Respondents
+	W.P.(C) 7326/2023 & CM Appl.28506/2023
	KANTA JAIN versus	..... Petitioner
	INCOME TAX OFFICER, WARD- 30(5), DELHI & ORS.	..... Respondents
+	W.P.(C) 7375/2023 & CM Appl.28730/2023
	VIRAT CREDIT AND HOLDINGS PVT LTD versus ASSISTANT COMMISSIONER OF INCOME CIRCLE 25(1) & ORS.	..... Petitioner TAX OFFICER ..... Respondents
+	W.P.(C) 7443/2023 & CM Appl.28932/2023
	ALPS INVESTMENTS PRIVATE LIMITED versus	..... Petitioner

¶137

Signature Not Verified Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶138

W.P.(C)No.16524/2022 & connected matters Page 16 of 28

¶139

ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 1(1), DELHI & ANR. ..... Respondents

¶140

+ W.P.(C) 7471/2023 E S P SAFETY PRIVATE LIMITED ..... Petitioner

¶141

versus

¶142

INCOME TAX OFFICER ..... Respondent

¶143

- W.P.(C) 7497/2023 & CM Appl.29093/2023 SWIFT REALTECH PRIVATE LIMITED ..... Petitioner

¶144

versus

¶145

INCOME TAX OFFICER, WARD-22(3), DELHI & ANR. ..... Respondents W.P.(C) 7529/2023 & CM Appl.29209/2023 LNG AGRICOM PRIVATE LIMITED ..... Petitioner

¶146

- W.P.(C) 7529/2023 & CM Appl.29209/2023

¶147

versus

¶148

UNION OF INDIA AND ORS. ..... Respondents

¶149

- W.P.(C) 7576/2023 & CM Appl.33987/2023 MIS MARS COMMODITIES PRIVATE LIMITED..... Petitioner

¶150

versus

¶151

INCOME TAX OFFICER, WARD 16(3), DELHI & ANR. ..... Respondents

¶152

- W.P.(C) 7598/2023 & CM Appl.29441/2023 CARISSA INVESTMENTS PVT. LTD. ..... Petitioner

¶153

versus

¶154

UNION OF INDIA AND ANR. ..... Respondents

¶155

Counsel for Petitioners : Ms Kavita Jha and Mr Anant Mann, Advs in WP(C) 7289/2023.

¶156

Mr Kapil Goel and Mr Sandeep Goel, Advs. in W.P.(C) 16524/2022, 1006/2023, 119/2023 & 387/2023.

¶157

Mr Ruchesh Sinha and Ms Monalisa Maity, Advs. in W.P.(C)

¶158

Signature Not Verified

¶159

W.P.(C)No.16524/2022 & connected matters Page 17 of 28

¶160

Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

¶161

2558/2023, 2967/2023, 3009/2023, 3171/2023, 3546/2023 & 3896/2023.

¶162

Mr Salil Kapoor, Ms Ananya Kapoor, Mr Sanat Kapoor, Mr Sumit Lalchandani, Mr Tarun Chanana and Mr Shivam Yadav, Advs. in W.P.(C) 3877/2023, 3893/2023, 3997/2023, 4001/2023, 3677/2023 & 3678/2023.

¶163

Mr Ved Jain, Mr Nischay Kantoor and Mr Animesh Tripathi, Advs. in W.P.(C) 1543/2023, 1566/2023, 720/2023, 1705/2023, 1813, 2047/2023, 2449/2023, 2631/2023, 2735/2023, 2812/2023, 2862/2023, 2876/2023, 2898/2023 & 3414/2023.

¶164

Mr Akhilesh Kumar with Mr Vipin Garg, Advs. for petitioner in W.P.(C) 3160/2023 & W.P.(C) 3877/2023. Mr Abhishek Garg, Mr Yash Gaiha and Mr Ramesh Mankotia, Advs. for petitioner in W.P.(C)No.3001/2023.

¶165

Mr Nagesh Kumar Behl, Adv. for petitioner in W.P.(C)Nos.3335/2023 & 3338/2023.

¶166

Mr Nitin Gulati, Adv. in W.P.(C) 4614/2023.

¶167

Mr Keshav Dwivedi, Adv. in W.P.(C) 3295/2023. Mr Manibhadra Jain, Adv. in W.P.(C) 4487/2023. Mr Mayank Pachauri, Adv. in W.P.(C) 3880-3882, 3893/2023. Mr Gaurav Gupta, Adv. in W.P.(C) 4003/2023.

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Mr T Shivakumar with Ms Kirti Kishore and Ms Sanjana, Advs. in W.P.(C) nos. 4607, 4636/2023.

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Mr Pankaj Kumar Saxena, Adv. in W.P.(C) 3295/2023.

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Mr Gautam Jain with Mr Piyush Kumar Kamal, Advs. in W.P.(C) 7174, 7279/2023.

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Ms Ragini Handa with Mr Ujjwal Jain, Advs. in W.P.(C) 6453, 7497/2023.

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Mr Manuj Sabharwal with Ms Shalini, Advs. in W.P.(C) 6543/2023. Mr Ajay Wadhwa with Mr Snehil Jha and Mr Ujjawal Jain, Advs. in W.P.(C) nos.6453, 7085, 7497/2023.

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Mr Anmol Jagga, Adv. in W.P.(C) 7529/2023.

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Mr Varun Nagrath and Mr Abhishek Anand, Advocates for petitioner in WP(C) 7096/2023.

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Counsel for Respondents: Mr Sunil Agarwal, Sr Standing Counsel with Mr Shivansh B. Pandya, Jr Standing Counsel and Mr Utkarsh Tiwari, Adv. in W.P.(C) 2631/2023, 16524/2022 & 1813/2023.

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Mr Ghanshyam Mishra, CGSC for R-3 in W.P.(C) 16524/2022. Mr Abhishek Maratha, Sr Standing Counsel with Mr Akshat Singh, Jr Standing Counsel in W.P.(C)Nos.1566/2023, 720/2023, 1705/2023, 2812/2023, 3171/2023, 3546/2023, 3893/2023 & 3896/2023.

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Mr Gaurav Gupta, Sr Standing Counsel with Mr Puneett Singhal and Mr Shivendra Singh, Jr Standing Counsels in W.P.(C)Nos.2876/2023, 2898/2023, 3677/2023 & 3678/2023.

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Mr Kunal Sharma, Sr Standing Counsel with Ms Zehra Khan, Jr Standing Counsel along with Mr Shubhendu Bhattacharya, Adv. in W.P.(C)Nos.2967/2023, 3009/2023 & 4001/2023

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Mr Aseem Chawla, Sr Standing Counsel with Ms Anuja Pethia, Mr Subhasish Kumar and Ms Pratishtha Chaudhary, Advs. in W.P.(C)No.3001/2023 & 2449/2023. Mr Shailendera Singh, Sr Standing Counsel with Ms Dacchita Shahi and Mr Akash Saxena, Advs. in W.P.(C) 3414/2023.

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Mr Sanjay Kumar, Sr Standing Counsel with Ms Easha, Adv. for respondent in W.P.(C)No.3160/2023, 1006/2023, 119/2023 & 387/2023.

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Mr Zoheb Hossain, Sr Standing Counsel with Mr Sanjeev Menon, Standing Counsel for respondent in W.P.(C)No.1543/2023 & 992/2023.

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Mr Vipul Agrawal, Sr Standing Counsel with Mr Gibran Naushad and Ms Sakshi Shairwal, Advs. for W.P.(C) nos.992, 3997, 5973, 5990, 6256, 6967, 7169, 7443/2023.

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Mr Ruchir Bhatia, Sr Standing Counsel with Ms Deeksha Gupta, Adv. Mr Shlok Chandra, Sr Standing Counsel with Ms Priya Sarkar, Standing Counsel.

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Ms Dacchita Shahi, Standing Counsel for revenue in W.P.(C) 7529/2023.

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Mr Puneet Rai, Sr Standing Counsel with Mr Ashvini Kumar and Mr Rishabh Nangia, Standing Counsels in W.P.(C)Nos.2876/2023, 3335/2023, 3338/2023, 4377/2023, 4443/2023, 6440/2023, 6453/2023, 6532/2023, 6657/2023, 6660/2023, 6794/2023, 7146/2023 & 7497/2023.

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Mr Akash Vajpai, Adv. for UOI in W.P.(C) 4487/2023. Mr Santosh Kumar Pandey, Adv. for UOI in W.P.(C) 7529/2023. Mr Siddharth Khatana, Adv. for UOI in W.P.(C) 7096. Mr Rakesh Kumar Dudeja, Adv. for UOI in W.P.(C) 7529/2023.

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Digitally Signed By:ATUL JAIN Signing Da te:1 3.01.2024 11:39:13

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CORAM:

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HON'BLE MR JUSTICE RAJIV SHAKDHER HON'BLE MS JUSTICE TARA VITASTA GANJU [Physical Hearing/Hybrid Hearing (as per request)]

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RAJIV SHAKDHER, J. (ORAL):

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The above-captioned writ petitions concern Assessment Year (AY) 2016-17 and AY 2017-18.

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The core issue involved in the writ petitions is whether the impugned notices and orders are sustainable in law, having regard to the contention of the petitioners that they are not backed by the approval of the specified authority.

¶198

Since the issue is common to the above-captioned writ petitions, the broad facts concerning one of the matters i.e., WP(C) 7289/2023, titled Rajesh Gupta HUF v Assistant Commissioner of Income Tax and Ors. are noted hereafter.

¶199

3.1. The petitioner/Hindu Undivided Family (HUF) filed its return of income (ROI) qua AY 2017-18 on 09.06.2017 declaring an income of Rs.66,88,500/-. The ROI was processed by the revenue and an intimation was issued to the petitioner/HUF under Section 143(1) of the Act on 21.11.2017.

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3.2. In the aftermath of the judgement in Union of India v Ashish Agarwal (2023) 1 SCC 617, the revenue issued a notice dated 26.05.2022 under Section 148A(b) of the Act to the petitioner.

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3.3. The petitioner filed a reply dated 14.06.2022 qua the said notice. 3.4. Thereafter, the revenue passed an order under Section 148A(d) of the Act dated 29.07.2022 holding that income amounting to Rs.4,37,56,000/had escaped assessment. A consequential notice of even date i.e.,

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29.07.2022 was also issued to the petitioner under Section 148 of the Act. 3.5. A perusal of the order under Section 148A(d) and the notice under Section 148 would show that they have been passed/issued after obtaining the prior approval of the Principal Commissioner of Income Tax-10, Delhi. 3.6. The petitioner approached the court via the aforementioned writ petition on 18.05.2023, inter alia , raising the issue with regard the approval of the specified authority being absent.

¶206

3.7. The petition came up for hearing before a coordinate bench [which included one of us i.e., Rajiv Shakdher J.] on 25.05.2023 and it was directed that there shall be a stay on the continuation of reassessment proceedings.

¶207

3.8. Thereafter, the petition was listed with the above-captioned batch of petitions on several dates and arguments were heard on behalf of the assessees and the revenue.

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Counsel for the parties state that the reassessment proceedings were triggered by an authority not specified, as per the provisions of Section 151(ii) of the Income Tax Act, 1961 [in short, “Act”].

¶209

4.1. In defence of the writ petitions, the revenue, inter alia , has relied upon Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 [in short, “TOLA”] and paragraphs 6.1 and 6.2(ii) of the Instruction No.1 of 2022 dated 11.05.2022 issued by the Central Board of Direct Taxes [in short, “CBDT”].

¶210

In Ganesh Dass Khanna v. Income Tax Officer & Anr . 2023: DHC: 8187-DB, we have ruled in favour of the assessees and against the revenue insofar as the issue concerning limitation was concerned.

¶211

5.1 Insofar as the batch which was considered in the aforementioned judgment, the alleged escaped income was less than Rs.50,00,000/-. As far

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as the current batch of writ petitions is concerned, concededly, the escaped income is more than Rs.50,00,000/-.

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A faint argument is made on behalf of the revenue that the approval of the specified authority is not mandatory, which, in our opinion, is in the teeth of the provisions of the Act. In this behalf, the old Section 151 and the amended version of the provision (after Finance Act 2021) are made reference to.

¶217

6.1. For the sake of convenience, the provisions of Sections 148, 149 and 151, before and after amendment are extracted hereafter:

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Prior to Finance Act 2021

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“ 148 . (1) Before making the assessment, reassessment or recomputation under section 147, the Assessing Officer shall serve on the assessee a notice requiring him to furnish within such period, as may be specified in the notice, a return of his income or the income of any other person in respect of which he is assessable under this Act during the previous year corresponding to the relevant assessment year, in the prescribed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed; and the provisions of this Act shall, so far as may be, apply accordingly as if such return were a return required to be furnished under section 139 :

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Provided that in a case—

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(a) where a return has been furnished during the period commencing on the 1st day of October, 1991 and ending on the 30th day of September, 2005 in response to a notice served under this section, and

¶222

(b) subsequently a notice has been served under sub-section (2) of section 143 after the expiry of twelve months specified in the proviso to sub-section (2) of section 143, as it stood immediately before the amendment of said subsection by the Finance Act, 2002 (20 of 2002) but before the expiry of the time limit for making the assessment, re-assessment or recomputation as specified in sub-section (2) of section 153, every such notice referred to in this clause shall be deemed to be a valid notice:

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Provided further that in a case—

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(a) where a return has been furnished during the period commencing on the 1st day of October, 1991 and ending on the 30th day of September, 2005, in response to a notice served under this section, and

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(b) subsequently a notice has been served under clause (ii) of sub-section (2) of section 143 after the expiry of twelve months specified in the proviso to clause (ii) of sub-section (2) of section 143, but before the expiry of the time limit for making the assessment, reassessment or recomputation as specified in sub-section (2) of section 153, every such notice referred to in this clause shall be deemed to be a valid notice….

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xxx xxx xxx

¶230

149. (1) No notice under section 148 shall be issued for the relevant assessment year,—

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(a) if four years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b) or clause (c);

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(b) if four years, but not more than six years, have elapsed from the end of the relevant assessment year unless the income chargeable to tax which has escaped assessment amounts to or is likely to amount to one lakh rupees or more for that year;

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(c) if four years, but not more than sixteen years, have elapsed from the end of the relevant assessment year unless the income in relation to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment….

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xxx xxx xxx

¶235

151 . (1) No notice shall be issued under section 148 by an Assessing Officer, after the expiry of a period of four years from the end of the relevant assessment year, unless the Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner is satisfied, on the reasons recorded by the Assessing Officer, that it is a fit case for the issue of such notice.

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(2) In a case other than a case falling under sub-section (1), no notice shall be issued under section 148 by an Assessing Officer, who is below the rank of Joint Commissioner, unless the Joint Commissioner is satisfied, on the reasons recorded by such Assessing Officer, that it is a fit case for the issue

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of such notice.

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(3) For the purposes of sub-section (1) and sub-section (2), the Principal Chief Commissioner or the Chief Commissioner or the Principal Commissioner or the Commissioner or the Joint Commissioner, as the case may be, being satisfied on the reasons recorded by the Assessing Officer about fitness of a case for the issue of notice under section 148, need not issue such notice himself.”

¶242

Post Finance Act 2021

¶243

“ 148 . Before making the assessment, reassessment or recomputation under section 147, and subject to the provisions of section 148A, the Assessing Officer shall serve on the assessee a notice, along with a copy of the order passed, if required, under clause (d) of section 148A, requiring him to furnish within such period, as may be specified in such notice, a return of his income or the income of any other person in respect of which he is assessable under this Act during the previous year corresponding to the relevant assessment year, in the prescribed form and verified in the prescribed manner and setting forth such other particulars as may be prescribed; and the provisions of this Act shall, so far as may be, apply accordingly as if such return were a return required to be furnished under section 139:

¶244

Provided that no notice under this section shall be issued unless there is information with the Assessing Officer which suggests that the income chargeable to tax has escaped assessment in the case of the assessee for the relevant assessment year and the Assessing Officer has obtained prior approval of the specified authority to issue such notice…

¶245

xxx xxx xxx 149. (1) No notice under section 148 shall be issued for the relevant assessment year—

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(a) if three years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b);

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(b) if three years, but not more than ten years , have elapsed from the end of the relevant assessment year unless the Assessing Officer has in his possession books of account or other documents or evidence which reveal that the income chargeable to tax, represented in the form of asset, which has escaped assessment amounts to or is likely to amount to fifty lakh rupees or more for that year…

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xxx xxx xxx

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151. Specified authority for the purposes of section 148 and section 148A shall be,—

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(i) Principal Commissioner or Principal Director or Commissioner or Director, if three years or less than three years have elapsed from the end of the relevant assessment year;

¶254

(ii) Principal Chief Commissioner or Principal Director General or where there is no Principal Chief Commissioner or Principal Director General, Chief Commissioner or Director General, if more than three years have elapsed from the end of the relevant assessment year...”

¶255

[Emphasis is ours]

¶256

A careful perusal of the above extract would show that after amendment, Section 151 has been split and the part which enjoins that the approval of the specified authority is mandatory stands embedded in the first proviso to Section 148.

¶257

7.1. The concerned specified authorities, depending on the applicable timeframe, are adverted to in Section 151 of the Act.

¶258

The first proviso to Section 148 and Section 151, when read conjointly, demonstrate the untenability of the submission made on behalf of the revenue.

¶259

We may also note that in Ganesh Dass Khanna , we were considering the provision of Section 149 of the Act and have taken the view that since the escaped income was less than Rs.50,00,000/-, the time limit as prescribed in Section 149(1)(a) of the Act would apply.

¶260

As indicated above, the specified authority changes depending on the time limit prescribed in Section 151 of the Act. It is on this account that there is linkage between ruling rendered in Ganesh Dass Khanna and the instant matters.

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It may also be noted that in Ganesh Dass Khanna , we had recorded the stand of the revenue that the issue concerning limitation and the specified authority are “intertwined”. For convenience, the relevant part of the judgement is extracted hereafter:

¶265

“24. On behalf of the revenue, the following broad submissions were made:…

¶266

…(viii) Both under the unamended 1961 Act and amended 1961 Act , the issue concerning limitation is inextricably intertwined with two aspects :

¶267

(a) First , the rank of the authority granting approval/sanction for triggering reassessment proceedings .

¶268

(b) Second, the quantum of income which has escaped assessment.”

¶269

[Emphasis is ours]

¶270

Clearly, the revenue advanced the argument of interlinkage between limitation and the ascertainment of the specified authority due to the plain language of the amended Section 151 of the Act. Section 151, when read alongside the first proviso to Section 148, brings the aspect of inextricable linkage to the fore.

¶271

12.1. Clauses (i) and (ii) of Section 151 of the amended Act (which has been extracted hereinabove) clearly specify the authority whose approval can trigger the reassessment proceedings. Thus, if three (3) years or less have elapsed from the end of the relevant AY, the specified authority who would grant approval for initiation of reassessment proceedings will be the Principal Commissioner or Principal Director or Commissioner or Director. However, if more than three (3) years from the end of the relevant AY have elapsed, the specified authority for according approval for reassessment shall be the Principal Chief Commissioner or Principal Director General or, where there is no Principal Chief Commissioner or Principal Director

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General, Chief Commissioner or Director General.

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12.2. That the approval is mandatory is plainly evident on perusal of the first proviso appended to Section 148 of the Act. the said proviso, at the risk of repetition, reads as follows:

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“…Provided that no notice under this section shall be issued unless there is information with the Assessing Officer which suggests that the income chargeable to tax has escaped assessment in the case of the assessee for the relevant assessment year and the Assessing Officer has obtained prior approval of the specified authority to issue such notice….”

¶278

12.3. In these cases, there is no dispute that although three (3) years had elapsed from of the end of the relevant AY, the approval was sought from authorities specified in clause (i), as against clause (ii) of Section 151.

¶279

12.4. Before us, the counsel for the revenue continue to hold this position. The only liberty that they seek is that if, based on the judgement in Ganesh Dass Khanna , the impugned orders and notices are set aside, liberty be given to the revenue to commence reassessment proceedings afresh.

¶280

Therefore, having regard to the aforesaid, the impugned notices and orders in each of the above-captioned writ petitions are quashed on the ground that there is no approval of the specified authority, as indicated in Section 151(ii) of the Act. The direction is issued with the caveat that the revenue will have liberty to take steps, if deemed necessary, albeit as per law.

¶281

Needless to add, the rights and contentions of both the sides will remain open, in the event the revenue triggers reassessment proceedings. 15. The above-captioned writ petitions are disposed of, in the aforesaid terms.

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