2025 (1) TMI 247 - SCH - Income Tax

Reopening of assessment - Period of limitation to issue notice issued u/s 148A(b) - scope of notices issued u/s 148 of the new regime between July and September 2022 - Application of TOLA to the Income Tax Act after 1 April 2021 - As decided by HC 2023 (2) TMI 1378 - GUJARAT HIGH COURT allowed assessee appeal quashing and setting aside the notice issued u/s 148 alongwith the order u/s 148A(d) of the self-same date. HELD THAT - The issue involved in these Special Leave Petitions are squarely covered by the Judgment of this Court rendered in Union of India Ors. vs. Rajeev Bansal 2024 (10) TMI 264 - SUPREME COURT (LB) The petitions filed by the Revenue are disposed of. The assessee will be governed by reasons discussed in the said Judgment. AO will dispose of the objections in terms of the law laid down by this Court. Thereafter, the assessee who is aggrieved will be at liberty to pursue all the rights and remedies in accordance with law, save and except for the issues which have been concluded in the Judgment. Pending applications, if any, also stand disposed of. Cases, which fall less than the value of Rs.50,00,000/- would have to be dropped - All that the assessee has to do now is to point out to the assessing officer that he is covered by para 7 of the High Court s judgment 2024 (10) TMI 1623 - PUNJAB AND HARYANA HIGH COURT and the proceedings be dropped as the tax liability is less than Rs.50 lakh subject to verification of this particular fact. Special Leave Petition stands disposed of.

Summary

The Supreme Court, presided by Hon'ble Justices J.B. Pardiwala and R. Mahadevan, addressed several Special Leave Petitions (SLPs) with a primary focus on the case "Union of India & Ors. vs. Rajeev Bansal" (Civil Appeal No. 8629/2024). The Court noted that the issues in these SLPs are covered by the aforementioned judgment, thus disposing of the petitions filed by the Revenue. It was ordered that assessing officers should resolve objections in accordance with the established law, allowing aggrieved assessees to pursue further legal remedies except on concluded issues.

In SLP(C) No. 28036/2024, the High Court's reliance on the Rajeev Bansal case was highlighted, particularly regarding cases with a tax liability below Rs.50 lakh, which should be dropped. The petitioner, represented by Ms. Akriti Ahuja, argued that their case falls under this category. The Court instructed that the petitioner should inform the assessing officer of this fact for verification and potential dismissal of proceedings. The petition was disposed of, with provisions for the petitioner to return to the Court if further issues arise. Pending applications were also disposed of.