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TMI BlogJurisdictional Prerequisites for Initiating Reassessment u/s 148: Non-Depoist of TDS by the EmployerX X X X Extracts X X X X X X X X Extracts X X X X ..... 1. INTRODUCTION This case deals with the validity of a reassessment notice issued u/s 148 of the Income Tax Act, 1961 (the Act) against a deceased assessee. The core legal question presented is whether the revenue authorities can initiate reassessment proceedings against a person who is no longer alive. 2. ARGUMENTS PRESENTED The petitioner, who is the wife and legal heir of the deceased assessee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /s 148 in the name of the correct person and not in the name of a dead person is a sine qua non for acquiring jurisdiction and initiating action u/s 148 of the Act. The Court also took note of the Gujarat High Court's decision in [ 2019 (1) TMI 353 - GUJARAT HIGH COURT] , which held that there is no statutory provision casting a duty upon legal representatives to intimate the factum of death o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ory obligation on legal representatives to intimate the death of an assessee to the Income Tax Department. When the tax has already been deducted at source on salary income, reassessment action leading to a demand for tax cannot be initiated against the assessee or their legal representatives. Even in cases of non-deposit of TDS by the employer, the demand cannot be shown as outstanding against th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at source on salary income, the assessee cannot be called upon to pay the tax again, as per Sections 204 and 205 of the Act. Furthermore, the Court has relied on the CBDT's Office Memorandum to conclude that even in cases of non-deposit of TDS by the employer, the demand cannot be shown as outstanding against the assessee or their legal representatives. The application of these principles in t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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