9911796707
TMI Blog2025 (1) TMI 510X X X X Extracts X X X X X X X X Extracts X X X X ..... l assessee Lal Chand Verma passed away on 30 July 2021. It appears that the Income Tax Officer acting on the basis of a statement purportedly made by another assessee, namely, Sh. Sanjay Jain during assessment proceedings pertaining to the latter, proceeded to issue a notice under Section 148A(b)1 of the Act, in relation to the Assessment Year 2019-2020, dated 30 March 2023, calling upon the deceased assessee to furnish an explanation as to why certain financial transactions should not be considered as income chargeable to tax, and inter-alia indicating that a notice under Section 1482 of the Act might be issued for reassessment on the basis of the alleged escaped income. 3. In response to the said notice, the son/legal heir of the deceased assessee submitted a reply on 01 April 2023 wherein he unequivocally apprised the respondent of the demise of his father/assessee, furnishing alongwith a copy of the death certificate as conclusive evidence, and asserted that the notice was null and void ab initio. However, notwithstanding the factum of the death of the assessee having been brought to the attention of the respondent, the respondent on 13 April 2023 proceeded to pass the impugne ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... igh Courts have power to issue in a fit case an order prohibiting an executive authority from acting without jurisdiction. Where such action of an executive authority acting without jurisdiction subjects or is likely to subject a person to lengthy proceedings and unnecessary harassment, the High Courts, it is well settled, will issue appropriate orders or directions to prevent such consequences. Mr. Sastri mentioned more than once the fact that the company would have sufficient opportunity to raise this question, viz., whether the Income-tax Officer had reason to believe that under-assessment had resulted from non-disclosure of material facts, before the Income-tax Officer himself in the assessment proceedings and if unsuccessful there before the appellate officer or the Appellate Tribunal or in the High Court under section 66 (2) of the Indian Income-tax Act. The existence of such alternative remedy is not however always a sufficient reason for refusing a party quick relief by a writ or order prohibiting an authority acting without jurisdiction from continuing such action. In the present case the company contends that the conditions precedent for the assumption of jurisdiction ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on under section 147) of the income of the deceased and for the purpose of levying any sum in the hands of the legal representative in accordance with the provisions of sub-section (1),- (a) any proceeding taken against the deceased before his death shall be deemed to have been taken against the legal representative and may be continued against the legal representative from the stage at which it stood on the date of the death of the deceased; (b) any proceeding which could have been taken against the deceased if he had survived, may be taken against the legal representative; and (c) all the provisions of this Act shall apply accordingly. (3) The legal representative of the deceased shall, for the purposes of this Act, be deemed to be an assessee. (4) Every legal representative shall be personally liable for any tax payable by him in his capacity as legal representative if, while his liability for tax remains undischarged, he creates a charge on or disposes of or parts with any assets of the estate of the deceased, which are in, or may come into, his possession, but such liability shall be limited to the value of the asset so charged, disposed of or parted with. (5) The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat income chargeable to tax has escaped assessment in his case for the relevant assessment year and results of enquiry conducted, if any, as per clause (a); 2. 148. Issue of notice where income has escaped assessment- 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: 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 esc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to, or any information contained therein, relate to, the assessee, the Assessing Officer shall be deemed to have information which suggests that the income chargeable to tax has escaped assessment in the case of the assessee [where] the search is initiated or books of account, other documents or any assets are requisitioned or survey is conducted in the case of the assessee or money, bullion, jewellery or other valuable article or thing or books of account or documents are seized or requisitioned in case of any other person. Explanation 3.- For the purposes of this section, specified authority means the specified authority referred to in section 151. 3. 148A. Conducting inquiry, providing opportunity before issue of notice under Section 148.- The Assessing Officer shall, before issuing any notice under section 148, - (d) decide, on the basis of material available on record including reply of the assessee, whether or not it is a fit case to issue a notice under section 148, by passing an order, with the prior approval of specified authority, within one month from the end of the month in which the reply referred to in clause (c) is received by him, or where no such reply is furnis ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
