DCIT Central Circle-4, Delhi V. Late Sh. Ladli Pershad Jaiswal (through Legal heir Sh. Karamjit Jaiswal and Sh. Jagjit Jaiswal), Delhi

ITA 561/DEL/2022

AI Insights

The case involves multiple appeals by the Revenue against the orders of the CIT(A) which had quashed the reassessment orders issued by the Assessing Officer (AO) for various assessment years. The primary legal issue was whether the reassessment notices issued under Section 148 of the Income Tax Act were time-barred. The CIT(A) found that the notices were indeed time-barred based on the legal provisions applicable at the time, which had not been amended to extend the limitation period for the years in question. The Revenue contended that subsequent amendments should apply, but the Tribunal and CIT(A) disagreed, citing relevant judicial precedents.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 121736 (ITAT-DELHI)
• Duration Of Justice: 6 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-12-2022
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: G
• Next Hearing Date: 04-12-2022
• Assessment Year: 2002-2003
• Appeal Filed On: 30-05-2022
• Other Referred Cases: Brahm Datt vs ACIT, Prithvi Cotton Mills Ltd. vs Broach Borough Municipality, Govind Das vs ITO, CIT vs Scindia Steam Navigation Co. Ltd, CIT vs Vatica Township (P.) Ltd, S.S. Gadgil vs Lal & Co.
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 147; 64; 48

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “H” DELHI BEFORE SHRI SAKTIJIT DEY, JUDICIAL MEMBER & SHRI PRADIP KUMAR KEDIA, ACCOUNTANT MEMBER Sr. Nos ITA No(s) Asst. Year(s) Appeal(s) by Appellant vs. Respondent Assessee By Revenue By Appellant Respondent 1. 4824/DEL/2019 2000-01 DCIT, Central Circle-04, New Delhi. Anand Pershad Jaiswal, 54, Ring Road, Lajpat Nagar, New Delhi. Shri Deep Chand Garg, CA Shri M. Baranwal, CIT (DR) 2. 4826/DEL/2019 2000-01 DCIT, Central Circle-04, New Delhi. Karamjit Jaiswal (L/H of Ladli Pershad Jaiswal), 6, The Green Rajokari, New Delhi. S/Shri R.S. Singhvi, CA and Satyajeet Goel, CA Shri M. Baranwal, CIT (DR) 3. 561/DEL/2022 2002-03 CIT, Central Circle-4, New Delhi. Late Shri Ladli Pershad Jaiswal (through Legal Heir Shri Karamjit Jaiswal and Shri Jagjit Jaiswal) 6 th Green Rajokari, New Delhi S/Shri R.S. Singhvi, CA and Satyajeet Goel, CA Shri Gireesh Kumar Kohli, Sr.DR Date of hearing: 05 12 2022 Date of pronouncement: 27 12 2022 O R D E R PER PRADIP KUMAR KEDIA, A.M.: The present appeals are filed by the Revenue against the orders passed by CIT(A) for various assessment years mentioned hereinabove. 2. The issue in all the appeals is common and heard together. 3. ITA No.4824/Del/2019 (Assessment Year 2000-01) (Anand Pershad Jaiswal) is taken up as a lead case wherein the Revenue has raised the following grounds: I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 2 “ 1 . T h e O r d e r o f L d . C I T (A ) i s n o t c o r r e c t i n l a w a n d f a c t s . 2 . Wh e t h e r o n f a c t s a n d c i r c u m s t a n c e s o f t h e c a s e an d i n t h e l a w t h e L d . C I T ( A ) h a s e r r e d i n q u a s h i n g t h e a s s e s sm e n t o r d e r p a s s e d b y A . O . u / s 1 4 7 r . w . s s e c t i o n 1 4 3 ( 3 ) o n t h e g r o u n d t h a t t h e n o t i c e i s s u e d u / s . 1 4 8 o n 2 9 . 0 3 . 1 7 w a s t i m e b a r r e d b y h o l d i n g t h a t , f o r t h e i n s t a n t a s s e s s m e n t y e a r i . e . A . Y . 2 0 0 0 - 0 1 , t h e l a s t d a t e f o r i s s u e o f n o t i c e w a s 3 1 . 0 3 . 2 0 0 7 . 3 . Wh e t h e r o n f a c t s a n d c i r c u m s t a n c e s o f t h e c a s e an d i n t h e l a w t h e L d . C I T ( A ) h a s e r r e d i n q u a s h i n g t h e a s s e ss m e n t o r d e r p a s s e d b y A . O . u / s . 1 4 7 r . w . s s e c t i o n 1 4 3 ( 3 ) e v e n wh e n e x p l a n a t i o n t o s e c t i o n 1 4 9 h a s c l a r i f i e d t h a t p r o v i s i o n o f s e c ti o n 1 4 9 ( 1 ) a n d ( 3 ) a s a m e n d e d b y t h e F i n a n c e A c t 2 0 1 2 s h a l l a l s o be a p p l i c a b l e f o r a n y a s s e s s m e n t y e a r b e g i n n i n g o n o r b e f o r e t h e f i r s t d a y o f A p r i l 2 0 1 2 . 4 . Wh e t h e r o n f a c t s a n d c i r c u m s t a n c e s o f t h e c a s e an d i n t h e l a w t h e L d . C I T ( A ) h a s e r r e d i n q u a s h i n g t h e a s s e ss m e n t o r d e r p a s s e d b y A . O . u / s . 1 4 7 r . w . s s e c t i o n 1 4 3 (3 ) b y r e pl y i n g u p o n t h e r a t i o n o f j u d g e m e n t i n t h e c a s e o f B r a h m D a t t v s A CT T ( 2 0 1 8 ) o f t h e j u r i s d i c t i o n a l H i g h C o u r t e v e n w h e n t h e o r d e r of H o n ' b l e H i g h C o u r t h a s n o t b e e n a c c e p t e d b y t h e r e v e n u e a n d f i l in g o f S L P a g a i n s t t h a t h a s b e e n r e c o m m e n d e d . 5 . Wh e t h e r o n f a c t s a n d c i r c u m s t a n c e s o f t h e c a s e an d i n t h e l a w t h e L d . C I T ( A ) h a s e r r e d i n d e l e t i n g t h e a d d i ti o n o f R s . 3 2 , 6 5 , 5 6 , 4 8 6 / - m a d e t o r e t u r n e d i n c o m e b y t h e A . O . o n m e r i t e v e n w h e n o n b e i n g p r o v i d e d w i t h o p p o r t u n i t i e s t o f i l e ev i d e n c e s i n s u p p o r t o f c r e d i t e n t r i e s i n d i f f e r e n t b a n k a c c o u n ts h e l d b y t h e a s s e s s e e d u r i n g t h e p r e v i o u s y e a r , h e f a i l e d t o d i sc h a r g e h i s o n u s b y s u b m i t t i n g r e q u i s i t e e v i d e n c e s a s r e g a r d t o t h e s o u r c e t h e r e o f a n d t o s u b s t a n t i a t e h i s c l a i m t h a t t h e c r e d i t e n t r ie s i n t h e d i f f e r e n t b a n k a c c o u n t s h a d n o c o n n e c t i o n w i t h I n d i a . 6 . T h e a p p e l l a t e c r a v e s f o r l e a v e t o a d d , a m e n d a n d/ a l l t h e g r o u n d o f a p p e a l b e f o r e o r d u r i n g t h e c o u r s e o f h e ar i n g o f t h e a p p e a l . ” 4 . Brie fly s ta ted , th e assesse e i s an in d iv id u al and h o ld in g th e sta tu s o f No n -Resid en t In d ian fo r t h e p rev io u s y ear relev an t to Assessmen t Year 2 0 00 -01 . Th e assessee fil ed retu rn o f in co me d eclarin g to t al in co me a t Rs .2 6 1 0 /-. Th ereafter , the Assessin g Officer rece iv ed an in fo rmat io n fro m FT&TR u n d er exch an g e o f in fo rma t io n wh erein it was fo u n d th at th e assess ee h o ld s fo reig n I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 3 b an k acco u n ts in th e n ame o f Sh ri A n an d Persh ad Jaiswal an d h is fa th er, Sh ri L ad li Persh ad Jaiswa l with th e to t al cre d it en tries amo u n t to Rs.5 7 ,3 5 ,4 1 ,05 9 /- fo r the Assessmen t Yea r 2 00 0 -0 1 . Co n seq u en t u po n in fo rmat io n , th e As sessin g Offi cer is s u ed n o tice d ated 2 9 .0 3 .2 01 7 u n d er Sectio n 1 48 r.w. Sect io n 1 4 7 o f th e Act an d reop en ed th e assess men t . Th e re-assess men t o rd er was p assed d ated 2 9 .1 2 .20 1 7 o n th e b asis o f fresh ma ter ia l o b tain ed co n cern in g Assessmen t Year 2 0 0 0 -01 . Th e ad d itio n s were mad e to ward s cred it en tr ies r eflec ted in th e fo re ig n b ank acco u n ts in th e ab sen ce o f an y ex p lan at io n th ereo f. 5 . Ag g riev ed , th e ass essee p referred ap p eal b e fo re th e CI T(A). 6 . Th e CIT(A) to o k no te o f th e su b miss io n s mad e o n b eh alf o f th e cap tio n ed ass essees an d p assed a co n so lid a ted ord er d ated 2 8 .0 3 .20 1 9 fo r all th e assess ees n amed ab o v e. Th e resp ect iv e reassess men t o rd ers were can celled o n th e g rou n d s of lack o f ju risd ic tio n to rea ssess th e in co me b y issu in g ti me b a rred n o tice u n d er S. 1 4 8 o f th e Act. Th e relev an t p arag rap h s o f th e o rd er o f th e CIT(A) is rep ro du ced h ereu n d er: 7 . 2 A l t h o u g h , t h e a p p e l l a n t h a s r a i s e d a s m a n y a s tw e n t y - f i v e g r o u n d s o f a p p e a l (t w e n t y - t h r e e b e i n g o r i g i n a l a n d t w o b e i n g a d d i t i o n a l ). H o w e v e r , t h e l e g a l g r o u n d a s t o w h e t h er t h e n o t i c e i s s u e d u / s 1 4 8 w a s t i m e - b a r r e d , g o e s t o t h e r o o t o f t h e m a t t e r a s i t w o u l d d e c i d e t h e l e g a l i t y o f a s s u m p t i o n o f j u r i s d i ct i o n u / s 1 4 7 / 1 4 8 . T h i s g r o u n d i s , t h e r e f o r e , d e c i d e d , f i r s t . 7 . 3 H o n ' b l e D e l h i H i g h C o u r t w h i l e d e l i v e r i n g t h e ju d g m e n t i n c a s e o f B r a h m D a t t V s . A C I T [ 2 0 1 8] 1 0 0 t a x m a n n . c o m 3 2 4 ( D e l h i ) h a s l a i d d o w n a r a t i o t h a t a m e n d m e n t t o s e c t i o n 1 4 9 b y F i n a n c e A c t , 2 0 1 2 , w h i c h e x t e n d e d l i m i t a t i o n f o r r e o p e n i n g a s s e ss m e n t t o s i x t e e n y e a r s , c a n n o t b e r e s o r t e d t o f o r r e o p e n i n g p r o c e e d in g s c o n c l u d e d b e f o r e a m e n d m e n t b e c a m e e f f e c t i v e ( o n 0 1 . 0 7 . 2 0 1 2 ) . I n t h a t c a s e , I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 4 t h e f i r s t i s s u e b e f o r e H o n ' b l e H i g h C o u r t w a s , a s to w h e t h e r A Y 9 8 - 9 9 c o u l d n o t h a v e b e e n r e o p e n e d b e y o n d 3 1 - 3 - 2 0 0 5 i n t e r m s o f p r o v i s i o n s o f s e c t i o n 1 4 9 a s a p p l i c a b l e a t r e l e v a n t t i m e . H o n ' b l e H i g h C o u r t a n s w e r e d i n a f f i r m a t i v e . T h e s e c o n d i s s ue b e f o r e t h e H o n ' b l e H C w a s a s t o w h e t h e r s u b s e q u e n t a m e n d m e n t to s e c t i o n 1 4 9 , b y F i n a n c e A c t , 2 0 1 2 , w h i c h e x t e n d e d l i m i t a t i on f o r i n i t i a t i o n o f r e a s s e s s m e n t p r o c e e d i n g s t o s i x t e e n y e a r s , c o u l d n o t b e r e s o r t e d t o f o r r e o p e n i n g c o n c l u d e d p r o c e e d i n g s i n r e s p e c t of w h i c h l i m i t a t i o n h a d a l r e a d y e x p i r e d / l a p s e d b e f o r e a m e n dm e n t b e c a m e e f f e c t i v e . H o n ' b l e H i g h C o u r t a n s w e r e d i n a f f i r m a t iv e . T h e r e l e v a n t p o r t i o n o f t h e j u d g m e n t i s r e p r o d u c e d b e l o w : " 1 4 . T h e r a t i o o f K M S h a r m a a n d S . S . G a d g i l , i n t h e o p i n i o n o f t h i s c o u r t c o v e r s t h e f a c t s o f t h i s c a s e . R e a s s e s s m e n t fo r 1 9 9 8 - 9 9 c o u l d n o t b e r e o p e n e d b e y o n d 3 1 . 0 3 . 2 0 0 5 i n t e r m s o f p r o v is i o n s o f S e c t i o n 1 4 9 o f t h e A c t a s a p p l i c a b l e a t t h e r e l e v a n t t i m e . T h e p e t i t i o n e r ' s r e t u r n f o r a s s e s s m e n t y e a r 1 9 9 8 - 9 9 b e c a m e b a r r e d b y l i m i t a t i o n o n 3 1 . 0 3 . 2 0 0 5 . T h e q u e s t i o n o f r e v i v a l o f t h e p e r i o d of l i m i t a t i o n f o r r e o p e n i n g a s s e s s m e n t f o r A Y 1 9 9 8 - 9 9 b y t a k i n g r e c o ur s e t o t h e s u b s e q u e n t a m e n d m e n t m a d e i n S e c t i o n 1 4 9 o f t h e A c t i n t h e y e a r 2 0 1 2 , i . e . , m o r e t h a n 8 y e a r s a f t e r e x p i r a t i o n o f li m i t a t i o n o n 3 1 . 0 3 . 2 0 0 5 , h a s b e e n d e a l t w i t h b y t h e S u p r e m e C o u rt i n K M . S h a r m a ( s u p r a ) . 1 6 . I t h a s b e e n s a i d t h a t " t h e g o v e r n m e n t i n a l l i ts a c t i o n s i s b o u n d b y r u l e s f i x e d a n d a n n o u n c e d b e f o r e h a n d — r u l e s w h i c h m a k e i t p o s s i b l e t o f o r e s e e w i t h f a i r c e r t a i n t y h o w t h e a u t h o r i t y w i l l u s e i t s c o e r c i v e p o w e r s i n g i v e n c i r c u m s t a n c e s a n d t o pl a n o n e ' s a f f a i r s o n t h e b a s i s o f t h i s k n o w l e d g e " (R e f . F A H a y e k , " R oa d t o S e r f d o m " , 1 9 4 4 ) . I n t h i s c a s e , t h e i n t e r p r e t a t i o n p r o p o s e d b y t h e r e v e n u e h a s t h e p o t e n t i a l o f a r m i n g i t s a u t h o r i t i e s t o r e - o p e n s e t t l e d m a t t e r s , i n r e s p e c t o f i s s u e s w h e r e t h e c i t i z e n c o u l d g e n u i n e l y b e s a n g u i n e a n d h a d n o o b l i g a t i o n o f t h e k i n d w h i c h t h e R e v e n u e s e ek s t o i m p o s e b y t h e p r e s e n t a m e n d m e n t . A l l t h e m o r e s i g n i f i c a n t , i s t h e f a c t t h a t a b s e n t a c l e a r i n d i c a t i o n , e v e r y s t a t u t e i s p r e s u m ed t o b e p r o s p e c t i v e . T h e r e v e n u e h a d s o u g h t t o c o n t e n d t h a t t h e a m e n d m e n t ( t o S e c t i o n 1 4 9 ) i s m e r e l y p r o c e d u r a l a n d n o o n e h as a v e s t e d r i g h t t o p r o c e d u r e ; a n d t h a t p r o c e d u r a l a m e n d m e n t s c a n b e g i v e n e f f e c t a n y t i m e , e v e n i n o n g o i n g p r o c e e d i n g s . 1 7 . T h i s c o u r t i s o f t h e o p i n i o n t h a t t h e r e i s n o me r i t i n t h e r e v e n u e ' s c o n t e n t i o n . I n P r i t h v i C o t t o n M i l l s L t d . v . B r o a c h B o r o u g h M u n i c i p a l i t y [ 1 9 7 1] 7 9 I T R 1 3 6 ( S C ) , e x a m i ne d t h e v a l i d i t y o f t h e r e t r o s p e c t i v e a m e n d m e n t o f a s t a t u te i n l i g h t o f A r t i c l e 1 9 ( 1 ) ( g ) o f t h e C o n s t i t u t i o n o f I n d i a , i . e . a f u n d a m e n t a l r i g h t t o p r a c t i c e a n y p r o f e s s i o n , o r t o c a r r y o n a n y o c c up a t i o n , t r a d e o r b u s i n e s s . T h e c o u r t s a i d : " I n t e s t i n g w h e t h e r a r e t r o s p e c t i v e i m p o s i t i o n o f a t a x o p e r a t e s s o I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 5 h a r s h l y a s t o v i o l a t e f u n d a m e n t a l r i g h t s u n d e r a r t ic l e 1 9 ( 1 ) ( g ), t h e f a c t o r s c o n s i d e r e d r e l e v a n t i n c l u d e t h e c o n t e x t i n w h i c h r e t r o a c t i v i t y w a s c o n t e m p l a t e d s u c h a s w h e t h e r t h e l a w i s o n e o f v a l i d a t i o n o f t a x i n g s t a t u t e s t r u c k - d o w n b y c o u r t s f o r c e r t a i n d e f e c t s ; t h e p e r i o d o f s u c h r e t r o a c t i v i t y , a n d t h e d e c r e e a n d e x t e n t o f a n y u n f o r e s e e n o r u n f o r e s e e a b l e f i n a n c i a l b u r d e n i m p o s e d f o r t h e p a s t p e r i o d e t c . " 1 8 . I n G o v i n d d a s v . I T O [ 1 9 7 6] 1 0 3 I T R 1 2 3 t h e S u p r e m e C o u r t h e l d t h a t S e c t i o n 1 7 1 (6 ) o f t h e I n c o m e T a x A c t w a s p r o s p e c t i v e a n d i n a p p l i c a b l e f o r a n y a s s e s s m e n t y e a r p r i o r t o 1 s t Ap r i l , 1 9 6 2 , t h e d a t e o n w h i c h t h e A c t c a m e i n t o f o r c e a n d o b s e r v e d t h a t : " 1 1 . N o w i t i s a w e l l s e t t l e d r u l e o f i n t e r p r e t a t i o n h a l l o w ed b y t i m e a n d s a n c t i f i e d b y j u d i c i a l d e c i s i o n s t h a t , u n l e s s t h e te r m s o f a s t a t u t e e x p r e s s l y s o p r o v i d e o r n e c e s s a r i l y r e q u i r e i t , r e tr o s p e c t i v e o p e r a t i o n s h o u l d n o t b e g i v e n t o a s t a t u t e s o a s t o t a k e a w a y o r i m p a i r a n e x i s t i n g r i g h t o r c r e a t e a n e w o b l i g a t i o n o r i m p o s e a n e w l i a b i l i t y o t h e r w i s e t h a n a s r e g a r d s m a t t e r s o f p r o ce d u r e . T h e g e n e r a l r u l e a s s t a t e d b y H a l s b u r y i n V o l . 3 6 o f t he L a w s o f E n g l a n d ( 3 r d E d n . ) a n d r e i t e r a t e d i n s e v e r a l d e c i s i o n s o f th i s C o u r t a s w e l l a s E n g l i s h c o u r t s i s t h a t a l l s t a t u t e s o t h e r t h a n th o s e w h i c h a r e m e r e l y d e c l a r a t o r y o r w h i c h r e l a t e o n l y t o m a t t e r s o f p r o c e d u r e o r o f e v i d e n c e a r e p r i m a f a c i e p r o s p e c t i v e l y a n d r e t r os p e c t i v e o p e r a t i o n s h o u l d n o t b e g i v e n t o a s t a t u t e s o a s t o a f f e c t , a l t e r o r d e s t r o y a n e x i s t i n g r i g h t o r c r e a t e a n e w l i a b i l i t y o r o b l i g a t i o n u n l e s s t h a t e f f e c t c a n n o t b e a v o i d e d w i t h o u t d o i n g v i o l e n c e t o t h e l a n g u a g e o f t h e e n a c t m e n t . I f t h e e n a c t m e n t i s e x p re s s e d i n l a n g u a g e w h i c h i s f a i r l y c a p a b l e o f e i t h e r i n t e r p r et a t i o n , i t o u g h t t o b e c o n s t r u e d a s p r o s p e c t i v e o n l y . " I n C I T v . S c i n d i a S t e a m N a v i g a t i o n C o . L t d [ 1 9 6 1 1 42 I T R 5 8 9 , i t w a s h e l d t h a t a s t h e l i a b i l i t y t o p a y t a x i s c o m p u te d a c c o r d i n g t o t h e l a w i n f o r c e a t t h e b e g i n n i n g o f t h e a s s e s s m e n t y e ar , i . e . , t h e f i r s t d a y o f A p r i l , a n y c h a n g e i n l a w u p s e t t i n g t h e p o s i ti o n a n d i m p o s i n g t a x l i a b i l i t y a f t e r t h a t d a t e , e v e n i f m a d e d u r i n g t h e c u r r e n c y o f t h e a s s e s s m e n t y e a r , u n l e s s s p e c i f i c a l l y m a d e r e t r o s p e ct i v e , d o e s n o t a p p l y t o t h e a s s e s s m e n t f o r t h a t y e a r . T h e s e p r i n c ip l e s w e r e r e i t e r a t e d i n C I T v . V a t i k a T o w n s h i p ( P . ) L t d [ 2 0 1 41 4 9 t a x m a n n . c o m 2 4 9 / 2 2 7 T a x m a n 1 2 1 / 3 6 7 I T R 4 6 6 ( S C )" 7 . 4 I n t h e p r e s e n t c a s e , l a s t d a t e o f i s s u i n g N o t i ce u / s . 1 4 8 ( b e f o r e 0 1 . 0 7 . 2 0 1 2 - t h e d a t e o f a m e n d m e n t i n s e c t i o n 1 4 9 ) w a s 3 1 . 0 3 . 2 0 0 7 . T h e r e f o r e , A s s e s s m e n t f o r A Y 2 0 0 0 - 0 1 h ad a t t a i n e d f i n a l i t y o n 3 1 . 0 3 . 2 0 0 7 a n d r e s p e c t f u l l y f o l l o w i n g th e r a t i o o f H o n ' b l e j u r i s d i c t i o n a l H i g h C o u r t , i t i s h e l d t h a t o n 2 9 . 0 3 . 2 0 1 7 ( d a t e o f i s s u i n g n o t i c e u / s . 1 4 8 ) , t h e A O h a d n o p ow e r t o a s s u m e j u r i s d i c t i o n u / s 1 4 7 . A s a c o n s e q u e n c e , i m p u g n e d a ss e s s m e n t o r d e r i s q u a s h e d . ” I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 6 8 . Th e CIT(A) th us co n clu d ed th at th e assess men t for Assessmen t Year 2 0 00 -01 in th e case o f An an d Persh ad Jaiswal h as at ta in ed fin al it y o n 31 .0 3 .2 00 7 an d th u s co u ld n o t h av e b een reo p en ed th ereaft e r with referen ce t o su b seq u en t ame n d men t in law b ro u gh t o u t in Sectio n 1 4 9 b y Fin an ce Act, 2 0 1 2 ap p licab l e w.e. f. 0 1 .0 7 .2 0 1 2 wh ereb y th e ti me li mit fo r reo p enin g the assesse e was ex t en d ed to 1 6 y ears. Fo r d o in g so , the CIT(A) relied u p on th e ju d g men t o f Ho n ’b le Hig h Co u rt in th e case o f Bra hm Da tt vs. A CIT (2 0 1 8 ) 1 0 0 ta xman n .com 3 24 (Del). Th e CIT(A) d id n o t en ter in to th e meri ts o f th e case h av in g reg ard to the ju risd ic tio n al d e fe ct as n o ted ab o v e. Th e o th er capt io n ed ap p eals were also ad ju d icated in fav o u r o f th e Assessee fo r si mi lar reaso n s. 9 . Ag g riev ed by th e reli e f g ran ted b y th e CIT(A), th e R ev en u e p referred cap t io n ed ap p eals b e fo re th e Trib u n al. 1 0 . Th e Ld . Dep art me n tal Rep resen t at iv e b ro ad ly su ppo rted th e stan ce o f th e Ass essin g o ffic er an d co n ten d ed th at i n v iew o f Exp la n a tio n in serted to S. 1 4 9 o f th e Act, th e ex t en d ed ti me li mit p ro v id ed b y clau se (c) in ser ted b y Fin an ce Act 2 0 1 2 wo u ld au to ma ti cal ly ap p l y wh ere in co me i n relat io n to asse ts lo ca ted o u tsid e In d ia is fo u n d to b e escap ed reg ard less o f o th er imp u ta t io n s. Th e DR th u s co n ten d s th at th e Ld . CIT(A) h as lo st sig h t o f Exp la n a ti o n in serted to S. 1 4 9 to mee t su ch ev en tu ali t ies . It was th u s su b mi tted th at th e ap p ella te o rd er o f th e CIT(A) is p ro ceed ed o n misc o n stru ctio n o f li mi tat io n p erio d pro v id ed u n der S. 1 4 9 an d h en ce req u ires to set asid e an d can cell ed an d th e actio n o f AO req u ires to b e resto red . 1 1 . Befo re th e Tr ib u n al, th e Ld . Co u n se l re it erated th e o ra l an d I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 7 written su b miss io n s mad e b efo re th e CIT(A) an d asserted th a t a t th e ti me o f issu e o f n o ti ce u n d er Se ctio n 1 4 8 u p o n the ass essee , th e ti me l i mit av ail ab le to reo p en th e assessmen t was o n ly 6 y ears( fro m th e en d o f relev an t as sessmen t y ear AY 2 00 0 -0 1) u n d er S. 1 4 9 (1 )(b ) o f th e Ac t wh ich sto o d ex p ired as p er th e b ar o f li mit at io n ex ist i n g as p er ex tan t la w o f S. 1 4 9 o f th e Act. At th e ti me o f issu an ce, th e n o tice u n d er 14 8 d ated 2 9 /0 3 /2 01 7 fo r AY 2 0 00 -01 was th u s clearly b arred by limit at io n way bey o nd th e li mita t io n stip u la te d u nd er Sectio n 1 4 9 o f th e Act in t erms o f o ld p ro v isio n s o f law an d co n seq u en tly th e su b seq u en t in sertio n o f clau se (c) to S. 1 4 9 (1 ) by Fin an ce Act, 2 0 1 2 w.e.f. 1 -7 -20 12 seek in g to ex ten d ti me li mit to 1 6 y ears to assess in co me in rela tio n an y assets lo cat ed o u tsid e I n d ia wo u ld no t ap p ly in th e in stan t case . It w as su b mi tt ed th at th e t i me li mit e x ten d ed by clau se (c) to S. 1 4 9 (1 ) wo u ld ap p ly o n ly to a si tu at io n wh ere th e li mita t io n p erio d was su b sistin g an d h ad n o t ex p ired at th e ti me o f amen d men t b ro u gh t b y Fin an ce Act, 2 0 1 2 . In essen ce, Th e assesse e co n ten d s th at th e a men d men ts c arried o u t to e x ten d ti me li mit to reo p en th e asse ss men t wo u l d n o t ap p ly to re i n state th e ju risd ic tio n wh ere it a lread y sto o d exp ired b efo re amen d men t. To su p po rt su ch pro po sitio n , th e Assessee rel ied u p o n the ju d g men t ren d ered by th e j u risd ict io n al Hig h Co u rt in th e cas e o f Bra h m Da tt vs. ACIT (2 0 1 8 ) 1 00 ta xma n n .co m 3 24 (Delh i). It was th us co n ten d ed th at in t h e lig h t o f l aw in te rp reted b y th e Ho n’b le Delh i Hig h Co u rt, th e v ery fo u n d atio n fo r framin g th e re-asse ssmen t b y issu in g b ela ted n o t ice u n d er S. 1 4 8 i s sh ak en to its ro o t. Th e Ld . Co u n sel th u s co n ten d s th at as a seq u el to n o n est n o tice u n d er S. 1 4 8 , th e reassess men t o rd er framed is with o u t v alid ju risd ic tio n an d th u s a n u lli ty in l aw. Th e Ld . Co u n sel th u s su bmi ts th at th e I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 8 act io n o f th e CIT( A) is in co n so n an ce with th e v iew ex p ressed by Ho n ’b le Delh i Hig h Co u rt an d th u s do es n o t call fo r an y in ter feren ce . 1 2 . We h av e h eard th e p arti es in l e n g th an d p eru sed th e assess men t o rd er a n d th e first ap p el la te o rd er. 1 3 . It is th e case o f t h e Rev en u e th at t h e Assessing Offi cer is en ti tled to as su me ju risd i ct io n u n d er S. 1 4 7 r.w.s 1 4 8 i n terms o f n o tice u n d er S. 1 4 8 d ated 2 9 /3 /2 0 17 in An an d Pershad Jaiswa l [an d si mi lar n o ti ce issu ed in Ma rch 2 01 7 in case o f o th er assesse e] in v iew o f th e amen d men t carried o u t in S. 1 4 9 b y th e Fin an ce Act, 2 0 1 2 w.e.f. 0 1 .0 7 .2 0 1 2 wh ich h as th e effec t o f b rin g in g n ew limi tat io n p erio d o f 1 6 y ears in to fo rce wh ere th e escap e men t o f in co me re lat es to a ssets s itu a ted o u tsid e In d ia. Hen ce, th e n o ti ce i ssu ed d ated 2 9 .0 3 .2 0 17 an d o th er n o tices issu ed ab o u t th e same t i me in cas e o f o th er assessees u n d er Sect io n 1 48 to reo p en th e asse ssmen t fo r Assessmen t Year 2 0 0 0 -01 ; 2 0 0 2 -0 3 etc . is with in th e li mita t io n p erio d q u a 16 y ear limi ta tio n p eriod an d th u s en fo rceab le in law. 1 2 . Th e assessee , o n th e o th er h and , su bmi ts th at at th e t i me o f amen d men t to Sec tio n 1 4 9 seek in g t o in crease l i mi tati o n p erio d fro m 6 y ears to 1 6 y ears, th e li mit atio n p erio d fo r Assessmen t Year 2 0 00 -01 in qu estio n h ad alread y ex p ired un d er erstwh ile law [wh ich p ro v id ed fo r issu e o f n o tic e u n d er S. 1 48 for reassess men t with in 6 y ears fr o m th e en d o f re lev an t assess men t y ear] an d th erefo re th e a men d men t carr ied o u t in Sect io n 1 4 9 d o es n o t h av e th e effe ct o n th e assess men t wh ich alread y sto o d conclu d ed and alread y t i me b arre d at th e t ime o f e x ten sio n o f l i mi ta t io n co min g in to fo rce. I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 9 1 3 . As stated o n b eh alf o f th e Assesse e, t h e li mi tatio n p erio d fo r Assessmen t Years 2 0 00 -0 1 , 20 0 1-02 an d 2 00 2 -0 3 ex p ired on 3 1 .0 3 .20 0 7 , 3 1 .0 3 .2 0 08 an d 31 .0 3 .20 0 9 resp ectiv ely i n terms o f o ld p ro v isio n s o f S. 1 4 9 o f th e Act. Th u s, as co n ten d ed , at th e ti me o f a men d men t seek in g to ex p and th e ti me l i mi t fo r reo p en ing th e assess men t, th e assess men t fo r t h ese y ears were al read y ti me b arred and limit at i o n in su ch ev en tu ali ti es co u ld no t b e rev iv ed by th e su b seq u en t amen d men t. Th e co n seq u en t re-assess men t o rd ers o n th e b asis o f t i me b arred n o ti ces u n d er S. 1 48 are t h u s o u tsid e th e san c tio n o f l aw an d a n u ll i ty a t th e th resh o ld . 1 4 . Co n tex tu ally , i n th e si mi lar fac tu al ma trix , the Ho n’b le Delh i Hig h Co u rt in th e case o f Bra h m Da tt (su p ra ) h as an o ccas io n to d eal wi th th e id en t ica l co n tro v ersy . In th at ca se, th e As sessee , n on resid en t, was fo u nd to h av e settled certa in amo u n t in a tru st in fo reig n co u n try relev an t to AY 1 99 8 -9 9 . Th e Hon ’b le Hig h Co u rt en d o rsed th e p lea o f th e assessee th at asse ss men t fo r sub ject assess men t y ear co u ld n o t h av e b een reo p en ed b eyo nd 31 -0 3-2 005 in ter ms o f p ro v isio n s o f Sect io n 1 4 9 as ap p licab le at rel ev an t ti me . It was h eld th erein th a t su b se q u en t amen d men t to sec tio n 1 4 9 , by Fin an ce Act, 2 0 1 2 wh ich ex ten d ed limit at io n fo r in iti at io n o f reass ess men t p ro ceed in g s to s ix tee n y ears co u ld n o t b e reso rted fo r reo p en in g co n clu d ed p ro ceed in g s in resp ect o f wh ich li mita t io n h ad alr ead y ex p ired / l ap sed b efo re th e amen d men t b ecame e ffec tiv e . It was th u s h eld th at i mp u g n ed reassess men t n o tice an d al l co n seq u en t p ro ceed in g s were with o u t au th o rity o f law an d a n u ll ity a n d h en ce li ab le to b e q u ash ed and set asid e . 1 5 . Simi larly , th e Ho n ’b le Delh i Hig h C o u rt in CIT v s. Pu sh p ak I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 10 En terp rises 2 5 4 ITR 1 9 3 (Del.) (2 00 2 ) h as also ech oed th e same v iew earl ier. It wa s h eld th a t th e c as e can n o t b e reo p e n ed as p er amen d ed p ro v isio n wh en it is o th e rwise ti me b arred as p er o ld p ro v isio n p rev aili n g fo r th e relev an t assess men t y ea r p rio r to amen d men t. In th a t cas e, it was o b se rv ed th at th e pro v isio n s o f S. 1 4 7 an d S. 1 4 9 sto o d amen d ed fro m 1 -4 -19 8 9 . Acco rdin g ly , th e o ld p ro v isio n s wh ich were o n th e statu te b o o k p rio r to 1 -4 -19 89 sh o u ld b e app lic ab le to th e case o f th e ass essee inv o lv in g assess men t y ears 1 9 81 -19 8 2 & 19 82 -8 3 an d n o t th e amen d ed p ro v isio n s. 1 6 . Ho n ’b le Su preme Co u rt in case o f S.S. Gad g il v s. Lal & Co . (1 9 64 ) 53 ITR 2 31 (SC) h eld th at a men d ed p ro v isio ns wil l n o t rein sta te th e ju risd ict io n to reassess t h e retu rn wh ich is o th erwise ti me-b arred as p er ex ist in g p rov isio n s fo r th e relev an t assess men t y ear. 1 7 . On a co n sp ectu s o f ju d icia l p ro no u n cemen ts an d o n read in g o f sta tu te, i t th u s tra n sp ires th at a men d ed law seek ing to ex ten d th e ti me l i mi t to co v er th e case fo r reo p en in g , wo u ld no t ap p ly u n less th e ti me li mit fo r reo p en in g th e assessmen t y ear surv ived an d n o t en d ed at th e ti me o f amen d men t b eco min g o p erat iv e. 1 8 . In th e lig h t o f th e ju d icia l v iew t ak en b y th e Ho n’b le Delh i Hig h Co urt, th e ac tio n o f th e CIT(A) can n o t b e fau lted . We th us co n cu r with th e v iew tak en b y th e CIT(A) th at th e no tice issu ed u n d er Sectio n 1 4 9 is ti me b arred an d th u s co u ld n o t h av e b een acted u p o n . Co n seq u en tly , th e i mp u gn ed re-assessment o rd er p assed in co n seq u en ce o f th e il leg a l n o tice u n d er Sect i o n 1 48 is a n u lli ty an d b ad in law. We th u s d ecli n e to in ter fere w it h th e o rd er o f CIT(A). I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 11 1 9 . In th e resu l t, th e a p p eal o f th e Rev en u e is d ismiss ed . 20. The facts and issue are co mmon therefore, the ratio of the decision in the case of Anand Pershad Jaiswal in ITA No.4824/Mum/2019 shall apply mu tatis mutandis in the other two captioned appeals. 21. In the result, the appeals of the Revenue in ITA No.4826/Del/2019 for Assessment Year 2000-01 and ITA 561/Del/2022 for Assess ment Year 2002-03 are dis mi ssed. 22. In the co mbined result, all the captioned appeals of the Revenue are dis mi ssed. Order was pronounced in the open Court on 27/12/2022. Sd/- Sd/- [SAKTIJIT DEY] [PRADIP KUMAR KEDIA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: /12/2022 Prabhat I.T.A. No.4824, 4826/Del/2019 & 561/Del/2022 12 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT(A) 4. CIT 5. DR Assistant Registrar Date 1. Draft dictated on (direct on computer) 15.12.2022 2. Draft placed before author 3. Draft proposed & placed before the second member 4. Draft discussed/approved by Second Member. 5. Approved Draft comes to the Sr.PS/PS 6. Kept for pronouncement on 7. File comes back to PS/Sr. PS 8. Uploaded on 9. File sent to the Bench Clerk 10. Date on which file goes to the AR 11. Date on which file goes to the Head Clerk. 12. Date of dispatch of Order.