PATRAN FOODS PRIVATE LIMITED V. INCOME TAX OFFICER AND ANOTHER

CWP/10888/2025

AI Insights

The case revolves around a writ petition filed by Patran Foods Private Limited challenging a notice issued by the Income Tax Officer, Ward Sangrur, under Section 148 of the Income Tax Act, 1961, for the Assessment Year 2015-2016. The petitioner contended that the notice was issued without adhering to the procedural requirements established by the law as amended by the Finance Act, 2021. The court examined the procedural compliance in issuing the notice and the applicability of the amendments made by the Finance Act, 2021, which introduced significant changes to the reassessment procedure under the Income Tax Act. The court's decision was influenced by the Supreme Court's judgment in Union of India and Others Vs. Ashish Aggarwal, which addressed similar issues of procedural compliance and the validity of reassessment notices under the amended law.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 747645 (HC-MISC)
• Appeal Type: Others
• Pronouncement Date: 24-04-2025
• Assessment Year: misc
• Other Referred Cases: Union of India and Others Vs. Ashish Aggarwal [2022] SCC Online SC 543, Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC)
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: GAURI RAMPAL
• Assessee Lawyers: NIKHIL GOYAL
• Keywords: Finance Act 2021; Limitation; Notice; Reassessment; TOLA
• Section: 148; 149; 151; 148A(b); 148A(d); 148A

Judgement Text

" CWP-10888-2025(O&M) IN THE HIGH COURT OF PUNJAB AND HARYANA Patran Foods Private Limited Income Tax Officer CORAM : HON’BLE MR HON’BLE MRS. JUSTICE Present: Mr. Nikhil Goyal, Advocate for the petitioner. Ms. Gauri Neo Rampal, for the respondents. (through Video Conferencing) SUDEEPTI SHARMA, J. The challenge in the present writ petition is to 29.07.2022 (Annexure P (hereinafter referred to as Ward Sangrur), for the Assessment Year 2015 proceedings. BRIEF FACTS 2. Brief facts of the present case are issued notice under Section 148 of (Income Tax Officer, Ward Sangrur). Since notice dated 12.04.2021 was issued without following the procedure established for issuance of notice as per the law amended by Finance Act, 2021 and this issue was finall 2025(O&M) IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH -.- CWP Decided on : Patran Foods Private Limited VERSUS Officer, Ward Sangrur & Another HON’BLE MRS. JUSTICE LISA GILL HON’BLE MRS. JUSTICE SUDEEPTI SHARMA Mr. Nikhil Goyal, Advocate for the petitioner. Ms. Gauri Neo Rampal, Sr. Standing Counsel for the respondents. (through Video Conferencing) -.- SUDEEPTI SHARMA, J. The challenge in the present writ petition is to 29.07.2022 (Annexure P-4) issued under Section 148 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) by respondent No.1 (Income Tax Officer, Ward Sangrur), for the Assessment Year 2015 BRIEF FACTS Brief facts of the present case are notice under Section 148 of the Act on 12.04.2021 by respondent No.1 (Income Tax Officer, Ward Sangrur). Since notice dated 12.04.2021 was issued without following the procedure established for issuance of notice as per the law amended by Finance Act, 2021 and this issue was finall -1- IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH CWP-10888-2025(O&M) Decided on :- 24.04.2025 ....Petitioner ....Respondents LISA GILL SUDEEPTI SHARMA Mr. Nikhil Goyal, Advocate for the petitioner. Sr. Standing Counsel, The challenge in the present writ petition is to the notice dated 4) issued under Section 148 of the Income Tax Act, 1961 ‘the Act’) by respondent No.1 (Income Tax Officer, Ward Sangrur), for the Assessment Year 2015-2016 and the consequential Brief facts of the present case are that the petitioner was initially Act on 12.04.2021 by respondent No.1 (Income Tax Officer, Ward Sangrur). Since notice dated 12.04.2021 was issued without following the procedure established for issuance of notice as per the law amended by Finance Act, 2021 and this issue was finally decided by the Hon’ble dated 4) issued under Section 148 of the Income Tax Act, 1961 ‘the Act’) by respondent No.1 (Income Tax Officer, 2016 and the consequential that the petitioner was initially Act on 12.04.2021 by respondent No.1 (Income Tax Officer, Ward Sangrur). Since notice dated 12.04.2021 was issued without following the procedure established for issuance of notice as per the law y decided by the Hon’ble TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) Supreme Court on 04.05.2022 [2022] SCC Online S Supreme Court dated 04.05.2022, respondent No.1 (Income Tax Officer, Ward Sangrur) issued notice the petitioner responded to and raised objections on various grounds regarding the exercise of jurisdiction under Section Respondent No.1 (Income Tax Officer, Ward Sangrur) disposed of the objections raised by the petitioner and proceeded to pass the order under Section 148A(d) of the Act on 29.07.2022, confirming the jurisdiction to re income of the petitioner und notice dated 29.07.2022 under Section 148 of the Act, initiating the assessment under Section 147 of the Act. The petitioner challenged the notice dated 29.07.2022 and the consequential proceedings decided along with CWP Union of India and Others That Hon’ble Supreme Court in [2024] 469 ITR 46 (SC) with respect to the directions issued in and Other Laws (Relaxation and Amendment of Certain (hereinafter referred to as ‘TOLA’) That on 20.12.2024, CWP dismissed by this Court on the limited issue of competence of the jurisdictional 2025(O&M) Supreme Court on 04.05.2022 in Union of India and Others Vs. Ashish Aggarwal Online SC 543, therefore, in compliance of the decision of Hon’ble Supreme Court dated 04.05.2022, respondent No.1 (Income Tax Officer, Ward ngrur) issued notice under Section 148A(b) of the Act on the petitioner responded to and raised objections on various grounds regarding the of jurisdiction under Section 147 of the Act Respondent No.1 (Income Tax Officer, Ward Sangrur) disposed of the objections raised by the petitioner and proceeded to pass the order under Section 148A(d) of the Act on 29.07.2022, confirming the jurisdiction to re income of the petitioner under Section 147 of the Act and issued the consequential notice dated 29.07.2022 under Section 148 of the Act, initiating the assessment under Section 147 of the Act. The petitioner challenged the notice dated 29.07.2022 and the consequential proceedings by way of filing of CWP decided along with CWP-18488-2022, titled as Union of India and Others. That Hon’ble Supreme Court in Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) vide its judgment dated 03.10.2024 settled the controversy with respect to the computation of limitation taking into consideration the directions issued in Union of India and Others Vs. Ashish Aggarwal and Other Laws (Relaxation and Amendment of Certain (hereinafter referred to as ‘TOLA’). That on 20.12.2024, CWP-21897 dismissed by this Court on the limited issue of competence of the jurisdictional -2- Union of India and Others Vs. Ashish Aggarwal therefore, in compliance of the decision of Hon’ble Supreme Court dated 04.05.2022, respondent No.1 (Income Tax Officer, Ward under Section 148A(b) of the Act on 01.06.2022 to which the petitioner responded to and raised objections on various grounds regarding the 147 of the Act. Respondent No.1 (Income Tax Officer, Ward Sangrur) disposed of the objections raised by the petitioner and proceeded to pass the order under Section 148A(d) of the Act on 29.07.2022, confirming the jurisdiction to re-assess the er Section 147 of the Act and issued the consequential notice dated 29.07.2022 under Section 148 of the Act, initiating the assessment The petitioner challenged the notice dated 29.07.2022 and the by way of filing of CWP-21897-2022, which was 2022, titled as M/s Patran Foods Pvt. Ltd. Vs. Union of India Vs. Rajeev Bansal dated 03.10.2024 settled the controversy limitation taking into consideration the Union of India and Others Vs. Ashish Aggarwal and Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 21897-2022 filed by the petitioner was dismissed by this Court on the limited issue of competence of the jurisdictional Union of India and Others Vs. Ashish Aggarwal therefore, in compliance of the decision of Hon’ble Supreme Court dated 04.05.2022, respondent No.1 (Income Tax Officer, Ward 01.06.2022 to which the petitioner responded to and raised objections on various grounds regarding the Respondent No.1 (Income Tax Officer, Ward Sangrur) disposed of the objections raised by the petitioner and proceeded to pass the order under Section assess the er Section 147 of the Act and issued the consequential notice dated 29.07.2022 under Section 148 of the Act, initiating the assessment The petitioner challenged the notice dated 29.07.2022 and the 2022, which was M/s Patran Foods Pvt. Ltd. Vs. Union of India Vs. Rajeev Bansal dated 03.10.2024 settled the controversy limitation taking into consideration the and Taxation Provisions) Act, 2020 2022 filed by the petitioner was dismissed by this Court on the limited issue of competence of the jurisdictional TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) assessing office provisions of Section 151A of the Act. Liberty was granted to the petitioner to raise other objections relating to orders passed by jurisdictional On 31.01.2025 respondent No.2 Centre) restored the proceedings by issuing a notice under Section 142(1) of the Act calling upon reassessment proceedings for the Assessment Year 2015 The petitioner raised of the proceedings to the notice dated 31.01.2025. The petitioner further on 26.02.2025 raised objections regarding the continuation of proce 2015-2016 by relying upon the concession mad Supreme Court in whereas another notice dated 16.04.2025 for the Assessment Year 2015 issued by respondent No.2 (National Faceless Assessment Centre). 3. Hence the present petition challenging notice dated Section 148 of the Act are barred by limitation. SUBMISSIONS 4. Learned counsel for the petitioner contends a) Act is 2025(O&M) assessing officer to issue a notice under Section 1 provisions of Section 151A of the Act. Liberty was granted to the petitioner to raise other objections relating to orders passed by jurisdictional On 31.01.2025 respondent No.2 restored the proceedings by issuing a notice under Section 142(1) of the Act calling upon the petitioner to furnish information in connection with the reassessment proceedings for the Assessment Year 2015 The petitioner raised objections on 11.02.2025 regarding the validity of the proceedings. The petitioner further filed reply dated 14.02.2025 in response to the notice dated 31.01.2025. The petitioner further on 26.02.2025 raised objections regarding the continuation of proce 2016 by relying upon the concession mad Supreme Court in Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) whereas another notice dated 16.04.2025 for the Assessment Year 2015 issued by respondent No.2 (National Faceless Assessment Centre). Hence the present petition challenging notice dated of the Act and consequential proceedings are barred by limitation. SUBMISSIONS Learned counsel for the petitioner contends That notice dated 29.07.2022 Act is barred by limitation. -3- a notice under Section 148 of the Act in terms of the provisions of Section 151A of the Act. Liberty was granted to the petitioner to raise other objections relating to orders passed by jurisdictional Assessing Officer. On 31.01.2025 respondent No.2 (National Faceless Assessm restored the proceedings by issuing a notice under Section 142(1) of the the petitioner to furnish information in connection with the reassessment proceedings for the Assessment Year 2015-2016. objections on 11.02.2025 regarding the validity . The petitioner further filed reply dated 14.02.2025 in response to the notice dated 31.01.2025. The petitioner further on 26.02.2025 raised objections regarding the continuation of proceedings for the Assessment Year 2016 by relying upon the concession made by the revenue before Hon’ble Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) whereas another notice dated 16.04.2025 for the Assessment Year 2015-2016 wa issued by respondent No.2 (National Faceless Assessment Centre). Hence the present petition challenging notice dated 29.07.2022 under and consequential proceedings on the ground that the same Learned counsel for the petitioner contends :- 29.07.2022 issued under Section 148 of the 48 of the Act in terms of the provisions of Section 151A of the Act. Liberty was granted to the petitioner to Assessing Officer. (National Faceless Assessment restored the proceedings by issuing a notice under Section 142(1) of the the petitioner to furnish information in connection with the objections on 11.02.2025 regarding the validity . The petitioner further filed reply dated 14.02.2025 in response to the notice dated 31.01.2025. The petitioner further on 26.02.2025 raised for the Assessment Year by the revenue before Hon’ble Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) 2016 was under on the ground that the same of the TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) b) settled Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) Therefore, proposition (Supra) 5. Learned counsel for the respondent proposition of law as settled by Hon’ble Supreme Court Rajeev Bansal 6. We have heard learned counsel for the record of the present case JOINT READING UNION OF INDIA AND OTHERS VS. ASHISH AGGARWAL [2022] SCC ONLINE SC 543 AND UNION OF INDIA VS. RAJEEV BAN ITR 46 (SC) CONCLUDES AS UNDER 7. The Finance Act, 2021 substituted the entire scheme of reassessment under Sections 1 8. Prior to the coming into force of Finance Act, 2021 initiation of reassessment proceedings was governed by the following provisions Tax Act, 1961:- \"Income escaping assessment 147 chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of sections 148 to 153, assess or 2025(O&M) Further, that controversy in the present writ petition is already settled by the Hon’ble Supreme Court Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) Therefore, the present writ petition be allowed in terms proposition of law in the case of Union of India Vs. Rajeev Bansal (Supra). earned counsel for the respondent proposition of law as settled by Hon’ble Supreme Court (Supra), by which the case of the petitioner is covered. We have heard learned counsel for the present case. READING OF JUDGMENTS OF HON’BLE SUPREME COURT IN UNION OF INDIA AND OTHERS VS. ASHISH AGGARWAL [2022] SCC ONLINE SC 543 AND UNION OF INDIA VS. RAJEEV BAN CONCLUDES AS UNDER:- The Finance Act, 2021 substituted the entire scheme of reassessment under Sections 147 to 151 of the Income Tax Act, 1961 Prior to the coming into force of Finance Act, 2021 initiation of reassessment proceedings was governed by the following provisions - Income escaping assessment 147. If the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of sections 148 to 153, assess or -4- hat controversy in the present writ petition is already by the Hon’ble Supreme Court in the case of Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) on 03.10.2024 the present writ petition be allowed in terms of the settled Union of India Vs. Rajeev Bansal earned counsel for the respondents could not rebut the legal proposition of law as settled by Hon’ble Supreme Court in Union of India Vs. by which the case of the petitioner is covered. We have heard learned counsel for the parties and perused the whole HON’BLE SUPREME COURT IN UNION OF INDIA AND OTHERS VS. ASHISH AGGARWAL [2022] SCC ONLINE SC 543 AND UNION OF INDIA VS. RAJEEV BANSAL [2024] 469 The Finance Act, 2021 substituted the entire scheme of reassessment 47 to 151 of the Income Tax Act, 1961 w.e.f. 01.04.2021. Prior to the coming into force of Finance Act, 2021 initiation of reassessment proceedings was governed by the following provisions of Income If the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of sections 148 to 153, assess or hat controversy in the present writ petition is already Union of India on 03.10.2024. of the settled Union of India Vs. Rajeev Bansal legal Union of India Vs. and perused the whole HON’BLE SUPREME COURT IN UNION OF INDIA AND OTHERS VS. ASHISH AGGARWAL [2022] SCC SAL [2024] 469 The Finance Act, 2021 substituted the entire scheme of reassessment Prior to the coming into force of Finance Act, 2021 initiation of of Income If the Assessing Officer has reason to believe that any income chargeable to tax has escaped assessment for any assessment year, he may, subject to the provisions of sections 148 to 153, assess or TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) reassess such income and also any other income chargeable t which has escaped assessment and which comes to his notice subsequently in the course of the proceedings under this section, or recomputed the loss or the depreciation allowance or any other allowance, as the case may be, for the assessment year conc (hereafter in this section and in sections 148 to 153 referred to as the relevant assessment year): Provided that where an assessment under sub 143 or this section has action shal from the end of the relevant assessment year, unless any income chargeable to tax has escaped assessment for such assessment year by reason of the failure on the part of the assessee to make a re under section 139 or in response to a notice issued under sub (1) of section 142 or section 148 or to disclose fully and truly all material facts necessary for his assessment, for that assessment year: Provided further that nothing contained in the first proviso shall apply in a case where any income in relation to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment for any assessment y Provided also that the Assessing Officer may assess or reassess such income, other than the income involving matters which are the subject 2025(O&M) reassess such income and also any other income chargeable t which has escaped assessment and which comes to his notice subsequently in the course of the proceedings under this section, or recomputed the loss or the depreciation allowance or any other allowance, as the case may be, for the assessment year conc (hereafter in this section and in sections 148 to 153 referred to as the relevant assessment year): Provided that where an assessment under sub 143 or this section has been made for the relevant assessment year, no action shall be taken under this section after the expiry of four years from the end of the relevant assessment year, unless any income chargeable to tax has escaped assessment for such assessment year by reason of the failure on the part of the assessee to make a re under section 139 or in response to a notice issued under sub (1) of section 142 or section 148 or to disclose fully and truly all material facts necessary for his assessment, for that assessment year: Provided further that nothing contained in the first proviso shall apply in a case where any income in relation to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment for any assessment y Provided also that the Assessing Officer may assess or reassess such income, other than the income involving matters which are the subject -5- reassess such income and also any other income chargeable to tax which has escaped assessment and which comes to his notice subsequently in the course of the proceedings under this section, or recomputed the loss or the depreciation allowance or any other allowance, as the case may be, for the assessment year concerned (hereafter in this section and in sections 148 to 153 referred to as the Provided that where an assessment under sub-section (3) of section been made for the relevant assessment year, no l be taken under this section after the expiry of four years from the end of the relevant assessment year, unless any income chargeable to tax has escaped assessment for such assessment year by reason of the failure on the part of the assessee to make a return under section 139 or in response to a notice issued under sub-section (1) of section 142 or section 148 or to disclose fully and truly all material facts necessary for his assessment, for that assessment year: Provided further that nothing contained in the first proviso shall apply in a case where any income in relation to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment for any assessment year: Provided also that the Assessing Officer may assess or reassess such income, other than the income involving matters which are the subject o tax which has escaped assessment and which comes to his notice subsequently in the course of the proceedings under this section, or recomputed the loss or the depreciation allowance or any other erned (hereafter in this section and in sections 148 to 153 referred to as the section (3) of section been made for the relevant assessment year, no l be taken under this section after the expiry of four years from the end of the relevant assessment year, unless any income chargeable to tax has escaped assessment for such assessment year by turn section (1) of section 142 or section 148 or to disclose fully and truly all material facts necessary for his assessment, for that assessment year: Provided further that nothing contained in the first proviso shall apply in a case where any income in relation to any asset (including financial interest in any entity) located outside India, chargeable to Provided also that the Assessing Officer may assess or reassess such income, other than the income involving matters which are the subject TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) matters of any appeal, reference or revision, which is chargeable to tax and has escaped assessment. Explana books or other evidence from which material evidence could with due diligence have been discovered by the Assessing Officer will not necessarily amount to disclosure within the meaning of the foreg proviso. Explanation 2. also be deemed to be cases where income chargeable to tax has escaped assessment, namely : 2025(O&M) matters of any appeal, reference or revision, which is chargeable to tax and has escaped assessment. Explanation 1.-Production before the Assessing Officer of account books or other evidence from which material evidence could with due diligence have been discovered by the Assessing Officer will not necessarily amount to disclosure within the meaning of the foreg proviso. Explanation 2.-For the purposes of this section, the following shall also be deemed to be cases where income chargeable to tax has escaped assessment, namely :- (a) where no return of income has been furnished by the assessee although his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year exceeded the maximum amount which is not chargeable to income-tax; (b) where a return of income has been furnished by the assessee but no assessment has been made and it is noticed by the Assessing Officer that the assessee has understated the income or has claimed excessive loss, deduction, allowance or relief in the return; (ba) where the assessee has failed to furnish a repor of any international transaction which he was so required under section 92E; (c) where an assessment has been made, but -6- matters of any appeal, reference or revision, which is chargeable to Production before the Assessing Officer of account books or other evidence from which material evidence could with due diligence have been discovered by the Assessing Officer will not necessarily amount to disclosure within the meaning of the foregoing For the purposes of this section, the following shall also be deemed to be cases where income chargeable to tax has (a) where no return of income has been furnished by the otal income or the total income of any other person in respect of which he is assessable under this Act during the previous year exceeded the maximum amount which tax; (b) where a return of income has been furnished by the ssee but no assessment has been made and it is noticed by the Assessing Officer that the assessee has understated the income or has claimed excessive loss, deduction, allowance or (ba) where the assessee has failed to furnish a report in respect of any international transaction which he was so required (c) where an assessment has been made, but- matters of any appeal, reference or revision, which is chargeable to Production before the Assessing Officer of account books or other evidence from which material evidence could with due diligence have been discovered by the Assessing Officer will not oing For the purposes of this section, the following shall also be deemed to be cases where income chargeable to tax has (a) where no return of income has been furnished by the otal income or the total income of any other person in respect of which he is assessable under this Act during the previous year exceeded the maximum amount which (b) where a return of income has been furnished by the ssee but no assessment has been made and it is noticed by the Assessing Officer that the assessee has understated the income or has claimed excessive loss, deduction, allowance or t in respect of any international transaction which he was so required TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) Explanation 3. this section, the Assessing Officer may assess or reassess the income in respect of any issue, which has escaped assessment, and such issue comes t under this section, notwithstanding that the reasons for such issue have not been included in the reasons recorded under subsection (2) of section 148. 2025(O&M) (i) income chargeable to tax has been underassessed; or (ii) such income has been assessed at too low a rate; or (iii) such income has been made the subject of excessive relief under this Act; or (iv) excessive loss or depreciation allowance or any other allowance under this Act has been computed; (ca) where a return of income has not been furnished by the assessee or a return of income has been furnished by him and on the basis of information or document received from the prescribed income-tax authority, under sub section 133C, it is noticed by the Assessing Officer that the income of the assessee exceeds chargeable to tax, or as the case may be, the assessee has understated the income or has claimed excessive loss, deduction, allowance or relief in the return; (d) where a person is found to have any asset (including financial interest in any entity) located outside India. Explanation 3.-For the purpose of assessment or reassessment under this section, the Assessing Officer may assess or reassess the income in respect of any issue, which has escaped assessment, and such issue comes to his notice subsequently in the course of the proceedings under this section, notwithstanding that the reasons for such issue have not been included in the reasons recorded under subsection (2) of section 148. -7- (i) income chargeable to tax has been underassessed; or (ii) such income has been assessed at too low a rate; or such income has been made the subject of excessive relief (iv) excessive loss or depreciation allowance or any other allowance under this Act has been computed; (ca) where a return of income has not been furnished by the return of income has been furnished by him and on the basis of information or document received from the tax authority, under sub-section (2) of section 133C, it is noticed by the Assessing Officer that the income of the assessee exceeds the maximum amount not chargeable to tax, or as the case may be, the assessee has understated the income or has claimed excessive loss, deduction, allowance or relief in the return; (d) where a person is found to have any asset (including st in any entity) located outside India. For the purpose of assessment or reassessment under this section, the Assessing Officer may assess or reassess the income in respect of any issue, which has escaped assessment, and such issue o his notice subsequently in the course of the proceedings under this section, notwithstanding that the reasons for such issue have not been included in the reasons recorded under subsection (2) such income has been made the subject of excessive relief (iv) excessive loss or depreciation allowance or any other (ca) where a return of income has not been furnished by the return of income has been furnished by him and on the basis of information or document received from the section (2) of section 133C, it is noticed by the Assessing Officer that the the maximum amount not chargeable to tax, or as the case may be, the assessee has understated the income or has claimed excessive loss, (d) where a person is found to have any asset (including For the purpose of assessment or reassessment under this section, the Assessing Officer may assess or reassess the income in respect of any issue, which has escaped assessment, and such issue o his notice subsequently in the course of the proceedings under this section, notwithstanding that the reasons for such issue have not been included in the reasons recorded under subsection (2) TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) Explanation 4. the provisions of this section, as amended by the Finance Act, 2012, shall also be applicable for any assessment year beginning on or before the 1st day of April, 2012. Issue of notice where income has escaped assessment 148. 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 o 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 p 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 in a case (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 (b) subsequently a notice has been served under sub section 143 after the expiry of twelve months specified to subsection (2) of section 143, as it stood immediately before the amendment of said sub but before the expiry of the time limit for making the assessment, re 2025(O&M) Explanation 4.-For the removal of doubts, it the provisions of this section, as amended by the Finance Act, 2012, shall also be applicable for any assessment year beginning on or before the 1st day of April, 2012. Issue of notice where income has escaped assessment 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 o 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 p 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 in a case- (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 (b) subsequently a notice has been served under sub section 143 after the expiry of twelve months specified to subsection (2) of section 143, as it stood immediately before the amendment of said sub-section by the Finance Act, 2002 (20 of 2002) but before the expiry of the time limit for making the assessment, re -8- For the removal of doubts, it is hereby clarified that the provisions of this section, as amended by the Finance Act, 2012, shall also be applicable for any assessment year beginning on or Issue of notice where income has escaped assessment 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 o 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: (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 (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 subsection (2) of section 143, as it stood immediately before the section by the Finance Act, 2002 (20 of 2002) but before the expiry of the time limit for making the assessment, re is hereby clarified that the provisions of this section, as amended by the Finance Act, 2012, shall also be applicable for any assessment year beginning on or 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 rescribed; 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: (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 section (2) of in the proviso to subsection (2) of section 143, as it stood immediately before the section by the Finance Act, 2002 (20 of 2002) but before the expiry of the time limit for making the assessment, re- TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) assessment or recomputation as spe 153, every such notice referred to in this clause shall be deemed to be a valid notice: Provided further that in a case (a) where a return has been furnished during the period commencing on the 1st day of October, 19 September, 2005, in response to a notice served under this section, and (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 provi before the expiry of the time limit for making the assessment, reassessment or recomputation as specified in sub section 153, every such notice referred to in this clause shall be deem Explanation. nothing contained in the first proviso or the second proviso shall apply to any return which has been furnished on or after the 1st day of October, 2005 in respons (2) The Assessing Officer shall, before issuing any notice under this section, record his reasons for doing so. Time limit for notice 149 assessm 2025(O&M) assessment or recomputation as spe 153, every such notice referred to in this clause shall be deemed to be a valid notice: Provided further that in a case- (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 (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 before the expiry of the time limit for making the assessment, reassessment or recomputation as specified in sub section 153, every such notice referred to in this clause shall be deemed to be a valid notice. Explanation.-For the removal of doubts, it is hereby declared that nothing contained in the first proviso or the second proviso shall apply to any return which has been furnished on or after the 1st day of October, 2005 in response to a notice served under this section. (2) The Assessing Officer shall, before issuing any notice under this section, record his reasons for doing so. Time limit for notice :- 149. (1) No notice under section 148 shall be issued for the relevant assessment year- -9- 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) where a return has been furnished during the period commencing 91 and ending on the 30th day of September, 2005, in response to a notice served under this section, (b) subsequently a notice has been served under clause (ii) of sub section (2) of section 143 after the expiry of twelve months specified so 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 For the removal of doubts, it is hereby declared that nothing contained in the first proviso or the second proviso shall apply to any return which has been furnished on or after the 1st day e to a notice served under this section. (2) The Assessing Officer shall, before issuing any notice under this section, record his reasons for doing so. . (1) No notice under section 148 shall be issued for the relevant section (2) of section 153, every such notice referred to in this clause shall be deemed to be (a) where a return has been furnished during the period commencing 91 and ending on the 30th day of September, 2005, in response to a notice served under this section, (b) subsequently a notice has been served under clause (ii) of sub- section (2) of section 143 after the expiry of twelve months specified section (2) of section 143, but before the expiry of the time limit for making the assessment, section (2) of section 153, every such notice referred to in this clause shall be For the removal of doubts, it is hereby declared that nothing contained in the first proviso or the second proviso shall apply to any return which has been furnished on or after the 1st day (2) The Assessing Officer shall, before issuing any notice under this . (1) No notice under section 148 shall be issued for the relevant TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) (a) if four years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b) or clause (c); (b) if four years, but not more than six years, have elapsed from the end of the relevant assessment year unless tax which has escaped assessment amounts to or is likely to amount to one lakh rupees or more for that year; (c) if four years, but not more than sixteen years, have elapsed from the end of the relevant assessment year unless the to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment. Explanation. escaped assessment for the purposes of this subse of Explanation 2 of section 147 shall apply as they apply for the purposes of that section. (2) The provisions of sub subject to the provisions of section 151. (3) If the person on whom a person treated as the agent of a non the assessment, reassessment or recomputation to be made in pursuance of the notice is to be made on him as the agent of such non resident, six years from the end of the relevant assessment year. Explanation. provisions of sub 2025(O&M) (a) if four years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b) or clause (c); (b) if four years, but not more than six years, have elapsed from the end of the relevant assessment year unless tax which has escaped assessment amounts to or is likely to amount to one lakh rupees or more for that year; (c) if four years, but not more than sixteen years, have elapsed from the end of the relevant assessment year unless the to any asset (including financial interest in any entity) located outside India, chargeable to tax, has escaped assessment. Explanation.-In determining income chargeable to tax which has escaped assessment for the purposes of this subse of Explanation 2 of section 147 shall apply as they apply for the purposes of that section. (2) The provisions of sub-section (1) as to the issue of notice shall be subject to the provisions of section 151. (3) If the person on whom a notice under section 148 is to be served is a person treated as the agent of a non the assessment, reassessment or recomputation to be made in pursuance of the notice is to be made on him as the agent of such non resident, the notice shall not be issued after the expiry of a period of six years from the end of the relevant assessment year. Explanation.-For the removal of doubts, it is hereby clarified that the provisions of sub-sections (1) and (3), as amended by the Finan -10- (a) if four years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b) or clause (c); (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; (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. In determining income chargeable to tax which has escaped assessment for the purposes of this subsection, the provisions of Explanation 2 of section 147 shall apply as they apply for the section (1) as to the issue of notice shall be subject to the provisions of section 151. a notice under section 148 is to be served is a person treated as the agent of a non-resident under section 163 and the assessment, reassessment or recomputation to be made in pursuance of the notice is to be made on him as the agent of such non the notice shall not be issued after the expiry of a period of six years from the end of the relevant assessment year. For the removal of doubts, it is hereby clarified that the sections (1) and (3), as amended by the Finance Act, (a) if four years have elapsed from the end of the relevant assessment (b) if four years, but not more than six years, have elapsed from the the income chargeable to tax which has escaped assessment amounts to or is likely to amount to (c) if four years, but not more than sixteen years, have elapsed from income in relation to any asset (including financial interest in any entity) located outside In determining income chargeable to tax which has ction, the provisions of Explanation 2 of section 147 shall apply as they apply for the section (1) as to the issue of notice shall be a notice under section 148 is to be served is resident under section 163 and the assessment, reassessment or recomputation to be made in pursuance of the notice is to be made on him as the agent of such non- the notice shall not be issued after the expiry of a period of For the removal of doubts, it is hereby clarified that the ce Act, TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 2012, shall also be applicable for any assessment year beginning on or before the 1st day of April, 2012. Sanction for issue of notice 151 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 C satisfied, on the reasons recorded by the Assessing Officer, that it is a fit case for the issue of such notice. (2) In a case other than a case falling under sub shall be issued under section 148 by an Assessing Offi 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 of such notice. (3) For the purposes of sub 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 of notice under section 148, need not issue such notice himself.\" 3.1 In pursuance to the power vested under section 3 of the Relaxation Act, 2020, the Central Government issued following Notifications inter 2025(O&M) 2012, shall also be applicable for any assessment year beginning on or before the 1st day of April, 2012. Sanction for issue of notice :- 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 C satisfied, on the reasons recorded by the Assessing Officer, that it is a fit case for the issue of such notice. (2) In a case other than a case falling under sub shall be issued under section 148 by an Assessing Offi 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 of such notice. (3) For the purposes of sub-section (1) and sub 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 of notice under section 148, need not issue such notice himself.\" 3.1 In pursuance to the power vested under section 3 of the Relaxation Act, 2020, the Central Government issued following Notifications inter-alia extending the time lines prescribed -11- 2012, shall also be applicable for any assessment year beginning on or before the 1st day of April, 2012. . (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. (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 of such notice. 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.\" 3.1 In pursuance to the power vested under section 3 of the Relaxation Act, 2020, the Central Government issued following Notifications alia extending the time lines prescribed under section 149 for 2012, shall also be applicable for any assessment year beginning on . (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 ommissioner is satisfied, on the reasons recorded by the Assessing Officer, that it is a section (1), no notice cer, who is below the rank of Joint Commissioner, unless the Joint Commissioner is satisfied, on the reasons recorded by such Assessing Officer, that it ), 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 issue 3.1 In pursuance to the power vested under section 3 of the Relaxation Act, 2020, the Central Government issued following Notifications under section 149 for TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) issuance of reassessment notices under section 148 of the Income Tax Act, 1961: Date of Notification 31.03.2020 24.06.2020 31.03.2021 27.04.2021 The Explanations to the Notifications dated 31st March, 2021 and 27th April, 2021 issued under section 3 of the Relaxation Act, 2020 also stipulated that the provisions, as they existed prior to the amendment by the Finance Act, 2021, shall apply to the re proceedings initiated thereunder. 3.2 The Parliament introduced reformative changes to sections 147 to 151 of the Income Tax Act, 1961 governing reassessment proceedings by way of the Finance Act, 2021, which was passed on 28th March, 2021. The w.e.f. 01.04.2021, passed in the Finance Act, 2021, are as under: Income escaping assessment \"147 escaped assessment for any as may, subject to the provisions of sections 148 to 153, assess or reassess such income or recompute the loss or the depreciation allowance or any other allowance or deduction for such assessment 2025(O&M) issuance of reassessment notices under section 148 of the Income Tax Act, 1961: Date of Notification Original limitation for issuance of notice under Section 148 of the Act 31.03.2020 20.03.2020 to 29.06.2020 24.06.2020 20.03.2020 to 31.12.2020 31.03.2021 31.03.2021 27.04.2021 30.04.2021 The Explanations to the Notifications dated 31st March, 2021 and 27th April, 2021 issued under section 3 of the Relaxation Act, 2020 also stipulated that the provisions, as they existed prior to the amendment by the Finance Act, 2021, shall apply to the re proceedings initiated thereunder. 3.2 The Parliament introduced reformative changes to sections 147 to 151 of the Income Tax Act, 1961 governing reassessment proceedings by way of the Finance Act, 2021, which was passed on 28th March, 2021. The substituted sections 147 to 149 and section 151 applicable w.e.f. 01.04.2021, passed in the Finance Act, 2021, are as under: Income escaping assessment- \"147. If any income chargeable to tax, in the case of an assessee, has escaped assessment for any assessment year, the Assessing Officer may, subject to the provisions of sections 148 to 153, assess or reassess such income or recompute the loss or the depreciation allowance or any other allowance or deduction for such assessment -12- issuance of reassessment notices under section 148 of the Income Tax Original limitation for issuance of notice under Section 148 of the Act Extended Limitation 20.03.2020 to 29.06.2020 30.06.2020 20.03.2020 to 31.12.2020 31.03.2021 30.04.2021 30.06.2021 The Explanations to the Notifications dated 31st March, 2021 and 27th April, 2021 issued under section 3 of the Relaxation Act, 2020 also stipulated that the provisions, as they existed prior to the amendment by the Finance Act, 2021, shall apply to the reassessment 3.2 The Parliament introduced reformative changes to sections 147 to 151 of the Income Tax Act, 1961 governing reassessment proceedings by way of the Finance Act, 2021, which was passed on 28th March, substituted sections 147 to 149 and section 151 applicable w.e.f. 01.04.2021, passed in the Finance Act, 2021, are as under:- . If any income chargeable to tax, in the case of an assessee, has sessment year, the Assessing Officer may, subject to the provisions of sections 148 to 153, assess or reassess such income or recompute the loss or the depreciation allowance or any other allowance or deduction for such assessment issuance of reassessment notices under section 148 of the Income Tax The Explanations to the Notifications dated 31st March, 2021 and 27th April, 2021 issued under section 3 of the Relaxation Act, 2020 also stipulated that the provisions, as they existed prior to the assessment 3.2 The Parliament introduced reformative changes to sections 147 to 151 of the Income Tax Act, 1961 governing reassessment proceedings by way of the Finance Act, 2021, which was passed on 28th March, substituted sections 147 to 149 and section 151 applicable . If any income chargeable to tax, in the case of an assessee, has sessment year, the Assessing Officer may, subject to the provisions of sections 148 to 153, assess or reassess such income or recompute the loss or the depreciation allowance or any other allowance or deduction for such assessment TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) year (hereafter in this s as the relevant assessment year). Explanation. recomputation under this section, the Assessing Officer may assess or reassess the income in respect of any issu assessment, and such issue comes to his notice subsequently in the course of the proceedings under this section, irrespective of the fact that the provisions of section 1 Issue of notice where income 148 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, 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 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 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 2025(O&M) year (hereafter in this section and in sections 148 to 153 referred to as the relevant assessment year). Explanation.-For the purposes of assessment or reassessment or recomputation under this section, the Assessing Officer may assess or reassess the income in respect of any issu assessment, and such issue comes to his notice subsequently in the course of the proceedings under this section, irrespective of the fact that the provisions of section 148A have not been complied with Issue of notice where income has escaped assessment 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 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 -13- ection and in sections 148 to 153 referred to For the purposes of assessment or reassessment or recomputation under this section, the Assessing Officer may assess or reassess the income in respect of any issue, which has escaped assessment, and such issue comes to his notice subsequently in the course of the proceedings under this section, irrespective of the fact 48A have not been complied with\". 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 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 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 ection and in sections 148 to 153 referred to For the purposes of assessment or reassessment or recomputation under this section, the Assessing Officer may assess or e, which has escaped assessment, and such issue comes to his notice subsequently in the course of the proceedings under this section, irrespective of the fact . 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 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 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 such return Provided that no notice under this section shall be issued unless there is information with the Assessing Officer which suggests that the TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) income chargeable to tax has escaped assessme assessee for the relevant assessment year and the Assessing Officer has obtained prior approval of the specified authority to issue such notice. Explanation 1. information with th chargeable to tax has escaped assessment means (i) any information flagged in the case of the assessee for the relevant assessment year in accordance with the risk management strategy formulated by the B (ii) any final objection raised by the Comptroller and Auditor of India to the effect that the assessment in the case of the assessee for the relevant assessment year has not been made in accordance with the provisions of t Explanation 2. (i) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A, on or after the 1st day of April, 2021, in the case of t (ii) a survey is conducted under section 133A, other than under sub section (2A) or sub of April, 2021, in the case of the assessee; or (iii) the Assessing Officer is satisfied, with th Principal Commissioner or Commissioner, that any money, bullion, jewellery or other valuable article or thing, seized or requisitioned 2025(O&M) income chargeable to tax has escaped assessme assessee for the relevant assessment year and the Assessing Officer has obtained prior approval of the specified authority to issue such notice. Explanation 1.-For the purposes of this section and section 148A, the information with the Assessing Officer which suggests that the income chargeable to tax has escaped assessment means (i) any information flagged in the case of the assessee for the relevant assessment year in accordance with the risk management strategy formulated by the Board from time to time; (ii) any final objection raised by the Comptroller and Auditor of India to the effect that the assessment in the case of the assessee for the relevant assessment year has not been made in accordance with the provisions of this Act. Explanation 2.-For the purposes of this section, where (i) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A, on or after the 1st day of April, 2021, in the case of t (ii) a survey is conducted under section 133A, other than under sub section (2A) or sub-section (5) of that section, on or after the 1st day of April, 2021, in the case of the assessee; or (iii) the Assessing Officer is satisfied, with th Principal Commissioner or Commissioner, that any money, bullion, jewellery or other valuable article or thing, seized or requisitioned -14- 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 For the purposes of this section and section 148A, the e Assessing Officer which suggests that the income chargeable to tax has escaped assessment means- (i) any information flagged in the case of the assessee for the relevant assessment year in accordance with the risk management strategy oard from time to time; (ii) any final objection raised by the Comptroller and Auditor-General of India to the effect that the assessment in the case of the assessee for the relevant assessment year has not been made in accordance with purposes of this section, where- (i) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A, on or after the 1st day of April, 2021, in the case of the assessee; or (ii) a survey is conducted under section 133A, other than under sub section (5) of that section, on or after the 1st day of April, 2021, in the case of the assessee; or (iii) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner, that any money, bullion, jewellery or other valuable article or thing, seized or requisitioned nt 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 For the purposes of this section and section 148A, the e Assessing Officer which suggests that the income (i) any information flagged in the case of the assessee for the relevant assessment year in accordance with the risk management strategy General of India to the effect that the assessment in the case of the assessee for the relevant assessment year has not been made in accordance with (i) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A, on or (ii) a survey is conducted under section 133A, other than under sub- section (5) of that section, on or after the 1st day e prior approval of the Principal Commissioner or Commissioner, that any money, bullion, jewellery or other valuable article or thing, seized or requisitioned TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) under section 132 or under section 132A in case of any other person on or after the 1st day of Ap (iv) the Assessing Officer is satisfied, with the prior approval of Principal Commissioner or Commissioner, that any books of account or documents, seized or requisitioned under section 132 or section 132A in case of 2021, pertains or pertain 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 for the three assessment years immediately preceding the assessment year relevant to the previous year in which the search is initiated or books of account, other documents or any assets are requisitioned or s 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. means the specified authority referred to in section 151.\" Conducting inquiry, providing opportunity before issue of notice under section 148 \"148A section 148 2025(O&M) under section 132 or under section 132A in case of any other person on or after the 1st day of April, 2021, belongs to the assessee; or (iv) the Assessing Officer is satisfied, with the prior approval of Principal Commissioner or Commissioner, that any books of account or documents, seized or requisitioned under section 132 or section 132A in case of any other person on or after the 1st day of April, 2021, pertains or pertain 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 for the three assessment years immediately preceding the assessment year relevant to the previous year in which the search is initiated or books of account, other documents or any assets are requisitioned or s 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, speci means the specified authority referred to in section 151.\" Conducting inquiry, providing opportunity before issue of notice under section 148 – \"148A. The Assessing Officer shall, before issuing any notice under section 148- -15- under section 132 or under section 132A in case of any other person ril, 2021, belongs to the assessee; or (iv) the Assessing Officer is satisfied, with the prior approval of Principal Commissioner or Commissioner, that any books of account or documents, seized or requisitioned under section 132 or section any other person on or after the 1st day of April, 2021, pertains or pertain 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 for the three assessment years immediately preceding the assessment year relevant to the previous year in which 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. For the purposes of this section, specified authority means the specified authority referred to in section 151.\" Conducting inquiry, providing opportunity before issue of notice . The Assessing Officer shall, before issuing any notice under under section 132 or under section 132A in case of any other person (iv) the Assessing Officer is satisfied, with the prior approval of Principal Commissioner or Commissioner, that any books of account or documents, seized or requisitioned under section 132 or section any other person on or after the 1st day of April, 2021, pertains or pertain 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 for the three assessment years immediately preceding the assessment year relevant to the previous year in which the search is initiated or books of urvey 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 fied authority Conducting inquiry, providing opportunity before issue of notice . The Assessing Officer shall, before issuing any notice under TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) (a) conduct a specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (b) provide an opportunity of being heard to the assessee, with the prior app show cause within such time, as may be specified in the notice, being not less than seven days and but not exceeding thirty days from the date on which such notice is issued, or such time, as ma by him on the basis of an application in this behalf, as to why a notice under section 148 should not be issued on the basis of information which suggests that income chargeable to tax has escaped assessment in his case for the relevant asses conducted, if any, as per clause (a); (c) consider the reply of assessee furnished, if any, in response to the show (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 en which the reply referred to in clause (c) is received by him, or where no such reply is furnished, within one month from the end of the month in which time or extended time allowed to furnish a reply as per clause (b) expires: 2025(O&M) (a) conduct any enquiry, if required, with the prior approval of specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (b) provide an opportunity of being heard to the assessee, with the prior approval of specified authority, by serving upon him a notice to show cause within such time, as may be specified in the notice, being not less than seven days and but not exceeding thirty days from the date on which such notice is issued, or such time, as ma by him on the basis of an application in this behalf, as to why a notice under section 148 should not be issued on the basis of information which suggests that income chargeable to tax has escaped assessment in his case for the relevant asses conducted, if any, as per clause (a); (c) consider the reply of assessee furnished, if any, in response to the show-cause notice referred to in clause (b); (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 en which the reply referred to in clause (c) is received by him, or where no such reply is furnished, within one month from the end of the month in which time or extended time allowed to furnish a reply as per clause (b) expires: -16- ny enquiry, if required, with the prior approval of specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (b) provide an opportunity of being heard to the assessee, with the roval of specified authority, by serving upon him a notice to show cause within such time, as may be specified in the notice, being not less than seven days and but not exceeding thirty days from the date on which such notice is issued, or such time, as may be extended by him on the basis of an application in this behalf, as to why a notice under section 148 should not be issued on the basis of information which suggests that 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); (c) consider the reply of assessee furnished, if any, in response to the cause notice referred to in clause (b); (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 furnished, within one month from the end of the month in which time or extended time allowed to furnish a reply as ny enquiry, if required, with the prior approval of specified authority, with respect to the information which suggests (b) provide an opportunity of being heard to the assessee, with the roval of specified authority, by serving upon him a notice to show cause within such time, as may be specified in the notice, being not less than seven days and but not exceeding thirty days from the y be extended by him on the basis of an application in this behalf, as to why a notice under section 148 should not be issued on the basis of information which suggests that income chargeable to tax has escaped assessment sment year and results of enquiry (c) consider the reply of assessee furnished, if any, in response to the (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 d of the month in which the reply referred to in clause (c) is received by him, or where no such reply is furnished, within one month from the end of the month in which time or extended time allowed to furnish a reply as TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) Provided where (a) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A in the case of the assessee on or after the 1st day of (b) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any money, bullion, jewellery or other valuable article or thing, seized in a search under section 132 or requisitioned unde other person on or after the 1st day of April, 2021, belongs to the assessee; or (c) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any books of account or under section 132A, in case of any other person on or after the 1st day of April, 2021, pertains or pertain to, or any information contained therein, relate to, the assessee. Explanation. means the specified authority referred to in section 151.\" Time limit for notice \"149 assessment year (a) if three years have elapse year, unless the case falls under clause (b); 2025(O&M) Provided that the provisions of this section shall not apply in a case where- (a) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A in the case of the assessee on or after the 1st day of (b) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any money, bullion, jewellery or other valuable article or thing, seized in a search under section 132 or requisitioned under section 132A, in the case of any other person on or after the 1st day of April, 2021, belongs to the assessee; or (c) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any books of account or documents, seized in a search under section 132 or requisitioned under section 132A, in case of any other person on or after the 1st day of April, 2021, pertains or pertain to, or any information contained therein, relate to, the assessee. Explanation.-For the purposes of this section, specified authority means the specified authority referred to in section 151.\" Time limit for notice – \"149. (1) No notice under section 148 shall be issued for the relevant assessment year- (a) if three years have elapsed from the end of the relevant assessment year, unless the case falls under clause (b); -17- that the provisions of this section shall not apply in a case (a) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A in the case of the assessee on or after the 1st day of April, 2021; or (b) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any money, bullion, jewellery or other valuable article or thing, seized in a search under r section 132A, in the case of any other person on or after the 1st day of April, 2021, belongs to the (c) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any books of account documents, seized in a search under section 132 or requisitioned under section 132A, in case of any other person on or after the 1st day of April, 2021, pertains or pertain to, or any information contained r the purposes of this section, specified authority means the specified authority referred to in section 151.\" . (1) No notice under section 148 shall be issued for the relevant d from the end of the relevant assessment year, unless the case falls under clause (b); that the provisions of this section shall not apply in a case (a) a search is initiated under section 132 or books of account, other documents or any assets are requisitioned under section 132A in the (b) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any money, bullion, jewellery or other valuable article or thing, seized in a search under r section 132A, in the case of any other person on or after the 1st day of April, 2021, belongs to the (c) the Assessing Officer is satisfied, with the prior approval of the Principal Commissioner or Commissioner that any books of account documents, seized in a search under section 132 or requisitioned under section 132A, in case of any other person on or after the 1st day of April, 2021, pertains or pertain to, or any information contained r the purposes of this section, specified authority . (1) No notice under section 148 shall be issued for the relevant d from the end of the relevant assessment TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) (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 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: Provided that no notice un in a case for the relevant assessment year beginning on or before 1st day of April, 2021, if such notice could not have been issued at that time on account of being beyond the time limit specified under the provi immediately before the commencement of the Finance Act, 2021: Provided further that the provisions of this sub in a case, where a notice under section 153A, or s with section 153A, is required to be issued in relation to a search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A, on or before the 31st day of March, 2021: Provided also limitation as per this section, the time or extended time allowed to the assessee, as per show 148A or the period during which the proceeding under section 148 is stayed by an order or injunction of any court, shall be excluded: 2025(O&M) (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: Provided that no notice under section 148 shall be issued at any time in a case for the relevant assessment year beginning on or before 1st day of April, 2021, if such notice could not have been issued at that time on account of being beyond the time limit specified under the provisions of clause (b) of sub-section (1) of this section, as they stood immediately before the commencement of the Finance Act, 2021: Provided further that the provisions of this sub in a case, where a notice under section 153A, or s with section 153A, is required to be issued in relation to a search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A, on or before the 31st day of March, 2021: Provided also that for the purposes of computing the period of limitation as per this section, the time or extended time allowed to the assessee, as per show-cause notice issued under clause (b) of section 148A or the period during which the proceeding under section 148 is stayed by an order or injunction of any court, shall be excluded: -18- (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 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: der section 148 shall be issued at any time in a case for the relevant assessment year beginning on or before 1st day of April, 2021, if such notice could not have been issued at that time on account of being beyond the time limit specified under the section (1) of this section, as they stood immediately before the commencement of the Finance Act, 2021: Provided further that the provisions of this sub-section shall not apply in a case, where a notice under section 153A, or section 153C read with section 153A, is required to be issued in relation to a search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A, on or before the 31st day that for the purposes of computing the period of limitation as per this section, the time or extended time allowed to the cause notice issued under clause (b) of section 148A or the period during which the proceeding under section 148 is stayed by an order or injunction of any court, shall be excluded: (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 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 der section 148 shall be issued at any time in a case for the relevant assessment year beginning on or before 1st day of April, 2021, if such notice could not have been issued at that time on account of being beyond the time limit specified under the section (1) of this section, as they stood section shall not apply ection 153C read with section 153A, is required to be issued in relation to a search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A, on or before the 31st day that for the purposes of computing the period of limitation as per this section, the time or extended time allowed to the cause notice issued under clause (b) of section 148A or the period during which the proceeding under section 148A is stayed by an order or injunction of any court, shall be excluded: TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) Provided also that where immediately after the exclusion of the period referred to in the immediately preceding proviso, the period of limitation available to the Assessing Officer fo under clause (d) of section 148A is less than seven days, such remaining period shall be extended to seven days and the period of limitation under this sub accordingly. Explanation. shall include immovable property, being land or building or both, shares and securities, loans and advances, deposits in bank account. (2) The provisions of sub subj Sanction for issue of notice \"151 148A shall be (i) Principal Commissioner or Principal Director or Commissioner or Director, if three years or les end of the relevant assessment year; (ii) Principal Chief Commissioner or Principal Director General or where there is no Principal Chief Commissioner or Principal Director General, Chief Commissioner or Director years have elapsed from the end of the relevant assessment year. 9. Despite the substituted Sections 147 to 151 of the Income Tax Act, 1961, by the Finance Act, 2021 which came into force on 01.04.2021 many 2025(O&M) Provided also that where immediately after the exclusion of the period referred to in the immediately preceding proviso, the period of limitation available to the Assessing Officer fo under clause (d) of section 148A is less than seven days, such remaining period shall be extended to seven days and the period of limitation under this sub-section shall be deemed to be extended accordingly. Explanation.-For the purposes of clause (b) of this subsection, \"asset\" shall include immovable property, being land or building or both, shares and securities, loans and advances, deposits in bank account. (2) The provisions of sub-section (1) as to the issue of notice shall be subject to the provisions of section 151.' Sanction for issue of notice- \"151. Specified authority for the purposes of section 148 and section 148A shall be- (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; (ii) Principal Chief Commissioner or Principal Director General or where there is no Principal Chief Commissioner or Principal Director General, Chief Commissioner or Director years have elapsed from the end of the relevant assessment year. Despite the substituted Sections 147 to 151 of the Income Tax Act, 1961, by the Finance Act, 2021 which came into force on 01.04.2021 many -19- Provided also that where immediately after the exclusion of the period referred to in the immediately preceding proviso, the period of limitation available to the Assessing Officer for passing an order under clause (d) of section 148A is less than seven days, such remaining period shall be extended to seven days and the period of section shall be deemed to be extended s of clause (b) of this subsection, \"asset\" shall include immovable property, being land or building or both, shares and securities, loans and advances, deposits in bank account. section (1) as to the issue of notice shall be ect to the provisions of section 151.' . Specified authority for the purposes of section 148 and section (i) Principal Commissioner or Principal Director or Commissioner or s than three years have elapsed from the end of the relevant assessment year; (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.\" Despite the substituted Sections 147 to 151 of the Income Tax Act, 1961, by the Finance Act, 2021 which came into force on 01.04.2021 many Provided also that where immediately after the exclusion of the period referred to in the immediately preceding proviso, the period of r passing an order under clause (d) of section 148A is less than seven days, such remaining period shall be extended to seven days and the period of section shall be deemed to be extended s of clause (b) of this subsection, \"asset\" shall include immovable property, being land or building or both, shares and securities, loans and advances, deposits in bank account. section (1) as to the issue of notice shall be . Specified authority for the purposes of section 148 and section (i) Principal Commissioner or Principal Director or Commissioner or s than three years have elapsed from the (ii) Principal Chief Commissioner or Principal Director General or where there is no Principal Chief Commissioner or Principal Director General, if more than three Despite the substituted Sections 147 to 151 of the Income Tax Act, 1961, by the Finance Act, 2021 which came into force on 01.04.2021 many TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) reassessment notices under Section 148 of the Income Tax Act, 1961 were issued to the assessees after coming into force of Finance Act, 2021 i.e. after 01.04.2021, which were assailed before different High Courts on different grounds. Different High Courts quashed the reassessment notices under Section 148 of the Income Tax Act, 1961. Union of India challenged the judgments passed by different High Courts setting aside reassessment notices under Section 148 of the unamended Income Tax Act, which were issu Finance Act, 2021 before the Hon’ble Supreme Court of India in and Others Vs. Ashish Aggarwal Court partly allowed the appeals filed by the Union the judgment of Hon’ble Supreme Court in Aggarwal [2022] SCC Online SC 543 “5. on behalf of the Revenue and Shri C.A. Sundaram and Shri S. Ganesh, learned Senior Advocates and other learned counsel appearing on behalf of the respective assessee. 6. It cannot be disputed that the Income Tax Act (IT Act) by the Finance Act, 2021, radical and reformative changes are made governing the procedure for reassessment proceedings. Amended sections 147 to 149 and section 151 of the IT Act prescr reassessment proceedings. However, for several reasons, the same gave rise to numerous litigations and the reopening were challenged inter alia, on the grounds such as (1) no valid \"reason to believe\" (2) 2025(O&M) reassessment notices under Section 148 of the Income Tax Act, 1961 were issued to the assessees after coming into force of Finance Act, 2021 i.e. after 01.04.2021, which were assailed before different High Courts on different grounds. Different s quashed the reassessment notices under Section 148 of the Income Tax Act, 1961. Union of India challenged the judgments passed by different High Courts setting aside reassessment notices under Section 148 of the unamended Income Tax Act, which were issued after 01.04.2021 i.e. after coming into force of Finance Act, 2021 before the Hon’ble Supreme Court of India in and Others Vs. Ashish Aggarwal [2022] SCC Online SC 543 Court partly allowed the appeals filed by the Union the judgment of Hon’ble Supreme Court in Union of India and Others Vs. Ashish [2022] SCC Online SC 543 is reproduced as under: . We have heard Shri N. Venkataraman, learned ASG appearing on behalf of the Revenue and Shri C.A. Sundaram and Shri S. Ganesh, learned Senior Advocates and other learned counsel appearing on behalf of the respective assessee. . It cannot be disputed that by substitution of sections 147 to 151 of the Income Tax Act (IT Act) by the Finance Act, 2021, radical and reformative changes are made governing the procedure for reassessment proceedings. Amended sections 147 to 149 and section 151 of the IT Act prescribe the procedure governing initiation of reassessment proceedings. However, for several reasons, the same gave rise to numerous litigations and the reopening were challenged inter alia, on the grounds such as (1) no valid \"reason to believe\" (2) -20- reassessment notices under Section 148 of the Income Tax Act, 1961 were issued to the assessees after coming into force of Finance Act, 2021 i.e. after 01.04.2021, which were assailed before different High Courts on different grounds. Different s quashed the reassessment notices under Section 148 of the Income Tax Act, 1961. Union of India challenged the judgments passed by different High Courts setting aside reassessment notices under Section 148 of the unamended ed after 01.04.2021 i.e. after coming into force of Finance Act, 2021 before the Hon’ble Supreme Court of India in Union of India [2022] SCC Online SC 543 . Hon’ble Supreme Court partly allowed the appeals filed by the Union of India. Relevant portion of Union of India and Others Vs. Ashish is reproduced as under:- We have heard Shri N. Venkataraman, learned ASG appearing on behalf of the Revenue and Shri C.A. Sundaram and Shri S. Ganesh, learned Senior Advocates and other learned counsel appearing on by substitution of sections 147 to 151 of the Income Tax Act (IT Act) by the Finance Act, 2021, radical and reformative changes are made governing the procedure for reassessment proceedings. Amended sections 147 to 149 and section ibe the procedure governing initiation of reassessment proceedings. However, for several reasons, the same gave rise to numerous litigations and the reopening were challenged inter alia, on the grounds such as (1) no valid \"reason to believe\" (2) reassessment notices under Section 148 of the Income Tax Act, 1961 were issued to the assessees after coming into force of Finance Act, 2021 i.e. after 01.04.2021, which were assailed before different High Courts on different grounds. Different s quashed the reassessment notices under Section 148 of the Income Tax Act, 1961. Union of India challenged the judgments passed by different High Courts setting aside reassessment notices under Section 148 of the unamended ed after 01.04.2021 i.e. after coming into force of Union of India . Hon’ble Supreme of India. Relevant portion of Union of India and Others Vs. Ashish We have heard Shri N. Venkataraman, learned ASG appearing on behalf of the Revenue and Shri C.A. Sundaram and Shri S. Ganesh, learned Senior Advocates and other learned counsel appearing on by substitution of sections 147 to 151 of the Income Tax Act (IT Act) by the Finance Act, 2021, radical and reformative changes are made governing the procedure for reassessment proceedings. Amended sections 147 to 149 and section ibe the procedure governing initiation of reassessment proceedings. However, for several reasons, the same gave rise to numerous litigations and the reopening were challenged inter alia, on the grounds such as (1) no valid \"reason to believe\" (2) TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) no tangib assessing officer leading to formation of belief that income has escaped assessment, (3) no enquiry being conducted by the assessing officer prior to the issuance of notice; and reopening is based on change of opinion of the assessing officer and (4) lastly the mandatory procedure laid down by this Court in the case of (India) Ltd. v. Income Tax Officer and ors; (2003) 1 SCC 72 not been followed. 6.1 a maximum period up to six years and in some cases beyond even six years leading to uncertainty for a considerable time. Therefore, Parliament thought it fit to amend the Income Tax Act to simplify the tax administration, with a view to achieve the said object, by the Finance Act, 2021, sections 147 to 149 and section 151 have been substituted. 6.2 2021, no following the procedure prescribed under section 148A of the IT Act. Along with the notice under section 148 of the IT Act, the assessing officer (AO) is required to serve the order passed under of the IT Act. section 148A of the IT Act is a new provision which is in the nature of a condition precedent. Introduction of section 148A of the IT Act can thus be said to be a game changer with an aim to 2025(O&M) no tangible/reliable material/information in possession of the assessing officer leading to formation of belief that income has escaped assessment, (3) no enquiry being conducted by the assessing officer prior to the issuance of notice; and reopening is based on ange of opinion of the assessing officer and (4) lastly the mandatory procedure laid down by this Court in the case of (India) Ltd. v. Income Tax Officer and ors; (2003) 1 SCC 72 not been followed. 6.1 Further pre-Finance Act, 2021, a maximum period up to six years and in some cases beyond even six years leading to uncertainty for a considerable time. Therefore, Parliament thought it fit to amend the Income Tax Act to simplify the tax administration, ease compliances and reduce litigation. Therefore, with a view to achieve the said object, by the Finance Act, 2021, sections 147 to 149 and section 151 have been substituted. 6.2 Under the substituted provisions of the IT Act vide Finance Act, 2021, no notice under section 148 of the IT Act can be issued without following the procedure prescribed under section 148A of the IT Act. Along with the notice under section 148 of the IT Act, the assessing officer (AO) is required to serve the order passed under of the IT Act. section 148A of the IT Act is a new provision which is in the nature of a condition precedent. Introduction of section 148A of the IT Act can thus be said to be a game changer with an aim to -21- le/reliable material/information in possession of the assessing officer leading to formation of belief that income has escaped assessment, (3) no enquiry being conducted by the assessing officer prior to the issuance of notice; and reopening is based on ange of opinion of the assessing officer and (4) lastly the mandatory procedure laid down by this Court in the case of GKN Driveshafts (India) Ltd. v. Income Tax Officer and ors; (2003) 1 SCC 72, has Finance Act, 2021, the reopening was permissible for a maximum period up to six years and in some cases beyond even six years leading to uncertainty for a considerable time. Therefore, Parliament thought it fit to amend the Income Tax Act to simplify the ease compliances and reduce litigation. Therefore, with a view to achieve the said object, by the Finance Act, 2021, sections 147 to 149 and section 151 have been substituted. Under the substituted provisions of the IT Act vide Finance Act, notice under section 148 of the IT Act can be issued without following the procedure prescribed under section 148A of the IT Act. Along with the notice under section 148 of the IT Act, the assessing officer (AO) is required to serve the order passed under section 148A of the IT Act. section 148A of the IT Act is a new provision which is in the nature of a condition precedent. Introduction of section 148A of the IT Act can thus be said to be a game changer with an aim to le/reliable material/information in possession of the assessing officer leading to formation of belief that income has escaped assessment, (3) no enquiry being conducted by the assessing officer prior to the issuance of notice; and reopening is based on ange of opinion of the assessing officer and (4) lastly the mandatory GKN Driveshafts , has the reopening was permissible for a maximum period up to six years and in some cases beyond even six years leading to uncertainty for a considerable time. Therefore, Parliament thought it fit to amend the Income Tax Act to simplify the ease compliances and reduce litigation. Therefore, with a view to achieve the said object, by the Finance Act, 2021, Under the substituted provisions of the IT Act vide Finance Act, notice under section 148 of the IT Act can be issued without following the procedure prescribed under section 148A of the IT Act. Along with the notice under section 148 of the IT Act, the assessing section 148A of the IT Act. section 148A of the IT Act is a new provision which is in the nature of a condition precedent. Introduction of section 148A of the IT Act can thus be said to be a game changer with an aim to TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) achieve the ultimate object of simpli compliance and reduce litigation. 6.3 assessment, the procedure of giving the reasons for reopening and an opportunity to the assessee and the decision of the objec required to be followed as per the judgment of this Court in the case of GKN Driveshafts (India) Ltd. (supra). 6.4 streamlined and simplified. It provides that before issuing any noti under section 148, the assessing officer shall (i) conduct any enquiry, if required, with the approval of specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (ii) provide an oppor assessee, with the prior approval of specified authority; (iii) consider the reply of the assessee furnished, if any, in response to the show cause notice referred to in clause (b); and (iv) decide, on the basis of material ava whether or not it is a fit case to issue a notice under section 148 of the IT Act and (v) the AO is required to pass a specific order within the time stipulated. 6.5 148 of the IT Act is issued. At every stage, the prior approval of the specified authority is required, even for conducting the 2025(O&M) achieve the ultimate object of simpli compliance and reduce litigation. 6.3 But prior to pre-Finance Act, 2021, while reopening an assessment, the procedure of giving the reasons for reopening and an opportunity to the assessee and the decision of the objec required to be followed as per the judgment of this Court in the case of GKN Driveshafts (India) Ltd. (supra). 6.4 However, by way of section 148A, the procedure has now been streamlined and simplified. It provides that before issuing any noti under section 148, the assessing officer shall (i) conduct any enquiry, if required, with the approval of specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (ii) provide an oppor assessee, with the prior approval of specified authority; (iii) consider the reply of the assessee furnished, if any, in response to the show cause notice referred to in clause (b); and (iv) decide, on the basis of material available on record including reply of the assessee, as to whether or not it is a fit case to issue a notice under section 148 of the IT Act and (v) the AO is required to pass a specific order within the time stipulated. 6.5 Therefore, all safeguards are pr 148 of the IT Act is issued. At every stage, the prior approval of the specified authority is required, even for conducting the -22- achieve the ultimate object of simplifying the tax administration, ease Finance Act, 2021, while reopening an assessment, the procedure of giving the reasons for reopening and an opportunity to the assessee and the decision of the objectives were required to be followed as per the judgment of this Court in the case of GKN Driveshafts (India) Ltd. (supra). However, by way of section 148A, the procedure has now been streamlined and simplified. It provides that before issuing any noti under section 148, the assessing officer shall (i) conduct any enquiry, if required, with the approval of specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment; (ii) provide an opportunity of being heard to the assessee, with the prior approval of specified authority; (iii) consider the reply of the assessee furnished, if any, in response to the show cause notice referred to in clause (b); and (iv) decide, on the basis of ilable on record including reply of the assessee, as to whether or not it is a fit case to issue a notice under section 148 of the IT Act and (v) the AO is required to pass a specific order within the Therefore, all safeguards are provided before notice under section 148 of the IT Act is issued. At every stage, the prior approval of the specified authority is required, even for conducting the enquiry as per fying the tax administration, ease Finance Act, 2021, while reopening an assessment, the procedure of giving the reasons for reopening and an tives were required to be followed as per the judgment of this Court in the case However, by way of section 148A, the procedure has now been streamlined and simplified. It provides that before issuing any notice under section 148, the assessing officer shall (i) conduct any enquiry, if required, with the approval of specified authority, with respect to the information which suggests that the income chargeable to tax has tunity of being heard to the assessee, with the prior approval of specified authority; (iii) consider the reply of the assessee furnished, if any, in response to the show- cause notice referred to in clause (b); and (iv) decide, on the basis of ilable on record including reply of the assessee, as to whether or not it is a fit case to issue a notice under section 148 of the IT Act and (v) the AO is required to pass a specific order within the ovided before notice under section 148 of the IT Act is issued. At every stage, the prior approval of the enquiry as per TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) section 148A(a). Only in a case where, the assessing officer is of the opinion opportunity is to be given to the assessee, there is a requirement of conducting any enquiry, the assessing officer may do so and conduct any enquiry. Thus if the assessing officer is of the op enquiry is required, the assessing officer can do so, however, with the prior approval of the specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment. 6.6 for issuance of notice under section 148 of the IT Act. The substituted section 149 of the IT Act has reduced the permissible time limit for issuance of such a notice to three years and only in exceptional ten years. It also provides further additional safeguards which were absent under the earlier regime pre 7. being remedial and benevolent in nature and substituted wi specific aim and object to protect the rights and interest of the assessee as well as and the same being in public interest, the respective High Courts have rightly held that the benefit of new provisions shall be made available even in respect of the relating to past assessment years, provided section 148 notice has 2025(O&M) section 148A(a). Only in a case where, the assessing officer is of the opinion that before any notice is issued under section 148A(b) and an opportunity is to be given to the assessee, there is a requirement of conducting any enquiry, the assessing officer may do so and conduct any enquiry. Thus if the assessing officer is of the op enquiry is required, the assessing officer can do so, however, with the prior approval of the specified authority, with respect to the information which suggests that the income chargeable to tax has escaped assessment. 6.6 Substituted section 149 is the provision governing the time limit for issuance of notice under section 148 of the IT Act. The substituted section 149 of the IT Act has reduced the permissible time limit for issuance of such a notice to three years and only in exceptional ten years. It also provides further additional safeguards which were absent under the earlier regime pre Thus, the new provisions substituted by the Finance Act, 2021 being remedial and benevolent in nature and substituted wi specific aim and object to protect the rights and interest of the assessee as well as and the same being in public interest, the respective High Courts have rightly held that the benefit of new provisions shall be made available even in respect of the relating to past assessment years, provided section 148 notice has -23- section 148A(a). Only in a case where, the assessing officer is of the that before any notice is issued under section 148A(b) and an opportunity is to be given to the assessee, there is a requirement of conducting any enquiry, the assessing officer may do so and conduct any enquiry. Thus if the assessing officer is of the opinion that any enquiry is required, the assessing officer can do so, however, with the prior approval of the specified authority, with respect to the information which suggests that the income chargeable to tax has tion 149 is the provision governing the time limit for issuance of notice under section 148 of the IT Act. The substituted section 149 of the IT Act has reduced the permissible time limit for issuance of such a notice to three years and only in exceptional cases ten years. It also provides further additional safeguards which were absent under the earlier regime pre-Finance Act, 2021. Thus, the new provisions substituted by the Finance Act, 2021 being remedial and benevolent in nature and substituted with a specific aim and object to protect the rights and interest of the assessee as well as and the same being in public interest, the respective High Courts have rightly held that the benefit of new provisions shall be made available even in respect of the proceedings relating to past assessment years, provided section 148 notice has section 148A(a). Only in a case where, the assessing officer is of the that before any notice is issued under section 148A(b) and an opportunity is to be given to the assessee, there is a requirement of conducting any enquiry, the assessing officer may do so and conduct inion that any enquiry is required, the assessing officer can do so, however, with the prior approval of the specified authority, with respect to the information which suggests that the income chargeable to tax has tion 149 is the provision governing the time limit for issuance of notice under section 148 of the IT Act. The substituted section 149 of the IT Act has reduced the permissible time limit for cases ten years. It also provides further additional safeguards which were Thus, the new provisions substituted by the Finance Act, 2021 th a specific aim and object to protect the rights and interest of the assessee as well as and the same being in public interest, the respective High Courts have rightly held that the benefit of new proceedings relating to past assessment years, provided section 148 notice has TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) been issued on or after 1st April, 2021. We are in complete agreement with the view taken by the various High Courts in holding so. 8. Courts would result in no reassessment proceedings at all, even if the same are permissible under the Finance Act, 2021 and as per substituted sections 147 to 151 of the IT Act. The Revenue cannot be made remediless and the object and proceedings cannot be frustrated. It is true that due to a bonafide mistake and in view of subsequent extension of time vide various notifications, the Revenue issued the impugned notices under section 148 after the amendment was e unamended section 148. In our view the same ought not to have been issued under the unamended Act and ought to have been issued under the substituted provisions of sections 147 to 151 of the IT Act as per the Finance Ac the amendments as the officers of the Revenue may have been under a bonafide belief that the amendments may not yet have been enforced. Therefore, we are of the opinion that some leeway must be shown i that regard which the High Courts could have done so. Therefore, instead of quashing and setting aside the reassessment notices issued under the unamended provision of IT Act, the High Courts ought to have passed an order construing the notices issued un Act/unamended provision of the IT Act as those deemed to have been issued under section 148A of the IT Act as per the new provision 2025(O&M) been issued on or after 1st April, 2021. We are in complete agreement with the view taken by the various High Courts in holding so. However, at the same time, the judgment Courts would result in no reassessment proceedings at all, even if the same are permissible under the Finance Act, 2021 and as per substituted sections 147 to 151 of the IT Act. The Revenue cannot be made remediless and the object and proceedings cannot be frustrated. It is true that due to a bonafide mistake and in view of subsequent extension of time vide various notifications, the Revenue issued the impugned notices under section 148 after the amendment was enforced w.e.f. 01.04.2021, under the unamended section 148. In our view the same ought not to have been issued under the unamended Act and ought to have been issued under the substituted provisions of sections 147 to 151 of the IT Act as per the Finance Act, 2021. There appears to be genuine nonapplication of the amendments as the officers of the Revenue may have been under a bonafide belief that the amendments may not yet have been enforced. Therefore, we are of the opinion that some leeway must be shown i that regard which the High Courts could have done so. Therefore, instead of quashing and setting aside the reassessment notices issued under the unamended provision of IT Act, the High Courts ought to have passed an order construing the notices issued un Act/unamended provision of the IT Act as those deemed to have been issued under section 148A of the IT Act as per the new provision -24- been issued on or after 1st April, 2021. We are in complete agreement with the view taken by the various High Courts in holding so. However, at the same time, the judgments of the several High Courts would result in no reassessment proceedings at all, even if the same are permissible under the Finance Act, 2021 and as per substituted sections 147 to 151 of the IT Act. The Revenue cannot be made remediless and the object and purpose of reassessment proceedings cannot be frustrated. It is true that due to a bonafide mistake and in view of subsequent extension of time vide various notifications, the Revenue issued the impugned notices under section nforced w.e.f. 01.04.2021, under the unamended section 148. In our view the same ought not to have been issued under the unamended Act and ought to have been issued under the substituted provisions of sections 147 to 151 of the IT Act as per t, 2021. There appears to be genuine nonapplication of the amendments as the officers of the Revenue may have been under a bonafide belief that the amendments may not yet have been enforced. Therefore, we are of the opinion that some leeway must be shown i that regard which the High Courts could have done so. Therefore, instead of quashing and setting aside the reassessment notices issued under the unamended provision of IT Act, the High Courts ought to have passed an order construing the notices issued under unamended Act/unamended provision of the IT Act as those deemed to have been issued under section 148A of the IT Act as per the new provision been issued on or after 1st April, 2021. We are in complete agreement s of the several High Courts would result in no reassessment proceedings at all, even if the same are permissible under the Finance Act, 2021 and as per substituted sections 147 to 151 of the IT Act. The Revenue cannot be purpose of reassessment proceedings cannot be frustrated. It is true that due to a bonafide mistake and in view of subsequent extension of time vide various notifications, the Revenue issued the impugned notices under section nforced w.e.f. 01.04.2021, under the unamended section 148. In our view the same ought not to have been issued under the unamended Act and ought to have been issued under the substituted provisions of sections 147 to 151 of the IT Act as per t, 2021. There appears to be genuine nonapplication of the amendments as the officers of the Revenue may have been under a bonafide belief that the amendments may not yet have been enforced. Therefore, we are of the opinion that some leeway must be shown in that regard which the High Courts could have done so. Therefore, instead of quashing and setting aside the reassessment notices issued under the unamended provision of IT Act, the High Courts ought to der unamended Act/unamended provision of the IT Act as those deemed to have been issued under section 148A of the IT Act as per the new provision TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) section 148A and the Revenue ought to have been permitted to proceed further with the reassessment proceedings substituted provisions of sections 147 to 151 of the IT Act as per the Finance Act, 2021, subject to compliance of all the procedural requirements and the defences, which may be available to the assessee under the substituted provisions of sect IT Act and which may be available under the Finance Act, 2021 and in law. Therefore, we propose to modify the judgments and orders passed by the respective High Courts as under: 2025(O&M) section 148A and the Revenue ought to have been permitted to proceed further with the reassessment proceedings substituted provisions of sections 147 to 151 of the IT Act as per the Finance Act, 2021, subject to compliance of all the procedural requirements and the defences, which may be available to the assessee under the substituted provisions of sect IT Act and which may be available under the Finance Act, 2021 and in law. Therefore, we propose to modify the judgments and orders passed by the respective High Courts as under: (i) The respective impugned section 148 notices issu respective assessees shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, 2021 and treated to be show 148A(b). The respective assessing officers shall within thi days from today provide to the assessees the information and material relied upon by the Revenue so that the assessees can reply to the notices within two weeks thereafter; (ii) The requirement of conducting any enquiry with the prior approval of the specified authority under section 148A(a) be dispensed with as a one-time measure vis which have been issued under Section 148 of the unamended Act from 01.04.2021 till date, including those which have been quashed by the High Courts; -25- section 148A and the Revenue ought to have been permitted to proceed further with the reassessment proceedings as per the substituted provisions of sections 147 to 151 of the IT Act as per the Finance Act, 2021, subject to compliance of all the procedural requirements and the defences, which may be available to the assessee under the substituted provisions of sections 147 to 151 of the IT Act and which may be available under the Finance Act, 2021 and in law. Therefore, we propose to modify the judgments and orders passed by the respective High Courts as under: - (i) The respective impugned section 148 notices issued to the respective assessees shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, 2021 and treated to be show-cause notices in terms of section 148A(b). The respective assessing officers shall within thi days from today provide to the assessees the information and material relied upon by the Revenue so that the assessees can reply to the notices within two weeks thereafter; (ii) The requirement of conducting any enquiry with the prior specified authority under section 148A(a) be time measure vis-a-vis those notices which have been issued under Section 148 of the unamended Act from 01.04.2021 till date, including those which have been quashed by the High Courts; section 148A and the Revenue ought to have been permitted to as per the substituted provisions of sections 147 to 151 of the IT Act as per the Finance Act, 2021, subject to compliance of all the procedural requirements and the defences, which may be available to the ions 147 to 151 of the IT Act and which may be available under the Finance Act, 2021 and in law. Therefore, we propose to modify the judgments and orders ed to the respective assessees shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, cause notices in terms of section 148A(b). The respective assessing officers shall within thirty days from today provide to the assessees the information and material relied upon by the Revenue so that the assessees can (ii) The requirement of conducting any enquiry with the prior specified authority under section 148A(a) be vis those notices which have been issued under Section 148 of the unamended Act from 01.04.2021 till date, including those which have been TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 9. learned ASG appearing on behalf of the Revenue and the learned Senior Advocates/learned counsel appearing on behalf of the respective assessees. We are also of the opinion that if the aforesai order is passed, it will strike a balance between the rights of the Revenue as well as the respective assesses as because of a bonafide belief of the officers of the Revenue in issuing approximately 90000 such notices, the Revenue may not suffer as ultim exchequer which would suffer. Therefore, we have proposed to pass the present order with a view avoiding filing of further appeals before 2025(O&M) (iii) The assessing officers shall thereafter pass an order in terms of section 148A(d) after following the due procedure as required under section 148A(b) in respect of each of the concerned assessees; (iv) All the defences which may be available to the a under section 149 and/or which may be available under the Finance Act, 2021 and in law and whatever rights are available to the Assessing Officer under the Finance Act, 2021 are kept open and/or shall continue to be available and; (v) The present order shall substitute/modify respective judgments and orders passed by the respective High Courts quashing the similar notices issued under unamended section 148 of the IT Act irrespective of whether they have been assailed before this Court or not. There is a broad consensus on the aforesaid aspects amongst the learned ASG appearing on behalf of the Revenue and the learned Senior Advocates/learned counsel appearing on behalf of the respective assessees. We are also of the opinion that if the aforesai order is passed, it will strike a balance between the rights of the Revenue as well as the respective assesses as because of a bonafide belief of the officers of the Revenue in issuing approximately 90000 such notices, the Revenue may not suffer as ultim exchequer which would suffer. Therefore, we have proposed to pass the present order with a view avoiding filing of further appeals before -26- iii) The assessing officers shall thereafter pass an order in terms of section 148A(d) after following the due procedure as required under section 148A(b) in respect of each of the (iv) All the defences which may be available to the assessee under section 149 and/or which may be available under the Finance Act, 2021 and in law and whatever rights are available to the Assessing Officer under the Finance Act, 2021 are kept open and/or shall continue to be available and; order shall substitute/modify respective judgments and orders passed by the respective High Courts quashing the similar notices issued under unamended section 148 of the IT Act irrespective of whether they have been assailed before this Court or not. There is a broad consensus on the aforesaid aspects amongst the learned ASG appearing on behalf of the Revenue and the learned Senior Advocates/learned counsel appearing on behalf of the respective assessees. We are also of the opinion that if the aforesai order is passed, it will strike a balance between the rights of the Revenue as well as the respective assesses as because of a bonafide belief of the officers of the Revenue in issuing approximately 90000 such notices, the Revenue may not suffer as ultimately it is the public exchequer which would suffer. Therefore, we have proposed to pass the present order with a view avoiding filing of further appeals before iii) The assessing officers shall thereafter pass an order in terms of section 148A(d) after following the due procedure as required under section 148A(b) in respect of each of the ssessee under section 149 and/or which may be available under the Finance Act, 2021 and in law and whatever rights are available to the Assessing Officer under the Finance Act, 2021 are kept order shall substitute/modify respective judgments and orders passed by the respective High Courts quashing the similar notices issued under unamended section 148 of the IT Act irrespective of whether they have been There is a broad consensus on the aforesaid aspects amongst the learned ASG appearing on behalf of the Revenue and the learned Senior Advocates/learned counsel appearing on behalf of the respective assessees. We are also of the opinion that if the aforesaid order is passed, it will strike a balance between the rights of the Revenue as well as the respective assesses as because of a bonafide belief of the officers of the Revenue in issuing approximately 90000 ately it is the public exchequer which would suffer. Therefore, we have proposed to pass the present order with a view avoiding filing of further appeals before TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) this Court and burden this Court with approximately 9000 appeals against the similar judgments Courts, the particulars of some of which are referred to hereinabove. We have also proposed to pass the aforesaid order in exercise of our powers under Article 142 of the Constitution of India by holding that the prese orders passed by the High Court of Judicature at Allahabad, but shall also be made applicable in respect of the similar judgments and orders passed by various High Courts across the country and the 10. Appeals are ALLOWED IN PART. The impugned common judgments and orders passed by the High Court of Judicature at Allahabad in W.T. No. 524/2021 and other allied tax appeals/petitions, is/are hereby modified and substituted as under: 2025(O&M) this Court and burden this Court with approximately 9000 appeals against the similar judgments and orders passed by the various High Courts, the particulars of some of which are referred to hereinabove. We have also proposed to pass the aforesaid order in exercise of our powers under Article 142 of the Constitution of India by holding that the present order shall govern, not only the impugned judgments and orders passed by the High Court of Judicature at Allahabad, but shall also be made applicable in respect of the similar judgments and orders passed by various High Courts across the country and therefore the present order shall be applicable to PAN INDIA. 10. In view of the above and for the reasons stated above, the present Appeals are ALLOWED IN PART. The impugned common judgments and orders passed by the High Court of Judicature at Allahabad in W.T. No. 524/2021 and other allied tax appeals/petitions, is/are hereby modified and substituted as under: (i) The impugned section 148 notices issued to the respective assessees which were issued under unamended section 148 of the IT Act, which were the subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, 2021 and construed or treated to be show cause notices in terms of section assessing officer shall, within thirty days from today provide to the respective assessees information and material relied upon -27- this Court and burden this Court with approximately 9000 appeals and orders passed by the various High Courts, the particulars of some of which are referred to hereinabove. We have also proposed to pass the aforesaid order in exercise of our powers under Article 142 of the Constitution of India by holding that nt order shall govern, not only the impugned judgments and orders passed by the High Court of Judicature at Allahabad, but shall also be made applicable in respect of the similar judgments and orders passed by various High Courts across the country and refore the present order shall be applicable to PAN INDIA. In view of the above and for the reasons stated above, the present Appeals are ALLOWED IN PART. The impugned common judgments and orders passed by the High Court of Judicature at Allahabad in W.T. No. 524/2021 and other allied tax appeals/petitions, is/are hereby modified and substituted as under: - (i) The impugned section 148 notices issued to the respective assessees which were issued under unamended section 148 of he subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, 2021 and construed or treated cause notices in terms of section 148A(b). The assessing officer shall, within thirty days from today provide to the respective assessees information and material relied upon this Court and burden this Court with approximately 9000 appeals and orders passed by the various High Courts, the particulars of some of which are referred to hereinabove. We have also proposed to pass the aforesaid order in exercise of our powers under Article 142 of the Constitution of India by holding that nt order shall govern, not only the impugned judgments and orders passed by the High Court of Judicature at Allahabad, but shall also be made applicable in respect of the similar judgments and orders passed by various High Courts across the country and In view of the above and for the reasons stated above, the present Appeals are ALLOWED IN PART. The impugned common judgments and orders passed by the High Court of Judicature at Allahabad in W.T. No. 524/2021 and other allied tax appeals/petitions, is/are (i) The impugned section 148 notices issued to the respective assessees which were issued under unamended section 148 of he subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under section 148A of the IT Act as substituted by the Finance Act, 2021 and construed or treated 148A(b). The assessing officer shall, within thirty days from today provide to the respective assessees information and material relied upon TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 11. The present order shall be applicable PAN INDIA and all judgments and orders passed by different High Courts on the issue and under which similar notices which were issued after 01.04.2021 2025(O&M) by the Revenue, so that the assesees can reply to the show cause notices within two weeks thereafter; (ii) The requirement of conducting any enquiry, if required, with the prior approval of specified authority under section 148A(a) is hereby dispensed with as a one avis those notices which have been issued under section 148 of the unamended Act from 01.04.2021 till date, including those which have been quashed by the High Courts. as observed hereinabove holding any enquiry with the prior approval of specified authority is not mandatory but it is for the concerned Assessing Officers to (iii) The assessing officers shall thereafter pass orders in terms of section 148A(d) in respect of each of the concerned assessees; Thereafter after following the procedure as required under section 148A may issue notice u substituted); (iv) All defences which may be available to the assesses including those available under section 149 of the IT Act and all rights and contentions which may be available to the concerned assessees and Revenue under the Fi and in law shall continue to be available. . The present order shall be applicable PAN INDIA and all judgments and orders passed by different High Courts on the issue and under which similar notices which were issued after 01.04.2021 -28- by the Revenue, so that the assesees can reply to the show cause notices within two weeks thereafter; requirement of conducting any enquiry, if required, with the prior approval of specified authority under section 148A(a) is hereby dispensed with as a one-time measure vis avis those notices which have been issued under section 148 of m 01.04.2021 till date, including those which have been quashed by the High Courts. Even otherwise as observed hereinabove holding any enquiry with the prior approval of specified authority is not mandatory but it is for the concerned Assessing Officers to hold any enquiry, if required; (iii) The assessing officers shall thereafter pass orders in terms of section 148A(d) in respect of each of the concerned assessees; Thereafter after following the procedure as required under section 148A may issue notice under section 148 (as (iv) All defences which may be available to the assesses including those available under section 149 of the IT Act and all rights and contentions which may be available to the concerned assessees and Revenue under the Finance Act, 2021 and in law shall continue to be available. . The present order shall be applicable PAN INDIA and all judgments and orders passed by different High Courts on the issue and under which similar notices which were issued after 01.04.2021 by the Revenue, so that the assesees can reply to the show- requirement of conducting any enquiry, if required, with the prior approval of specified authority under section time measure vis- avis those notices which have been issued under section 148 of m 01.04.2021 till date, including those Even otherwise as observed hereinabove holding any enquiry with the prior approval of specified authority is not mandatory but it is for the hold any enquiry, if required; (iii) The assessing officers shall thereafter pass orders in terms of section 148A(d) in respect of each of the concerned assessees; Thereafter after following the procedure as required nder section 148 (as (iv) All defences which may be available to the assesses including those available under section 149 of the IT Act and all rights and contentions which may be available to the nance Act, 2021 . The present order shall be applicable PAN INDIA and all judgments and orders passed by different High Courts on the issue and under which similar notices which were issued after 01.04.2021 TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) issued under section 148 of the Act are set aside and shall be governed by the present order and shall stand modified to the aforesaid extent. The present order is passed in exercise of powers under Article 142 of the Constitution of India so as to avoid any further appeals by the Revenue on the very issue by challenging similar judgments and orders, with a view not to burden this Court with approximately 9000 appeals. We also observe that present order shall also govern the pending writ petitions, pending be High Courts in which similar notices under Section 148 of the Act issued after 01.04.2021 are under challenge. 12. The impugned common judgments and orders passed by the High Court of Allahabad and the similar judgments and orders passed by various High Courts, more particularly, the respective judgments and orders passed by the various High Courts particulars of which are mentioned hereinabove, shall stand modified/substituted to the aforesaid extent only. 10. Therefore, in above referred t in case of Union of India and Others Vs. Ashish Aggarwa SC 543l, Hon’ble the Supreme Court held that the impugned notices 148 issued to the respective assessees which were issued under 148 of the Income Tax Act the various respective High Courts shall be deemed to have been issued under Section 148-A of the Income Tax Act as substituted by the Finance Act, 2021 and be construed or treated to be show cause notices in terms of Section 148A(b). It 2025(O&M) sued under section 148 of the Act are set aside and shall be governed by the present order and shall stand modified to the aforesaid extent. The present order is passed in exercise of powers under Article 142 of the Constitution of India so as to avoid any further appeals by the Revenue on the very issue by challenging similar judgments and orders, with a view not to burden this Court with approximately 9000 appeals. We also observe that present order shall also govern the pending writ petitions, pending be High Courts in which similar notices under Section 148 of the Act issued after 01.04.2021 are under challenge. . The impugned common judgments and orders passed by the High Court of Allahabad and the similar judgments and orders passed by various High Courts, more particularly, the respective judgments and orders passed by the various High Courts particulars of which are mentioned hereinabove, shall stand modified/substituted to the aforesaid extent only. Therefore, in above referred to judgment of Hon’ble Supreme Court Union of India and Others Vs. Ashish Aggarwa , Hon’ble the Supreme Court held that the impugned notices 148 issued to the respective assessees which were issued under 148 of the Income Tax Act, 1961 and were subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under A of the Income Tax Act as substituted by the Finance Act, 2021 and be construed or treated to be show cause notices in terms of Section 148A(b). It -29- sued under section 148 of the Act are set aside and shall be governed by the present order and shall stand modified to the aforesaid extent. The present order is passed in exercise of powers under Article 142 of the Constitution of India so as to avoid any further appeals by the Revenue on the very issue by challenging similar judgments and orders, with a view not to burden this Court with approximately 9000 appeals. We also observe that present order shall also govern the pending writ petitions, pending before various High Courts in which similar notices under Section 148 of the Act issued after 01.04.2021 are under challenge. . The impugned common judgments and orders passed by the High Court of Allahabad and the similar judgments and orders passed by various High Courts, more particularly, the respective judgments and orders passed by the various High Courts particulars of which are mentioned hereinabove, shall stand modified/substituted to the o judgment of Hon’ble Supreme Court Union of India and Others Vs. Ashish Aggarwal [2022] SCC Online , Hon’ble the Supreme Court held that the impugned notices under Section 148 issued to the respective assessees which were issued under unamended Section and were subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under A of the Income Tax Act as substituted by the Finance Act, 2021 and be construed or treated to be show cause notices in terms of Section 148A(b). It sued under section 148 of the Act are set aside and shall be governed by the present order and shall stand modified to the aforesaid extent. The present order is passed in exercise of powers under Article 142 of the Constitution of India so as to avoid any further appeals by the Revenue on the very issue by challenging similar judgments and orders, with a view not to burden this Court with approximately 9000 appeals. We also observe that present order fore various High Courts in which similar notices under Section 148 of the Act . The impugned common judgments and orders passed by the High Court of Allahabad and the similar judgments and orders passed by various High Courts, more particularly, the respective judgments and orders passed by the various High Courts particulars of which are mentioned hereinabove, shall stand modified/substituted to the o judgment of Hon’ble Supreme Court [2022] SCC Online Section unamended Section and were subject matter of writ petitions before the various respective High Courts shall be deemed to have been issued under A of the Income Tax Act as substituted by the Finance Act, 2021 and be construed or treated to be show cause notices in terms of Section 148A(b). It TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) was further held that the Assessing Officer shall, within 30 days from the date of passing of the judgment i.e. 04.05.2022 information and material relied upon by the Revenue, so that the Assessees can reply to the show cause notices within 2 weeks thereafter. It was further held by the Hon’ble Supreme Court that the requirement of conducting any enquiry, if required, with the prior approva dispensed with as one time measure viz under Section 148 of the unamended Act from 01.04.2021 date i.e. 04.05.2022 Officer shall thereafter pass orders in terms of Section 148A(d) in respect of each of the concerned assessees and thereafter, after following the procedure as required under Section 148A may issue notice 11. On 11.05.2022 Vs. Ashish Aggarwal implementation of the decision in clarified that the judgment in Ashish Aggarwal would apply to all the cases where extended reassessment notices were issued, irrespective of the fact whether such notices were challenged or not. These instructions further stated that reassessment notices would “travel back in time to their original date when such notices were to be issued and then new Section 149 of the Income Tax Act is to be applied at that point.” The instructions further elaborated the mechanism for issuing notices under Section 148 of considering the replies furnished by the assessees passed orders under Section 148A(d) and subsequently notices under Section 148 of the new regime were 2025(O&M) was further held that the Assessing Officer shall, within 30 days from the date of passing of the judgment i.e. 04.05.2022, provide to the respective assessees d material relied upon by the Revenue, so that the Assessees can reply to the show cause notices within 2 weeks thereafter. It was further held by the Hon’ble Supreme Court that the requirement of conducting any enquiry, if required, with the prior approval of specified authority under Section 148A(a) is dispensed with as one time measure viz-a-viz those notices which were issued under Section 148 of the unamended Act from 01.04.2021 date i.e. 04.05.2022 (Decision in Ashish Aggarwal Officer shall thereafter pass orders in terms of Section 148A(d) in respect of each of the concerned assessees and thereafter, after following the procedure as required under Section 148A may issue notice(s) under Section 148 On 11.05.2022 following the decision in Vs. Ashish Aggarwal, the Central Board of Direct Taxes issued instructions for the implementation of the decision in Ashish Aggarwal’s case (supra larified that the judgment in Ashish Aggarwal would apply to all the cases where extended reassessment notices were issued, irrespective of the fact whether such notices were challenged or not. These instructions further stated that reassessment “travel back in time to their original date when such notices were to be issued and then new Section 149 of the Income Tax Act is to be applied at that point.” The instructions further elaborated the mechanism for issuing notices under Section 148 of the new regime. The Assessing Officers accordingly after considering the replies furnished by the assessees passed orders under Section 148A(d) and subsequently notices under Section 148 of the new regime were -30- was further held that the Assessing Officer shall, within 30 days from the date of provide to the respective assessees d material relied upon by the Revenue, so that the Assessees can reply to the show cause notices within 2 weeks thereafter. It was further held by the Hon’ble Supreme Court that the requirement of conducting any enquiry, if l of specified authority under Section 148A(a) is viz those notices which were issued under Section 148 of the unamended Act from 01.04.2021 (Finance Act, 2021) (Decision in Ashish Aggarwal). Further that the Assessing Officer shall thereafter pass orders in terms of Section 148A(d) in respect of each of the concerned assessees and thereafter, after following the procedure as required under Section 148 (as substituted). the decision in Union of India and Others , the Central Board of Direct Taxes issued instructions for the Ashish Aggarwal’s case (supra), wherein it was larified that the judgment in Ashish Aggarwal would apply to all the cases where extended reassessment notices were issued, irrespective of the fact whether such notices were challenged or not. These instructions further stated that reassessment “travel back in time to their original date when such notices were to be issued and then new Section 149 of the Income Tax Act is to be applied at that point.” The instructions further elaborated the mechanism for issuing notices the new regime. The Assessing Officers accordingly after considering the replies furnished by the assessees passed orders under Section 148A(d) and subsequently notices under Section 148 of the new regime were was further held that the Assessing Officer shall, within 30 days from the date of provide to the respective assessees d material relied upon by the Revenue, so that the Assessees can reply to the show cause notices within 2 weeks thereafter. It was further held by the Hon’ble Supreme Court that the requirement of conducting any enquiry, if l of specified authority under Section 148A(a) is viz those notices which were issued (Finance Act, 2021) till he Assessing Officer shall thereafter pass orders in terms of Section 148A(d) in respect of each of the concerned assessees and thereafter, after following the procedure as required Union of India and Others , the Central Board of Direct Taxes issued instructions for the wherein it was larified that the judgment in Ashish Aggarwal would apply to all the cases where extended reassessment notices were issued, irrespective of the fact whether such notices were challenged or not. These instructions further stated that reassessment “travel back in time to their original date when such notices were to be issued and then new Section 149 of the Income Tax Act is to be applied at that point.” The instructions further elaborated the mechanism for issuing notices the new regime. The Assessing Officers accordingly after considering the replies furnished by the assessees passed orders under Section 148A(d) and subsequently notices under Section 148 of the new regime were TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) issued to the assessees by the Assessing Off 2022, for the Assessment Year 2013 2017-2018. These notices were challenged before several High Courts, who declared the notices to be invalid being time barred and appropriate sanction of the specified authority. 12. In deal with the issue as to whether or not reassessment notices were issued within the time limits prescribed under th relaxations provided under the Taxation Provisions) Act Section 148 of the new regime issued to the assessee between July and September 2022 2015, 2015-2016, 2016 being issued without appropriate sanction of specified authority challenged by way of filing the appeals before the Hon’ble Supreme Court in Union of India and Others Vs. Rajiv Bansal the following issues in “B. 18. 2025(O&M) issued to the assessees by the Assessing Officers for the Assessment Year 2013-2014, 2014 2018. These notices were challenged before several High Courts, who declared the notices to be invalid being time barred and appropriate sanction of the specified authority. Ashish Aggarwal’s case (supra) deal with the issue as to whether or not reassessment notices were issued within the time limits prescribed under the provisions of Income Tax Act relaxations provided under the Taxation and Other Laws (Relaxation of Certain Provisions) Act, 2020 (TOLA). Different High Courts declared the notices under Section 148 of the new regime issued to the assessee between July and September 2022, for the Assessment Year 2013 2016, 2016-2017 and 2017-2018 to be invalid issued without appropriate sanction of specified authority challenged by way of filing the appeals before the Hon’ble Supreme Court in Union of India and Others Vs. Rajiv Bansal. T the following issues in Union of India and Others Vs. Rajiv Bansal B. Issues 18. The present batch of appeals gives rise to the following issues: a. Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and b. Whether the reassessment notices issued under Section 148 of the new regime between July and September 2022 are valid.” -31- icers, between July and September 2014, 2014-2015, 2015-2016, 2016-2017 and 2018. These notices were challenged before several High Courts, who declared the notices to be invalid being time barred and being issued without the Ashish Aggarwal’s case (supra) Hon’ble Supreme Court did deal with the issue as to whether or not reassessment notices were issued within the e provisions of Income Tax Act, 1961 read with Other Laws (Relaxation of Certain ifferent High Courts declared the notices under Section 148 of the new regime issued to the assessees by the Assessing Officers for the Assessment Year 2013-2014, 2014 2018 to be invalid, being time barred and issued without appropriate sanction of specified authority. The same we challenged by way of filing the appeals before the Hon’ble Supreme Court in . The Hon’ble Supreme Court framed Union of India and Others Vs. Rajiv Bansal :- batch of appeals gives rise to the following issues: Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and Whether the reassessment notices issued under Section between July and September 2022 are between July and September 2017 and 2018. These notices were challenged before several High Courts, who issued without the not deal with the issue as to whether or not reassessment notices were issued within the read with Other Laws (Relaxation of Certain ifferent High Courts declared the notices under s by the Assessing Officers 2014, 2014- being time barred and he same were challenged by way of filing the appeals before the Hon’ble Supreme Court in he Hon’ble Supreme Court framed batch of appeals gives rise to the following issues:- Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and Whether the reassessment notices issued under Section between July and September 2022 are TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 13. Before proceeding further it would be appropriate to reproduce the relevant portion of the judgment passed by the Hon’ble Supreme Court in the case of Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) reproduced as under : B. 18. C. Submissions 19. India, made the following submissions on behalf of the Revenue: 2025(O&M) Before proceeding further it would be appropriate to reproduce the relevant portion of the judgment passed by the Hon’ble Supreme Court in the case Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) reproduced as under :- Issues 18. The present batch of appeals give a. Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and b. Whether the reassessment notices issued under Section 148 of the new regime between July and September 2022 are valid. C. Submissions 19. Mr N Venkataraman, learned Additional Solicitor General of India, made the following submissions on behalf of the Revenue: a. Parliament enacted TOLA as a free provide relief and relaxation to both the assesses and the Revenue during the time of COVID actions and proceedings that could not be completed or complied with within the orig Income Tax Act; b. Section 149 of the new regime provides three crucial benefits to the assesses: (i) the four- year time limit for all situations has been reduced to three years; -32- Before proceeding further it would be appropriate to reproduce the relevant portion of the judgment passed by the Hon’ble Supreme Court in the case Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC). The same The present batch of appeals gives rise to the following issues: Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and reassessment notices issued under Section 148 of the new regime between July and September 2022 are Mr N Venkataraman, learned Additional Solicitor General of India, made the following submissions on behalf of the Revenue: liament enacted TOLA as a free-standing legislation to provide relief and relaxation to both the assesses and the Revenue during the time of COVID- 19. TOLA seeks to relax actions and proceedings that could not be completed or complied with within the original time limits specified under the b. Section 149 of the new regime provides three crucial benefits year time limit for all situations has been reduced Before proceeding further it would be appropriate to reproduce the relevant portion of the judgment passed by the Hon’ble Supreme Court in the case The same is s rise to the following issues:- Whether TOLA and notification issued under it will also apply to reassessment notices issued after 1 April 2021; and reassessment notices issued under Section 148 of the new regime between July and September 2022 are Mr N Venkataraman, learned Additional Solicitor General of standing legislation to provide relief and relaxation to both the assesses and the 19. TOLA seeks to relax actions and proceedings that could not be completed or inal time limits specified under the b. Section 149 of the new regime provides three crucial benefits year time limit for all situations has been reduced TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 2025(O&M) (ii) the first proviso to Section 149 for previous assessment years cannot be undertaken beyond six years; and (iii) the monetary threshold of Rupees fifty lakhs will apply to the reassessment for previous assessment years; c. The relaxations provided under Section \"notwithstanding anything contained in the specified Act.\" Section 3(1), therefore, overrides the time limits for issuing a notice under Section 148 read with section 149 of the Income Tax Act; d. TOLA does not extend the life of the old provides a relaxation for the completion or compliance of actions following the procedure laid down under the new regime; e. The Finance Act 2021 substituted the old regime for re assessment with a new regime. The first proviso to Sectio does not expressly bar the application of TOLA. Section 3 of TOLA applies to the entire Income Tax Act, including Sections 149 and 151 of the new regime. Once the first proviso to Section 149(1)(b) is read with TOLA, then all the notices issued between 1 April 2021 and 30 June 2021 pertaining to assessment years 2013-2014, 2014 2017, and 2017-2018 will be within the period of limitation as explained in the tabulation below: -33- (ii) the first proviso to Section 149 ensures that re-assessment for previous assessment years cannot be undertaken beyond six (iii) the monetary threshold of Rupees fifty lakhs will apply to the reassessment for previous assessment years; c. The relaxations provided under Section 3(1) of TOLA apply \"notwithstanding anything contained in the specified Act.\" Section 3(1), therefore, overrides the time limits for issuing a notice under Section 148 read with section 149 of the Income d. TOLA does not extend the life of the old regime. It merely provides a relaxation for the completion or compliance of actions following the procedure laid down under the new e. The Finance Act 2021 substituted the old regime for re assessment with a new regime. The first proviso to Section 149 does not expressly bar the application of TOLA. Section 3 of TOLA applies to the entire Income Tax Act, including Sections 149 and 151 of the new regime. Once the first proviso to Section 149(1)(b) is read with TOLA, then all the notices issued en 1 April 2021 and 30 June 2021 pertaining to 2014, 2014-2015, 2015-2016, 2016 2018 will be within the period of limitation as explained in the tabulation below: assessment for previous assessment years cannot be undertaken beyond six (iii) the monetary threshold of Rupees fifty lakhs will apply to 3(1) of TOLA apply \"notwithstanding anything contained in the specified Act.\" Section 3(1), therefore, overrides the time limits for issuing a notice under Section 148 read with section 149 of the Income regime. It merely provides a relaxation for the completion or compliance of actions following the procedure laid down under the new e. The Finance Act 2021 substituted the old regime for re- n 149 does not expressly bar the application of TOLA. Section 3 of TOLA applies to the entire Income Tax Act, including Sections 149 and 151 of the new regime. Once the first proviso to Section 149(1)(b) is read with TOLA, then all the notices issued en 1 April 2021 and 30 June 2021 pertaining to 2016, 2016- 2018 will be within the period of limitation as TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) CONCLUSION 14. A perusal of Bansal (supra) Additional Solicitor General of India, notices issued on or after 1 April 2021 will have to be dropped as they will not fall for completion during the period prescribed under TOLA 15. Admittedly, Tax Act, 1961 without following the procedure for issuance of notice as per la Finance Act, 2021. 2025(O&M) Assessment Year Within 3 years Expiry of Limitation read with TOLA for 2013-2014 31.03.2017 T O L A not applicable 2014-2015 31.03.2018 T O L A not applicable 2015-2016 31.03.2019 T O L A not applicable 2016-2017 31.03.2020 30.06.2021 2017-2018 31.03.2021 30.06.2021 f. The Revenue concedes that for the assessment all notices issued on or after 1 April 2021 will have to be dropped as they will not fall for completion during the period prescribed under TOLA; CONCLUSION A perusal of para 19 (f) of the judgment passed in the case of shows that it is conceded position of the respondents, through the Additional Solicitor General of India, that for the assessment year 2015 notices issued on or after 1 April 2021 will have to be dropped as they will not fall during the period prescribed under TOLA Admittedly, notice dated 29.07.2022 for the Assessment Year 2015- without following the procedure for issuance of notice as per la Finance Act, 2021. -34- Expiry of Limitation read with TOLA for Within six Years Expiry of Limitation read with TOLA for (4) (5) T O L A not applicable 31.03.2020 30.06.2021 T O L A not applicable 31.03.2021 30.06.2021 T O L A not applicable 31.03.2022 T O L A not applicable 30.06.2021 31.03.2023 T O L A not applicable 30.06.2021 31.03.2024 T O L A not applicable f. The Revenue concedes that for the assessment year 2015- all notices issued on or after 1 April 2021 will have to be dropped as they will not fall for completion during the period para 19 (f) of the judgment passed in the case of Rajiv ion of the respondents, through the for the assessment year 2015-16, all notices issued on or after 1 April 2021 will have to be dropped as they will not fall during the period prescribed under TOLA. 29.07.2022 under Section 148 of the Income -2016 was issued to the petitioner without following the procedure for issuance of notice as per law amended by Expiry of Limitation read with TOLA for (4) 30.06.2021 30.06.2021 T O L A not T O L A not T O L A not -16, all notices issued on or after 1 April 2021 will have to be dropped as they will not fall for completion during the period Rajiv ion of the respondents, through the 16, all notices issued on or after 1 April 2021 will have to be dropped as they will not fall of the Income issued to the petitioner w amended by the TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document CWP-10888-2025(O&M) 16. In view of the statement made by Additional Solicitor General of India in para 19 (f) of issued under Section 148 barred by limitation. 17. In view of the above, t dated 29.07.2022 issued under Section 148 of the Act and consequential proceedings are 18. Pending application (LISA GILL) JUDGE April 24, 2025 tripti Whether speaking/non Whether reportable 2025(O&M) In view of the statement made by Additional Solicitor General of para 19 (f) of Rajeev Bansal’s case (supra), under Section 148 of the Act and consequential proceedings barred by limitation. In view of the above, the present writ petition is dated 29.07.2022 issued under Section 148 of the Act and consequential are hereby set aside. Pending application(s), if any, also stand disposed of. ) Whether speaking/non-speaking : Speaking Whether reportable : Yes -35- In view of the statement made by Additional Solicitor General of ’s case (supra), notice dated 29.07.2022 of the Act and consequential proceedings would be he present writ petition is allowed and notice dated 29.07.2022 issued under Section 148 of the Act and consequential also stand disposed of. (SUDEEPTI SHARMA) JUDGE speaking : Speaking : Yes In view of the statement made by Additional Solicitor General of notice dated 29.07.2022 would be notice dated 29.07.2022 issued under Section 148 of the Act and consequential TRIPTI SAINI 2025.05.07 13:26 I attest to the accuracy and integrity of this document "