Case Note & Summary
The petitioner filed a writ petition challenging a reassessment notice under Section 148 of the Income Tax Act, 1961 and the consequent Assessment Order for Assessment Year 2012-13 -- The petitioner contended that the proceedings were time-barred since the Assessment Year preceded 01.04.2021 and the notice would have been invalid under pre-amendment provisions -- The respondent conceded that the issue was covered by an earlier decision of the Court -- The Court examined the proviso to Section 149(1)(b) and held that for Assessment Years before 01.04.2021, reassessment must adhere to time limits as they stood before the Finance Act, 2021 -- Since the notice was based on search materials and issued beyond the limitation period under Section 153A, it was quashed along with the Assessment Order -- The petition was allowed
Headnote
The High Court of Gujarat at Ahmedabad allowed the writ petition filed under Article 226 of the Constitution of India -- The petitioner challenged the notice issued under Section 148 of the Income Tax Act, 1961 and the consequent Assessment Order passed under Section 147 read with Section 143(3) of the Income Tax Act, 1961 dated 18.05.2025 for Assessment Year 2012-13 -- The Court held that the reassessment proceedings were time-barred -- The Assessment Year 2012-13 precedes 01.04.2021 -- As per the proviso to Section 149(1)(b) of the Income Tax Act, 1961, no notice under Section 148 could be issued if it would have been beyond the time limit specified under pre-Finance Act, 2021 provisions -- The reassessment was based on documents discovered during a search conducted on 11.11.2022 -- Under Section 153A of the Income Tax Act, 1961, which governed such cases before amendments, the notice was issued beyond the permissible time limit -- The Court quashed the notice and Assessment Order as being without jurisdiction -- The matter was disposed of in terms of the earlier decision in Special Civil Application No. 16615 of 2025 dated 05.01.2026
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Issue of Consideration: The Issue of whether the reassessment notice issued under Section 148 of the Income Tax Act, 1961 and the consequent Assessment Order were time-barred and therefore invalid
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Final Decision
The High Court allowed the writ petition -- The notice under Section 148 of the Income Tax Act, 1961 and the consequent Assessment Order dated 18.05.2025 were quashed and set aside -- The reassessment proceedings were declared time-barred and without jurisdiction -- The matter was disposed of in terms of the decision in Special Civil Application No. 16615 of 2025 dated 05.01.2026
