Court Allows Writ Applications, Clarifies Section 153C Application

The court found the writ applications maintainable, allowing for further consideration of the case seeking relief including quashing impugned notices and staying assessment proceedings for specific years. Emphasizing prospective application of Section 153C from 01.06.2015, failure to apply amendments pre-dated this would impact substantive rights. The court held that alternative limitation periods should be considered for notices under Section 153C, not automatically time-barred if one period elapsed. Interpreting Section 153A, the court specified relevant assessment years post-search, quashing notices under Section 153C and setting aside jurisdictionally flawed assessment orders. Petition allowed based on precedent principles.

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Issues:
1. Maintainability of writ applications
2. Applicability of Section 153C of the Act
3. Bar on limitation for notice u/s. 153C
4. Relevant Assessment Years under Section 153A

Issue 1: Maintainability of writ applications
The court found the writ applications to be maintainable, allowing for further consideration of the case. The petitioners sought various reliefs, including the quashing of impugned notices and staying further assessment proceedings for specific assessment years.

Issue 2: Applicability of Section 153C of the Act
The court addressed the applicability of Section 153C of the Act, emphasizing that the amended provisions were to be applied prospectively from 01.06.2015. It was noted that failure to apply these amendments to searches conducted before the specified date would impact the substantive rights of individuals falling under the section.

Issue 3: Bar on limitation for notice u/s. 153C
Regarding the limitation for issuing notices under Section 153C, the court held that alternative periods of limitation provided by the statute should be considered. Merely because one period had elapsed did not automatically render the notices time-barred.

Issue 4: Relevant Assessment Years under Section 153A
The court interpreted Section 153A of the Act concerning the issuance of notices following a search or requisition. The judgment highlighted the specific assessment years relevant to different search dates, ensuring that notices issued beyond the specified assessment years would be considered beyond jurisdiction.

The final order quashed the impugned notices under Section 153C of the Income Tax Act and set aside assessment orders initiated without jurisdiction. The court applied principles from a previous case to the present matter, leading to the allowance of the petition and the quashing of the impugned notice and related assessment orders.

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