Reassessment limitation under section 149 and TOLA: notice beyond the surviving period was held time-barred and invalid.

A reassessment notice issued under section 148 for assessment year 2015-16 was held beyond the surviving limitation period after the substituted reassessment regime took effect. The analysis applied the time limits under section 149 and the extension framework under TOLA as interpreted in Rajeev Bansal, but those provisions did not save a notice issued on 30.06.2022 where the permissible period had already expired on 31.03.2022. The notice was therefore time-barred and without jurisdiction, and the reassessment addition could not stand.

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Issues: Whether the reassessment notice issued for assessment year 2015-16 was barred by limitation in view of the substituted reassessment provisions and the time extension under TOLA.

Analysis: The reopening was tested against the time limits applicable after the substituted reassessment regime came into force and the effect of TOLA as interpreted in Rajeev Bansal. The relevant notice under section 148 was issued on 30.06.2022. For assessment year 2015-16, the permissible period under the applicable regime had already expired on 31.03.2022, and the extended benefit under TOLA did not assist the Revenue on these facts. Since the notice itself was beyond the surviving limitation period, the reassessment proceedings could not be sustained.

Conclusion: The reassessment notice was time-barred and invalid, and the addition made in the reassessment could not stand.

Ratio Decidendi: A reassessment notice issued beyond the surviving limitation period under section 149 read with TOLA is without jurisdiction and liable to be quashed.

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