2025 (10) TMI 239 - SCH - Income Tax

Revenue's SLP dismissed for 1,040-day delay; assessee did not conceal facts to permit section 148 notice beyond four years

SC dismissed the revenue's SLP for gross unexplained delay of 1,040 days. The HC had held that the assessee did not fail to disclose material facts such ... Validity of Reopening of assessment - Reasons to believe - notice beyond a period of four years - AO to assume the jurisdiction to issue notice u/s 148 - as decided by HC [2022 (7) TMI 1601 - GUJARAT HIGH COURT] there is no failure on part of the petitioner assessee to disclose truly and fully all material facts during the course of regular assessment, failure of which would enable the AO to assume the jurisdiction to issue notice u/s 148 of the Act beyond a period of four years from the completion of assessment year as per the proviso to section 147 of the Act. Delay in filling SLP by revenue - HELD THAT:- There is a gross delay of 1040 days in filing the Special Leave Petition which has not been satisfactorily explained by the petitioner - Revenue. The Special Leave Petition is, accordingly, dismissed on the ground of delay. There is a 'gross delay of 1040 days in filing the Special Leave Petition' which 'has not been satisfactorily explained by the petitioner - Revenue.' On that basis the court held the 'Special Leave Petition is, accordingly, dismissed on the ground of delay.' The order treats explanation of delay as determinative; failure to provide a satisfactory cause for inordinate delay precludes exercise of the Court's discretionary jurisdiction under special leave. All ancillary reliefs are affected: 'Pending applications, if any, also stand disposed of.' The decision rests on procedural grounds (delay and insufficiency of explanation) rather than adjudication of the merits of the underlying dispute.