SCN & Order-in-Original issued after death of the assesse. Whether recovery can be initiated by department ?

[GAURAV SHARMA]

SCN was issued on October' 2020 and O-i-O was issued on December 2021. But the assessee died in the year 2019 i.e. before the issuance of SCN & O-i-O.

Kindly advide the process for the closure of the instant case so that Recovery from the department can be stopped.

AI Summary

Can recovery proceedings start if Show Cause Notice and Order-in-Original are issued post assessee's death? A discussion on whether recovery proceedings can be initiated when a Show Cause Notice (SCN) and Order-in-Original (OIO) are issued after the death of an assessee. Participants agree that recovery cannot be pursued against a deceased person, rendering such notices void. If the deceased's business continues, the successor may be liable; otherwise, liability is limited to the deceased's estate. Legal representatives should be notified for recovery, not the deceased. Several legal precedents support this view, and participants suggest approaching the High Court if the department insists on recovery against legal heirs.