CIT ( Appeal) disallowed ground for validity of 148 Notice post Rajeev bansal case

[Ajay Ajmera]

Dear all

In one of my client case for A.Y. 213-14, the Ground of appeal we have challenged the validity of 148 issued on 14.07.2022. the facts of the case are as below:-

1. Date of Original 148: 28.05.2021

2.Date of 148A(b): 20.05.22

3. time to allow replies: 15 days

4. date of 148a(1)(d) and 148: 14.07.2022

The CIT (Appeal) has also mentioned the date of 148A(1)(b) is 20.05.2022, however at the time of calculating the validity period he wrongly considered the date of issue as 28.05.2022. Therefore, he held that the 148 was issued in time.

Now i seek your expert advice for option available to us. The CIT(Appeal) has also remanded the case to ITO for verification evidences for cash deposit in the Bank.

Thanks

Awaiting your advice

AI Summary

Notice under section 148 held time barred when the operative show cause date made issuance beyond limitation.
A notice under section 148 dated 14.07.2022 for AY 2013-14 is ex facie time barred where the operative post Ashish Agarwal show cause communication was issued on 20.05.2022; limitation under Section 149(1)(b) and CBDT instructions make fresh reassessment notices valid only within the prescribed outer limit, and remand or merits proceedings do not cure a jurisdictional defect.