TaxTMI 
TaxTMI 
2025 (5) TMI 1797
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....gistered e-mail of the assessee. However, no return of income in response to the said notice was filed. Subsequently, the Assessing Officer issued notices u/s 142(1) of the Act on 07.01.2022, 27.01.2022 and 16.02.2022 along with detailed questionnaire. However, again there was no compliance to the said statutory notices. The Assessing Officer therefore, proceeded to complete the assessment on the basis of information available on record. He noted that the assessee during the impugned assessment year has deposited cash to the extent of Rs. 2,23,20,800/- in the bank account maintained with HDFC Bank. The assessee has also received interest of Rs. 3,86,810/- on which TDS of Rs. 38,681/- was made u/s 194A of the Act. Further, TCS statement shows a transaction of Rs. 60,01,813/- during the year under consideration. In absence of filing of any return of income and in absence of any explanation regarding the nature and source of the above transactions, the Assessing Officer treated the cash deposited to the extent of Rs. 2,23,20,800/- as unexplained money u/s 69A and brought to tax the same. Similarly, the Assessing Officer also made addition of Rs. 3,86,810/- being the interest income re....
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....e to amend, alter, substitute any of the above appeal grounds and or to raise new or additional grounds of appeal at the time of hearing. 8. The Ld. Counsel for the assessee at the outset while challenging the validity of re-assessment proceedings submitted that the Assessing Officer has issued the notice u/s 148 of the Act on 31.03.2021 for the assessment year 2013-14 and the limitation period for the impugned assessment year ends on 31.03.2020. He submitted that TOLA extending the date after 31.03.2021 is not applicable to the facts of the present case. Referring to the decision of the Hon'ble Bombay High Court in the case of New India Assurance Company Ltd. vs. The Asst. Commissioner of Income Tax, Circle reported in (2024) 158 taxmann.com 367 (Bom) [2024 (1) TMI 803] and the decision of the Mumbai Bench of the Tribunal in the case of DCIT vs. Amcor Flexibles India Pvt. Ltd. vide ITA No.3842/MUM/2024 order dated 06.09.2024, he submitted that under identical circumstances the re-assessment notices issued for assessment year 2013-14 have been quashed. He accordingly submitted that such re-assessment proceedings initiated by issue of notice u/s 148 of the Act on 31.03.2021 being b....
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....ty and accordingly notice u/s 148 of the Act was issued on 31.03.2021. It is the submission of the Ld. Counsel for the assessee that the assessment year being assessment year 2013-14 the notice issued on 31.03.2021 is barred by limitation since the 6 year limitation period ends on 31.03.2020 and the TOLA has extended the date after 31.03.2021 and not on 31.03.2020. It is also his submission that in view of the decision of the Hon'ble Bombay High Court in the case of New India Assurance Company Ltd. Vs. ACIT (supra), notification of the CBDT vide No.20/2021, dated 31.03.2021 and the decision of the Mumbai Bench of the Tribunal in the case of DCIT vs. Amcor Flexibles India Pvt. Ltd. (supra), the notice issued u/s 148 of the Act on 31.03.2021 for assessment year 2013-14 being barred by limitation, the entire re-assessment proceedings have to be quashed. 13. We do not find any merit in the arguments advanced by the Ld. Counsel for the assessee challenging the validity of reopening of assessment. It is an admitted fact that the notice u/s 148 of the Act was issued by the Assessing Officer on 31.03.2021. 14. We find the Hon'ble Supreme Court in the case of Union of India vs. Rajeev....
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....3-2021 30-6-2021 31-3-2024 TOLA not applicable f. The Revenue concedes that for the assessment year 2015-16, all notices issued on or after 1 April 2021 will have to be dropped as they will not fall for completion during the period prescribed under TOLA; g. Section 2 of TOLA defines "specified Act" to mean and include the Income Tax Act. The new regime, which came into effect on 1 April 2021, is now part of the Income Tax Act. Therefore, TOLA continues to apply to the Income Tax Act even after 1 April 2021; and h. Ashish Agarwal (supra) treated Section 148 notices issued by the Revenue between 1 April 2021 and 30 June 2021 as show-cause notices in terms of Section 148A(b). Thereafter, the Revenue issued notices under Section 148 of the new regime between July and August 2022. Invalidation of the Section 148 notices issued under the new regime on the ground that they were issued beyond the time limit specified under the Income Tax Act read with TOLA will completely frustrate the judicial exercise undertaken by this Court in Ashish Agarwal (supra). 15. Similarly, at para 46 of the order the Hon'ble Supreme Court has observed as under: "46. The ingredients of the provi....
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.... directions issued by this Court in Ashish Agarwal (supra), and the period of two weeks allowed to the assesses to respond to the show cause notices; and h. The assessing officers were required to issue the reassessment notice under Section 148 of the new regime within the time limit surviving under the Income Tax Act read with TOLA. All notices issued beyond the surviving period are time barred and liable to be set aside;" (emphasis supplied by us)" 17. A perusal of the above clearly shows that the Assessing Officer has time upto 30.06.2021 and since the notice is dated 31.03.2021, therefore, the same is in order and therefore, the reopening of assessment is held to be valid in law. 18. So far as the decision of the Mumbai Bench of the Tribunal in the case of DCIT vs. Amcor Flexibles India Pvt. Ltd. (supra) is concerned, in that case the notice u/s 148 of the Act for the assessment year 2013-14 was issued on 20.04.2021 i.e. after 31.03.2021, in response to which the assessee challenged the re-opening of assessment by filing its objections vide letter dated 09.06.2021 stating that the mandatory procedure under the new section 148A of the Act was not followed and hence notice is ....