2025 (4) TMI 1667

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....ar (AY) 2016-17. 2. The petitioner had filed a revised return of income for AY 2016-17 on 07.06.2017, declaring an income of Rs.26,84,910/-. On 14.10.2020, a search was conducted under Section 132 of the Act in the case of Sh. Manoj Kumar Singh, his associates, and various transacting parties, which also covered the premises and locker of the petitioner. 3. It is the petitioner's contention that no incriminating material pertaining to the searched persons was found during the said search, thus no further proceedings were warranted. However, the respondent issued a notice under Section 148 of the Act on 30.03.2021. 4. Subsequently, proceedings under Section 153A of the Act were initiated against the petitioner by issuance of a notic....

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....irection from the Supreme Court to reopen the case, citing the rejection tax, Central-3 v. Abhisar Buildwell Pvt. Ltd. (supra). 8. On 30.08.2024, the AO, rejected the petitioner's reply, and passed an order under Section 148A(d) of the Act, deeming the case fit for reopening and further issued a notice under Section 148 of the Act, asserting that the proceedings were within the limitation period by invoking Section 150 of the Act. 9. The impugned notice is clearly beyond the period as stipulated under Section 149(1) of the Act. However, it is the Revenue's case that the impugned notice is within the time by virtue of Section 150 of the Act. The Revenue claims that the impugned notice is premised on the 'findings and directions' as emb....

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....to resort to reassessment. 39. However, the Supreme Court caveated that observation by observing that the initiation of reassessment would be ".....subject to fulfilment of the conditions mentioned in Sections 147/148, as in such a situation, the Revenue cannot be left with no remedy". This sentiment came to be reiterated with the Supreme Court observing that the power of the Revenue to initiate reassessment must be saved failing which it would be left with no remedy. It was thereafter observed in paragraph 36.4 of the report that insofar as completed or unabated assessments were concerned, they could be reopened by the AO by invocation of Sections 147/148 of the Act, subject to the fulfilment of the conditions "......as envisaged/....