TaxTMI 
TaxTMI 
2025 (10) TMI 848
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....48 of the Act, although the reopening is barred by limitation being escaped income was less than Rs. 50 lacs and does not fall under the extended time limitation u/s. 149(1)(b) of the Act. For this, the assessee has raised the following two grounds:- (i) That the NFAC has erred in law and on facts in upholding the validity of reassessment proceedings initiated under section 148 of the Act without appreciating that the notice under section 148 was issued beyond the limitation prescribed under section 149(1)(a), and hence, is bad in law and void ab intio. ii) That the Ld. CIT(A) has erred in failing to appreciate that the income alleged to have escaped assessment was less than Rs. 50 lacs, and therefore, the extended time li....
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....024. In response to such notice, the assessee submitted that in this case the income escaped assessment is below Rs. 50.00 lacs, therefore, the notice dated 09.02.2024 was issued for A.Y. 2017-18 whereas the last date for issuing the notice under section 148A(b) was upto 31.03.2021 as the income escaped assessment for the said year was much below Rs. 50,00,000/-. It was further submitted that during proceedings under section 148A(b) it was submitted that department is not correct as the assessee had not purchased any property during the year under consideration which is alleged to have been purchased for Rs. 32,20,000/-. Further, in the said reply, an objection was raised that the income which can be considered as escaped assessment is less....
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....erence and his brother Sh. Bhupinder Singh. It was further submitted that the Assessing Officer was well within his knowledge that the total share of the sale consideration of the property works out to Rs. 35,12,000/- which was much below the limit of Rs. 50 lacs and the proceedings initiated against the assessee under section 148 were void ab initio. It was further explained that the notice has been issued considering that the income has escaped assessment for more than Rs. 50 lacs as per the provisions laid down under clause b of sub-section 1 of Section 149 of the Income Tax Act, 1961 which is against the facts of the case as the information on the basis of which the notice issued under section 148 is incorrect and as per the correct inf....
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....otice, the Assessing officer recorded that income chargeable to tax has escaped assessment and that the order under sub-section (d) of Section 148A of the Act has been passed. We find force in the contention of the Ld.AR that in response to the said notice, the assessee submitted that in this case the income escaped assessment is below Rs. 50.00 lacs, therefore, the notice dated 09.02.2024 was issued for A.Y. 2017-18 whereas the last date for issuing the notice under section 148A(b) was upto 31.03.2021 as the income escaped assessment for the said year was much below Rs. 50,00,000/-. It was further submitted that department is not correct as the assessee had not purchased any property during the year under consideration which is alleged to ....
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....h is after the date mentioned in the act so the notice issued is barred by time as per the law. In view of above, Ld. AR has submitted that the notice has been issued against both the co-owners i.e. the assessee under reference and his brother Sh. Bhupinder Singh. It was further submitted that the Assessing Officer was well within his knowledge that the total share of the sale consideration of the property works out to Rs. 35,12,000/- which was much below the limit of Rs. 50 lacs and the proceedings initiated against the assessee under section 148 were void ab initio. The notice has been issued considering that the income has escaped assessment for more than Rs. 50 lacs as per the provisions laid down under clause b of sub-section 1 of Sect....