TaxTMI 
TaxTMI 
TaxTMI 
2025 (10) TMI 1313
X X X X Extracts X X X X
X X X X Extracts X X X X
....No. 2. The same are ordered to be taken on record. 4.1. This Court passed the following order on 1st May, 2024 : "1. Heard learned advocate Mr. B.S. Soparkar for the petitioner. 2. It was submitted that the respondent has issued notice under Section 148 on the basis of the order passed under Section 148A(d) of the Income Tax Act, 1961 on the basis of information made available with the department that the petitioner having old PAN No. AABCR5577P which has been amalgamated with Waves Foods Private Limited having PAN No. AAACW4408M by the order of this Court dated 01st September, 2009, which was later on renamed as Rasna Private Limited PAN No. AAACW4408M has entered into the transactions in the old PAN number though the company is amalgamated. 2.1 It was submitted that the petitioner has explained in detail that there is no transaction in the old PAN number and all the transactions which are referred to on the basis of the information available with the department through computer system are reflected in the books of accounts of the petitioner having new PAN No. AAACW4408M. 2.2 Learned advocate Mr. Soparkar invited our attention that for the A.....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... are issued under section 148 of the Act on the basis of information which is not correct as per the record available with the department, till date no compliance is made to the order dated 1st May, 2024 even though the notice was served on 21st May, 2024 as per affidavit of service filed by the petitioner. Therefore, respondent No. 2 is ordered to remain present before this Court in person or through virtual mode for compliance of order dated 1st May, 2024, failing which, the Court shall be compelled to pass necessary order under the provisions of Contempt of Courts Act,1971. It is also pertinent to note that this matter is already listed for 10 times. Stand over to 1st September, 2025. Direct service today through email is permitted. To be listed on top of the Board." 4.3. In compliance of the order dated 26th August, 2025, the respondent No. 2 remained present through video conference on 1st September, 2025 and following order was passed: "In compliance of our order dated 26.08.2025, learned Senior Standing Counsel Ms. Maithili Mehta for the respondents has filed affidavit-in-reply on behalf of the respondent no. 2 stating that the....
X X X X Extracts X X X X
X X X X Extracts X X X X
....m/LLP into Company, or Conversion of Company into LLP-i.e., cases where a successor PAN exists, the transactions recorded against the original PAN/PANs will be consolidated against the successor PAN. This will require some system development, mapping and integration on multiple platforms a databases. The requirement for his development has been raised with the Managed Service Provider of the project. A formal time frame is yet to be communicated. However, considering that the project is in its last phase with all systems & components in stage of late maturity, this development may take some time. 5. As an interim measure, while framing the case selection rules for Non-Filers, a separate list of PANs where such events have been marked and returns are being filed on the successor PAN, will be generated. The PANs in this list will be excluded from selection under the Non-Filer Management System." 4.5. In the affidavit-in-reply filed by the DGIT (Systems) Bengaluru, procedure formulated by Systems Directorate for issuing notices in cases of Amalgamation/De-Merger of Companies and in cases where notices are issued to the Legal Heirs through ITBA module has been explained thr....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e field) will be the name of the Successor entity (whose PAN was mentioned as Linked PAN while doing event marking of Amalgamation by the JAO). This takes care of the aspect of addressing communications in the name of Successor entity after amalgamation (even if the communication is meant for the erstwhile Predecessor entity), as mandated by various judicial pronouncements. 4. It may be noted that only the JAOs can do event marking in PAN module, and not Faceless Assessment Units/Faceless Assessment Officers (FAU/FAO). The FAOS can communicate to JAO by way of using "Issue Letter" and ask JAO to do event marking. Further, JAOs have been advised to undertake Event Marking as soon as they come to know of any scheme of Amalgamation (or any other such events, as per below Table) for any entity in their charge. 5. In the case of Event 'Demerger' where Linked PAN can be more than one, JAO has been advised to select check box 'PAN to be used for Communication' against one Linked PAN of which Name will be used in future. In case Source PAN and Linked PAN are same, then Source PAN will be selected automatically for 'PAN to be used for Communication'....
X X X X Extracts X X X X
X X X X Extracts X X X X
....to save Bank Details for the Legal Heir request. In case where Refund to be released is No, Bank details are optional >> If the request has to go to Range for approval, Range User will be able to Approve, Reject or Send Back the request. In Range Head code, screen will be displaved in View Only mode for viewing the details for the Legal Heir request >> Once Legal Heir request is approved by Range Head, status of the Legal Heir in Legal Heir screen as seen by AO will be updated as Active. 3. The detailed steps along with all screenshots are already provided in the User Manual of Common Functions Module, which is available in 'ITBA Help Guide' section on ITBA Home Page. 4. After completion of above process, any communication issued in ITBA on the PAN of the deceased will start carrying (in the addressee name field) the name of the Legal heir. NOTE: It may be noted that by the aforesaid Event marking or Legal heir addition, only name gets updated; and there is no impact on the PAN being printed in the notices/communications. Further, no additional texts such as "As successor to ..." or "Legal heir of ..." etc. are added with the names. Only the ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t on 30th March, 2024 by the respondent for the Assessment Year 2017-18 asking the petitioner to explain whether the transactions which were shown to be entered into by the Rasna Private Limited having PAN AABCR5577P has been offered for taxation by the petitioner or not which was replied on 11.04.2024 providing all the details asked for impressing upon the respondent that all the transactions are properly accounted in the books of the petitioner-Company and similar notice was issued for Assessment Year 2016-17 as well, after due examination of the identical facts was closed. 4.11. Inspite of such reply given by the petitioner, ignoring the contents thereof, the respondent disposed of the objections filed by the petitioner by the impugned order under Section 148A(d) of the Act on arriving at a prima-facie satisfaction that it is a fit case to re-open the assessment for Assessment Year 2017-18 and issued notice dated 16.04.2024 under Section 148 of the Act. 4.12. In view of the above undisputed facts, this Court passed the aforesaid orders and in response, the affidavit-in-replies have been filed by the Director General of Income Tax (Systems), Delhi and DGIT (Systems) Bengalu....