TaxTMI 
TaxTMI 
2025 (11) TMI 1175
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....me has been filed under Section 139 of the Act on 22.08.2015. Statutory period for reassessment expired on 31.03.2022, which is six years. The impugned notice was, however, issued on 28.08.2024 and is, therefore, time barred and without jurisdiction. 3. Learned counsel for the petitioner has relied on the judgment passed in the case of Union of India v. Rajeev Bansal (2025) 175 taxmann.com 101 (Delhi), wherein the revenue considered that reassessment notices issued after 01.04.2021 for the AY 2015-16 ought to be dropped as the relaxation under the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 (for short, 'TOLA') was not applicable. It was submitted that the limit of ten years under the new regime would apply prospectively and not to the period prior to 2021-22. He also relies on the judgment passed by this court in the case of Late Shri Rafiq Ahmed Querashi v. Central Board of Direct Taxes & Anr., D.B. Civil Writ Petition No. 3667/2023, decided on 27.01.2025 [2025:RJ-JP:3775-DB]. 4. He further submits that the alleged escaped income is below the statutory threshold of Rs. 50 Lakhs which is required to invoke the extended ten years ....
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.... 9. Learned counsel for the respondents has invited attention to the Proviso to Section 149(1)(b) of the Amended Act to submit that the proceedings have been initiated well within the limitation and would, therefore, be legal and valid. It has been further stated that from the information unearth in the case of the petitioner during the course of such proceedings, it was revealed that an income amounting to Rs. 1,51,47,831/- had escaped assessment for the AY 2015-2016. Proviso to Section 149(1)(b) of the Act, as per Explanation-I to Section 153A provides, in cases where there is escapement of income amounting to more than Rs. 50 Lakhs the reassessment proceeding can be opened up till ten years. 10. He submits that the law laid down by the Apex Court in the case of Union of India Vs. Rajeev Bansal (supra) would have no application to the present case as the same related to assessment proceedings only and while in the present case, the issues are relating to search related cases. It is further submitted that the present case would be governed by the new self-contained provisions relating to specific clauses wherein as per Explanation-2(iv) to Section 148 of the Act carves out mat....
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....ure in respect of a transaction or in relation to an event or occasion; оr (iii) an entry or entries in the books of account, which has escaped assessment amounts to or is likely to amount to fifty lakh rupees or more: Provided that no notice under section 148 shall be issued at any time in a case for the relevant assessment year beginning on or before 1st day of April, 2021, if a notice under section 148 or section 153A or section 153C could not have been issued at that time on account of being beyond the time limit specified under the provisions of clause (b) of sub-section (1) of this section or section 153A or section 153C, as the case may be, as they stood immediately before the commencement of the Finance Act, 2021: Provided further that the provisions of this sub-section shall not apply in a case, where a notice under section 153A, or section 153C read with section 153A, is required to be issued in relation to a search initiated under section 132 or books of account, other documents or any assets requisitioned under section 132A, on or before the 31st day of March 2021: Provided also that for cases referred to in clauses (i)....
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....or both, shares and securities, loans and advances, deposits in bank account. (1A) Notwithstanding anything contained in sub-section (1), where the income chargeable to tax represented in the form of an asset or expenditure in relation to an event or occasion of the value referred to in clause(b) of sub-section(1), has escaped the assessment and the investment in such asset or expenditure in relation to such event or occasion has been made or incurred, in more than one previous years relevant to the assessment years within the period referred to in clause (b) of sub-section(1), a notice under section 148 shall be issued for every such assessment year for assessment, reassessment or recomputation, as the case may be. (2) The provisions of sub-section(1) as to the issue of notice shall be subject to the provisions of section 151." 15. The sole question before this Court is whether the notice which has been issued to the petitioner on 23.08.2024 can be said to be beyond the jurisdiction and time barred in the facts and circumstances of the case? 16. On a plain reading of the aforesaid provisions of Section 149 of the Act, it is apparent that Section 149 lays do....