2026 (6) TMI 47

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....en date issued under Section 148 of the Income Tax Act, 1961 (hereinafter referred to as the 'Act of 1961') on the ground that the proceedings were initiated when they had become time-barred. 2. The common arguments were advanced by Mr. Salil Aggarwal, learned senior counsel for the petitioner and Mr. Puneet Rai, learned senior standing counsel for the respondents, in W.P.(C) 15305/2024 titled Shailendra Nath Rai v. Assistant Commissioner of Income Tax Circle 60(1) New Delhi & Anr.. 3. The relevant dates of the present case are noted hereunder in tabular form: DATE PARTICULARS 28.03.2024 Notice u/s 148A(b) was issued by AO, giving time till 08.04.2024 to file the reply, the initial time so given went beyond 31.03.2024 i.e.....

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....to be accepted, then every notice under Section 148A(b) issued after 1st March would be invalid because time for reply may vary from 7 days to 30 days and in each case, the validity of notice under Section 148A(b) would be depending upon an uncertain event of time taken by the assessee in filing reply. Because fifth and sixth proviso requires time taken in filing the reply by the assessee (subject to maximum 30 days) which has to be excluded. Such interpretation would not only lead to uncertainty but would frustrate the very purpose of a provision which has been introduced to ensure observance of principles of natural justice. 22. A combined reading of fifth and sixth proviso to Section 149 suggests that the time between the date o....

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.... proceedings are well within the period of limitation inasmuch as the notice under Section 148A(b) of the Act of 1961 was issued on 28.03.2024, in response whereof, the petitioner was allowed time to file reply on 05.04.2024. On 05.04.2024, the hearing was deferred to 15.04.2024. Again, the assessee prayed for an adjournment, which request was turned down by the Assessing Officer and the impugned order under Section 148A(d) of the Act of 1961 came to be passed on 16.04.2024. 7. In the instant case, since reply was not filed, we have to take 15.04.2024 as the deemed date of filing reply as the request of the petitioner for an adjournment was turned down. 8. Having turned down the request for adjournment (on 15.04.2024), the Assessing O....