In a recent decision, the Supreme Court of India issued notice on filing of special leave petition (SLP) by the Income Tax Department in the matter concerning the ruling that the income tax notice issued after the lapse of six years is time barred.
The Gujarat High Court observed that “Legislative mandate required that no notice could be issued under the new provision, if such notice could not be issued at that time on account of being beyond the time specified under the said section as it stood before the commencement of the Finance Act 2021, i.e a period of six years.”
The High Court further went on to note that notices under Section 148A was issued, between the period 01.04.2021 to 30.06.2021 (i.e after 31.03.2021), wherein six years had elapsed from end of the relevant assessment year and therefore they are time barred.
The SLP arose out of impugned final judgment and order dated 07-02-2023 in SCA No. 21018/2022 passed by the High Court of Gujarat at Ahmedabad.
A Two-Judge Bench comprising Justice BV Nagarathna and Justice Manoj Misra observed that “Issue notice on the application(s) seeking condonation of delay as well as in the special leave petition(s) to the respondent(s).”
Subscribe Taxscan Premium to view the JudgmentSupport our journalism by subscribing to Taxscanpremium. Follow us on Telegram for quick updates
