Notice served under Section 143 (2) in the name of Dead-Assessee is Null and Void: Delhi HC [Read Order]

The Delhi High Court has held that the notice served under section 143(2) of Income Tax Act in the name of dead assesse is null and void.

The aforesaid observation was made onthe writ petition filed by Mr. Vikram Bhatnagar, legal representative acted on behalf of late S H Virendra Kumar Bhatnagar (deceased). In the instant case the impugned statutory notice dated 22nd September, 2019 under Section 143(2) of Income Tax Act was issued by the Assessing Officer in the name of the deceased Assesse. The said notice neither mentioned the name of the legal heirs nor the PAN number of the said legal heirs. The petitioner had already registered and started using the account of deceased person in E Portal from 6th October 2018. The assessing officer after completing the scrutiny assessment, passed an order in the name of the diseased person assessing the total income at Rs. 13,49,43,945/- for the financial year 2017-2018 on 30 September 2021. And also passed order for demand and penalty.

In the instant case, the advocate Shri Rohit Jain, Shri Aniket D. Agrawal, ShrimathiMansha Sharma on behalf of assesse contented that, the registration of legal representative of the dead Assesse in the Income Tax Department records was already allowed on 06th October, 2018. And petitioner has already filed return of dead Assesse for AY 2018-19 in his legal representative capacity. Even after this, the AO send and initiated assessment proceeding in the name of the diseased assesse and thesaid notice was suffering from a fundamental jurisdictional error as it was issued in the name of a dead person and the scrutiny proceedings were done on the dead person. The said notice neither mentioned the name of the legal heirs nor the PAN number of the said legal heirs and contented that, notices of demand and penalty were illegal and were without jurisdiction. The advocate on behalf of respondent Shri AjitSharmawithShri A.Renganathagreed the legal issues raised by the petitioner.

The high court bench comprising of Justice Manmohan and Justice Manmeet Pritam Sing Arora held that the assessment order was null and voidreferring Savita Kapila vs. Assistant Commissioner of Income Tax.  The high Court observed thatthe notice under Section 143(2) of Income Tax Act of was issued against the dead person and the assessment order had also been passed against the dead person on his PAN without bringing on record of legal representatives. And set aside the assessment order and all consequential notices.

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