SC Order on Revenue Appeal against quashing of Section 148 (old) Reassessment Notices by various High Courts

1 The Hon’ble Supreme Court of India has allowed in PART the appeals of Revenue against the orders of various High Courts in matters relating to issue of Reassessment Notices u/s 148 (from 01.04.2021 till date 04.05.2022) following the procedure under the unamended section 148 of Income Tax Act, 1961.

2 The Supreme Court has also excercised its powers under Article 142 of the Constitution of India. Accordingly, All Writ petitions pending before various High Courts & also those decided by the High Courts stand modified by the present SC Order.

3 Under the operative portion of the order of Hon’ble Supreme Court of India

(a) The assessing officer shall, within thirty days from today provide to the respective assessees information and material relied upon by the Revenue, so that the assesees can reply to the show­cause notices within two weeks thereafter;

(b) The requirement of conducting any enquiry, if required, with the prior approval of specified authority under section 148A(a) is hereby dispensed with as a one­time measure.

(c) The assessing officers shall thereafter pass orders in terms of section 148A(d) in respect of each of the concerned assessees; Thereafter after following the procedure as required under section 148A may issue notice under section 148 (as substituted);

(d) All defences which may be available to the assesses including those available under section 149 of the IT Act and all rights and contentions which may be available to the concerned assessees and Revenue under the Finance Act, 2021 and in law shall continue to be available.