sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
From the Courts »
 20 LPA-Opening Senior Manager Finance
 Aloka Kumar vs The State Of Karnataka & Ors.
 Assistant Commissioner Of Income Tax Circle 6 Jaipur vs Garment Crafts
 M/s. Ambience Constructions India Ltd vs Commissioner Of Customs And
 Central Bureau Of Investigation vs S.K. Ranu
 Aloka Kumar vs The State Of Karnataka & Ors.
 Annamalai Cotton Mills (P) Ltd. vs Superintending Engineer, Tamil Nadu
 Aarnava Precision Technologoies Limited vs Power Grid Corporation Of India Limited & Anr.
 Usha Agarwal vs. ITO (ITAT Agra)
 CIT (TDS) vs. Canara Bank (Supreme Court)
 DCIT vs. Dipendu Bapalal Shah (ITAT Mumbai)

Gunjan Girishbhai Mehta vs. DIT (Supreme Court)
April, 12th 2017

S. 132/ 158BC, 158BD: The fact that the search was invalid because the warrant was in the name of a dead person does not make the s. 158BC/158BD proceedings invalid if the assessee participated in them. Information discovered in the search, if capable of generating the satisfaction for issuing a s. 158BD notice, cannot altogether become irrelevant because the search is invalid

(i) Notice under Section 132 of the Income Tax Act, 1961 (for short “the Act”) was issued in the name of a dead person. The said notice was duly received by the present petitioner as the legal heir of the dead person. Notice of assessment under Section 158BC of the Act was issued and in the assessment proceedings, where the income was declared to be ‘nil’, the present petitioner as the legal heir had participated. Thereafter, notice under Section 158BD of the Act was issued to the present petitioner on the basis of information coming to light in the course of search. Aggrieved, the petitioner moved the High Court and on dismissal of the writ petition filed, the present Special Leave Petition has been instituted.

(ii) The point urged before us, shortly put, is that if the original search warrant is invalid the consequential action under Section 158BD would also be invalid. We do not agree. The issue of invalidity of the search warrant was not raised at any point of time prior to the notice under Section 158BD. In fact, the petitioner had participated in the proceedings of assessment initiated under Section 158BC of the Act. The information discovered in the course of the search, if capable of generating the satisfaction for issuing a notice under Section 158BD, cannot altogether become irrelevant for further action under Section 158BD of the Act.

(iii) The reliance placed on the decision of the High Court of Punjab and Haryana in Commissioner of Income -tax, Karnal vs. Rakesh Kumar, Mukesh Kumar [(2009) 178 Taxman 224 (Punjab & Haryana) = 313 ITR 305 (Punjab & Haryana)] against which Special Leave Petition [SLP(C) NO…CC 3623/2009] has been dismissed by this Court and the decision of this Court in Assistant Commissioner of Income-tax, Chennai vs. A.R. Enterprises [(2013) 29 Taxmann.com 50 (SC) = 350 ITR 489 (SC) are on entirely different facts.

(iv) In Rakesh Kumar, Mukesh Kumar (supra) the challenge was to the proceedings of assessment under Section 158 BC of the Act on the basis of a search warrant issued in the name of a dead person. The issue in A.R. Enterprises (supra) has no similarity to the issue in hand, namely, the validity of the proceedings under Section 158BD of the Act.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Achievements

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions