Yes, it is a valid Notice, since the reassessment is within 3 years from the end of the AY i.e., AY 18-19, the pecuniary limit of Rs. 50 lakhs will not apply. (read more)

As per proviso to section 54(2) of the Income-tax Act, 1961, that if the amount deposited under the scheme is not utilised wholly or partly for the purchase or construction of the new asset within the period the stipulated period, the amount not so utilised shall be charged under section 45 of the Act as… (read more)

As the Department has preferred an SLP in all reassessment cases before the Hon’ble Supreme Court. The Ld. Assesing Officer will rightly proceed with assessment so as keep the issue alive. The Assessee might get relief from the first appellate authority. Further, there may not be any recovery proceedings in light of several judicial precedents… (read more)

The Hon’ble Mumbai ITAT in the case of Joseph Mudaliar v. DCIT [2021] 130 taxmann.com 250 (Mumbai - Trib.) has held that Amendment made in section 50C(1) of the Act by inserting third proviso by Finance Act, 2018, with effect from April 01, 2019 is curative in nature and same would apply retrospectively. Therefore, the… (read more)

The assesssee is advised to file an appeal before the CIT(A) . The assessee should take the ground of natural justice .In appeal proceedings the assessee can try to get the conformation from the parties and produce the details . The assesssee can make an application under rule 46A for producing additional evidence . If… (read more)

The query appears to have been raised on doubt as to whether refund is eligible in respect of eligible goods in stock in tax period for which the application is being filed. In my opinion, one has to go by formula given in Rule 89(5) for inverted duty structure refund. As per said formula no… (read more)

There is no bar on the surviving partner entering into a partnership with the legal heirs of the deceased partner. Where there are two partners and one dies, it is deemed to be dissolution of the Partnership Firm. The Hon’ble Supreme Court in the case of Mohd. Laiquiddin v. Kamala Devi Misra (Dead) by L.Rs.… (read more)

When no incriminating material is found assessment u/s 153 A is bad in law . In PCIT (Central ) v. Jaypee Financial Services Ltd. (2021) 282 Taxman 475 (Delhi) (HC) the Court held that as no incriminating documents were found in the course of search and the assessment was not pending on the date of… (read more)

The legal heir is under an obligation to intimate the death of the assessee to the jurisdictional Assessing Officer. The same can be done manually or through the portal. Since a Notice under section 148A of the Income-tax Act (Act) is issued in the name of the deceased assessee. The legal heir should object to… (read more)

As per section 143(2) read with section 153 of the Income-tax Act, 1961, the last date for passing of the Order for AY 2020-21 is March 31,2022. Any order passed after the last date will be Time barred. (read more)