Mohit Industries Ltd. v. ACIT (2023) 292 Taxman 224 (Guj.)(HC)

S. 148A : Reassessment-Limitation-Effect of notification-Interpretation of taxing statutes-Notices issued pursuant to the case of UOI v. Ashish Agarwal (2022) 444 ITR 1/ 213 DTR 217/ 326 CTR 473/ 286 Taxman / AIR 2022 SC 2781 (SC)-Notice issued on or after 01.04.2021, the period concerned is between 01.04.2021 to 30.06.2021-Relaxation Act will not apply-The law as per Finance Act, 2021 has to be followed-Notice issued for Assessment years 2013-14 and 2014-15 are barred by limitation-The submission that the UOI v. Ashish Agarwal (Supra) would be applicable to the cases, where such notices have been challenged before different High Courts only, were not accepted. [S. 119, 147, 148, 148A(d), 149, 151, 151A, Taxation and Other Laws (Relaxation & Amendment of Certain Provisions) Act, 2020, S. 3(1), CBDT Instruction, 31-3-2021, Art. 226]

Assessee filed  writ petition for challenging notice dated 27-7-2022 issued under section 148 as well as order dated 27-7-2022 passed under section 148A(d) seeking to reopen income tax assessment of assessee for assessment year 2013-14 on ground that notice and order were bad in law and without jurisdiction. In Keenara Industries (P.) Ltd. v. ITO [2023] 147 taxmann.com 585 (Guj.), High Court held that all notices issued under section 148 between 1-4-2021 to 30-6-2021 shall need to pass test of new law including limitation test as laid down in first proviso to section 149-Whether as per first proviso to section 149(1) for assessment year 2013-14 last date for issue of notice under section 148 was 31-3-2020. Accordingly notice dated 27-7-2022 was bared by limitation (AY. 2013-14)