| Question And Answer | |
|---|---|
| Subject: | Whether reassessment Notice u/s 148 issued in the name of dead person is valid ? |
| Category: | Income-Tax |
| Querist: | VIJAY |
| Answered by: | Advocate Neelam Jadhav |
| Tags: | dead person, deceased assessee, Reassessment, reopening of assessment |
| Date: | May 15, 2021 |
DEAR SIR
ASSESSEE HAD FILED ITR FOR AY 2013-2014 ON TIME. 143(1)(a) ORDER IS PASSED.
ASSESSEE EXPIRED DURING AY 2019-20 (INTIMATION NOT GIVEN TO DEPARTMENT)
LATE ASSESSEE HAS ONLY DAUGHTER IS LEFT AS LEGAL HEIR AND DAUGHTER IN-LAW, AS DURING COVIDE HER SON ALSO EXPIRED.
DEPARTMENT HAS ISSUED 148 NOTICE DATED 24.04.2021 FOR REOPENING OF AY 2013-2014 CASE IN THE NAME OF THE DECEASED ASSESSEE.
FINANCE ACT HAS AMENDED SEC.148/148A
QUERY.
IS THIS REOPENING NOTICE VALID AS IT IS BEYOND 6 YEARS.
IF NOT HOW TO COMPLY THE NOTICE AS IT IS FACELESS.? CAN THE DAUGHTER IN LAW FURNISH THE RETURN IN RESPONSE TO NOTICE OF 148 THROUGH ASSESSEE LOGIN ID AS LEGAL HEIR.
3. CAN THE DAUGHTER IN LAW BE TERMED AS LEGAL HEIR WHEN ASSESSEE’S MARRIED DAUGHTER IS ALIVE? IF YES CAN SHE ASKED FOR REASON FOR REOPENING BEFORE FURNINSHING THE RETUEN OF INCOME.
4. CAN WE ASKED THE DEPARTMENT TO TREAT THE ORIGINAL RETURN FILED AS THE RETURN FILED IN RESPONSE TO NOTICE U/S.148.
IF YOU REQUIRE ANY INFORMATION PL. FREE TO ASK ON 9987094048
Is this reopening notice valid as it is beyond 6 years?
Ans : Issue of notice on the dead person is void ab initio . The legal heirs can send the copy of death certificate to the concerned Authority and request them to drop the proceedings .
If not, how to comply the notice as it is faceless. Can the daughter in law furnish the return in response to notice of 148 through assessee login id as legal heir?
Ans : The Daughter in law need not file the return , simply send the intimation stating that the assessee has expired and copy of death certificate may be enclosed .
Can the daughter in law be termed as legal heir when assessee’s married daughter is alive? if yes can she asked for reason for reopening before furnishing the return of income.
Ans: Daughter in law can also act as legal heir if no other legal is available . It may be possible that other legal heirs may give declaration that daughter in law is authorized to act as legal heir in Income tax proceedings .
Can we ask the department to treat the original return filed as the return filed in response to notice u/s.148?
Ans: The legal heirs cannot file the return when the notice is issued on the dead person .
Note :
In Rupa Shyamsundar Dhumatkar v. ACIT (2020) 420 ITR 256 (Bom.)(HC) allowing the petition the Court held that as per settled law, notice for reopening of assessment against a dead person is invalid. The fact that the AO was not informed of the death before issue of notice is irrelevant. Consequently, the S. 148 notice is set aside and order of assessment stands annulled.Followed Alamelu Veerappan v. ITO (2018) 257 Taxman 72 (Mad) (HC), and Chandreshbhai Jayntibhai Patel v.ITO (2019) 413 ITR 276 (Guj.) (HC), followed). (WP No. 404 of 2019, dt. 05.04.2019 .
Dr.K. Shivaram Senior advocate