| Question And Answer | |
|---|---|
| Subject: | reassessment under 148/149 time limit |
| Category: | Income-Tax |
| Querist: | rajes |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | limitattioon, Re assessment, Reassessment notice |
| Date: | May 7, 2022 |
what is time limit applicable for issue of notice today u/s 149 as amended by Finance act 2022, after considering god fathering provisions, is it 1/4/15 or 1/4/2011/12.
By virtue of first proviso to section 149 of the Income-tax Act, 1961 (Act), No notice under section 148 of the Act shall be issued if such notice could not have been issued at that time on account of being beyond the time limit specified under the erstwhile provisions, as they stood immediately before the commencement of the Finance Act, 2021.
Therefore, the grandfathering provision has to be tested each year. For example, For Notices issued in AY 2021-22, Notice can be issued up to AY 2015-16 (Assuming there was no the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020).
Similarly for Notices issued in AY 2022-23; reassessment can be done up to AY 2016-17.
But kindly consider the recent CBDT Circular on this issue
In recent circular department made a mistake in computing the period of limitation or it may consider TOLA extention period while mentioning so