The firm was  ceased to exist on March 31, 2006 and after the assessment of the year 2006-07, since there was no transfer of any surety in favour of any members, the proceedings under section 149 had to be set aside on the ground that they ware issued after a gap of six years. Further, the order dated August 25, 2010 imposing a penalty of Rs. 1,50,220, was set aside and the explanation given by the assessee was accepted for the assessment year 2006-07, by order dated March 12, 2013. Till date, no appeal had been filed against the order dated March 12, 2013 and thus it attained finality. The Department had thus accepted the dissolution of the firm. Reassessment notice for the Assessment year 2007-08 was issued in November, 2014. On writ allowing the petition the Court held that, the Department was now bound by the licence issued to the assessee. It was the Hindu undivided family which became the owner and being separate identity it had to file a separate return. The word management had been used in the partnership deed. After dissolution of the firm, there was no transfer of any asset to the partners of the firm. The notice of reassessment is  not valid.(AY.2006-07, 2007-08)