+ W.p.(C) 4722/2023, Cm Appls v. Pr. Chief Commissioner Of Income Tax, Delhi And

$~65 IN THE HIGH COURT OF DELHI AT NEW DELHI+W.P.(C) 4722/2023, CM APPLs. 18248/2023 and 75677/2024M/S.BLUE BULL EQUITIES PRIVATE LIMITED.....PetitionerM/S.BLUE BULL EQUITIES PRIVATE LIMITED.....Petitioner Through:Mr Tarun Gulati, Sr. Advocate withMr K.V. Balakrishnan and Mr DeveshKhanduri, Advocates. versus PR. CHIEF COMMISSIONER OF INCOME TAX, DELHI AND ANR. .....Respondents Through:Mr Debesh Panda, SSC with MrVikramaditya Singh and Ms ZehraKhan, Advocates. % CORAM:HON'BLE MR. JUSTICE VIBHU BAKHRUHON'BLE MR. JUSTICE TEJAS KARIA O R D E R20.03.2025 1.The petitioner has filed the present petition, inter alia, impugning anotice dated 26.12.2022 [impugned notice] issued under Section 148 of theIncome Tax Act, 1961 [the Act] in respect of Assessment Year 2015-16. The petitioner also impugns an order dated 26.12.2022 passed underSection 148A(d) of the Act [impugned order]. 2.The Assessing Officer had issued a notice dated 29.07.2022under Section 148 of the Act seeking to reopen assessments for AY 2015-16. Such notices were subject matter of challenge in various petitions filedbefore this court and other courts. By virtue of the decision of this court inMon Mohan Kohli v. CIT [WP(C) No. 6176/2021] such notices were set aside as the same had been issued on the basis of the statutory regime forreopening the assessment as it existed prior to 31.03.2021. The said decisionas well as such similar decisions were carried in appeal before the SupremeCourt. In Union of India & Ors. Vs. Ashish Agarwal: 2022 SCC OnLineSC 543 the Supreme Court had issued directions in exercise of powers underArticle 142 of the Constitution of India and all such notices were deemed tobe notices under Section 148A(b) of the Act. Further directions were alsoissued for the AOs to provide the material on which the said notices werepremised as required under Section 148A of the Act. 3.Pursuant to the decision in Union of India & Ors. v. Ashish Agarwal(supra), the AO had issued a fresh notice under Section 148A(b) of the Acton 20.05.2022. 4.The aforesaid proceedings were initiated on the premise that TheTaxationandOtherLaws(RelaxationandAmendmentofCertainProvisions) Act, 2020 was applicable and permitted issuance ofsuch notices. 5.However, in subsequent proceedings in Union of India and Others v.Rajeev Bansal: 2024 SCC OnLine SC 2693, the Revenue made aconcession that TOLA was inapplicable to notices that were issued inrespect of AY 2015-16. The relevant extract of the decision of the SupremeCourt in Union of India and Others v. Rajeev Bansal (supra) is set outbelow: “(e) The Finance Act. 2021 ((2021) 432 ITR (Stat) 52)substituted the old regime for reassessment with a new regime.The first proviso to section 149 does not expressly bar theapplicationof Taxation and other Laws(Relaxation andAmendment of Certam Provisions) Act, 2020. Section 3 of the Taxation and other Laws (Relaxation and Amendment of CertainProvisions) Act, 2020 applies to the entire Income-tax Act,including sections 149 and 151 of the new regime. Once the firstproviso to section 149(1)(b) is read with Taxation and otherLaws (Relaxation and Amendment of Certain Provisions) Act,2020, then all the notices issued between April 1, 2021 and June30. 2021 pertaining to the assessment years 2013-2014, 2014-2015, 2015-2016, 2016-2017, and 2017-2018 will be within theperiod of limitation as explained in the tabulation below: (f) The Revenue concedes that for the assessment year 2015-2016, all notices issued on or after April 1, 2021 will have to bedropped as they will not fall for completion during the periodprescribed under the Taxation and other Laws (Relaxation andAmendment of Certain Provisions) Act, 2020.” 6.In view of the above, the impugned notice is unsustainable.Thelearned counsel has also handed over a copy of the order passed by thecoordinate bench of this court in Ibibo Group Pvt. Ltd. v. AssistantCommissioner of Income Tax Circle 10-1 & Anr. [WP(C) 17639/2022]wherein in similar facts the notices issued in respect of AY 2015-16 were set (f) The Revenue concedes that for the assessment year 2015-2016, all notices issued on or after April 1, 2021 will have to bedropped as they will not fall for completion during the periodprescribed under the Taxation and other Laws (Relaxation andAmendment of Certain Provisions) Act, 2020.” 6.In view of the above, the impugned notice is unsustainable.Thelearned counsel has also handed over a copy of the order passed by thecoordinate bench of this court in Ibibo Group Pvt. Ltd. v. AssistantCommissioner of Income Tax Circle 10-1 & Anr. [WP(C) 17639/2022]wherein in similar facts the notices issued in respect of AY 2015-16 were set aside.The learned counsel appearing for the Revenue also confirms thesame. 7.The petition is allowed in the aforesaid terms. In view of the above,the impugned notice is set aside as well.Consequently, all proceedingpursuant thereto are also set aside. 8.Pending applications shall also stand disposed of. VIBHU BAKHRU, J MARCH 20, 2025/tr TEJAS KARIA, J Click here to check corrigendum, if any