75 Years Old Man Receives Tax Demand Notice After 10 Years of Filing ITR:

75 Years Old Man Receives Tax Demand Notice After 10 Years of Filing ITR Many taxpayers have recently posted on the social media platform, Reddit, regarding the problems they face. One user shared that his 75-year-old father received an income tax demand connected to a return filed for the Assessment Year (AY) 2014, a long time ago. The user noted, "Although it shows demand raised in 2015, the communication was just shared yesterday." He also added, "Now my father has no idea about the Form 16 and other documents that were submitted 10 years ago." The above situation creates an important question: Can the Income Tax Department reopen old tax filings long after they were settled?

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Law's perspective on Reopening Old ITRs

As per an expert, section 148 of the Income Tax Act states that reassessment notices can usually be issued within three years after the respective assessment year. But, in cases where the Assessing Officer has proof of income escaping assessment exceeding Rs 50 lakh, this time period can be extended up to 10 years and for foreign assets, the time period can extend up to 16 years. He also emphasises that reassessment notices require strict internal approvals and should stick to due process, including issuing a show-cause notice. A tax expert says that cases such as foreign assets under the Black Money Act can sometimes extend even beyond 10 years, although such cases are unique.

What to do if taxpayers lack records?

Acquiring decade-old documents like Form 16 can be difficult for most taxpayers. Two experts recommended leveraging digital trails such as Form 26AS and AIS or contacting Previous employers. They also suggest that immediately requesting the reasons recorded for the reassessment and clarifying that the demand is time-barred if income does not exceed Rs 50 lakhs. If the officer proceeds with the case, a writ petition in the High Court can be considered. Another expert advises that taxpayers must ask the Income Tax Department to recover records from banks or past employers under Section 133(6) if they are not available.

Are Senior Citizens Treated Differently?

The Law is same for everyone and therefore, the senior citizens do not get a different treatment. However, it may be expected that the tax authority would act with empathy. Senior Citizens can take help from Aakar Seva Kendras, authorized tax representatives, or request in-person support from local tax offices.