Calcutta HC quashes over 1200 reassessment notices issued by Income Tax Dept

Calcutta high court has quashed over 1200 reassessment notices issued post 31st March 2021 by the respondent Income Tax Authority concerned under Section 148 of the Income Tax Act.

Following the decision of the Division Bench of the Allahabad High Court, the Rajasthan High Court, the court allowed Writ Petitions and quashed the impugned assessment notices under Section 148 of the Act.

Relevant Text of the Order

Respectfully agreeing with the reasonings and views taken by the Allahabad High Court, the Rajasthan High Court, and Delhi High Court in the cases referred hereinabove, all these Writ Petitions herein are disposed of by allowing the same. Keeping in view the aforesaid conclusions, Explanations A(a)(ii)/A(b) to the Notifications dated 31st March 2021 and 27th April 2021 are declared to be ultra vires the Relaxation Act, 2020 and are therefore bad in law and null and void.

All the impugned notices under Section 148 of the Income Tax Act are quashed with liberty to the Assessing Officers concerned to initiate fresh re-assessment proceedings in accordance with the relevant provisions of the Act as amended by Finance Act, 2021 and after making compliance with the formalities as required by the law.

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