Back
BHARGAV D. KARIA, D. N. RAY
OLYMPIC DECOR LLP – Appellant
Versus
DEPUTY COMMISSIONER OF INCOME TAX, GANDHINAGAR – Respondent
JUDGMENT :
BHARGAV D. KARIA, J.
1. Heard learned advocate Mr. Darshan Gandhi for the petitioners and learned Senior Standing Counsel Mr. Karan Sanghani for the respondent.
1.1 Rule, returnable forthwith. Learned Senior Standing Counsel Mr. Karan Sanghani waives service of notice of rule for and on behalf of the respondent.
2. By these petitions under Article 226 of the Constitution of India, the petitioners have challenged the issuance of Notices under Section 148 of the Income Tax Act, 1961 (for short ‘the Act’) mainly on the ground that the notices have been issued against non-existing companies/assessees.
3. The details pertaining to each of the petitions are summarised in tabular form as under:
| S. No. | SCA & A.Y. | Petitioner/New Entity | N.E. Entity and 148 Notice | Fact on Amalgamation | Remarks |
| 1 | 5165 of 2022 (AY 2016-17) | Olympic Decor LLP (ODLLP) | Notice Dated 27.03.2021 on Olympic Laminates Private Limited (OLPL) Page 75 | OLPL merged into Sara Suppliers Private Limited on 06.01.2015 vide HC Order (Page 16-29) | HC issued notice to IT department inviting objections against the amalgamation on 06.01.2015 (Page 16-29) |
Notices issued under Section 148 of the Income Tax Act against non-existing companies post-amalgamation are invalid and without jurisdiction.
An assessment notice issued against a non-existing entity post-amalgamation is void ab initio, reinforcing the principle that an amalgamated company ceases to exist legally.
![City Corporation Limited Vs Assistant Commissioner Of ] Income Tax Circle 1(1), Pune - 2025 Supreme(Bom) 143](https://supremetoday-s3.b-cdn.net/Bombay_3.png)
Issuing a notice under Section 148 of the Income Tax Act to a non-existent entity post-merger constitutes a substantive illegality and cannot be rectified as a mere procedural error.
The impugned notice issued under section 148 of the Income Tax Act, 1961, in the name of a non-existing company due to amalgamation is not tenable in the eye of law, and the court has the authority t....
The central legal point established in the judgment is that the notice issued in the name of a non-existent entity is bad in law, and human errors under Section 292B cannot nullify proceedings that a....
Income Tax -Scheme of amalgamation - in case the assessment orders are framed in the name of a non-existent company it does not mean a procedural irregularity of the nature which could be cured by in....
The assessment framed by the Assessing Officer on a non-existent company is a nullity in the eyes of law and void, and the provisions of section 292B cannot rescue the department.
Proceedings against a dissolved company are void and cannot be sustained under the Central Goods and Services Tax Act.
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
