IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH -.-

CWP-4112-2024 (O&M) Decided on :- 10.03.2025 Krishan Kedia ....Petitioner VERSUS Income Tax Officer & Others ....Respondents CORAM : HON’BLE MR. JUSTICE ARUN PALLI HON’BLE MRS. JUSTICE SUDEEPTI SHARMA Present: Mr. Nitin Kanwar, Advocate for the petitioner.

Ms. Gauri Neo Rampal, Sr. Standing Counsel, for the respondents.

(through Video Conferencing)

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SUDEEPTI SHARMA, J.

The challenge in the present writ petition is to notice dated 27.07.2022 under Section 148 of Income Tax Act, 1961 for the Assessment Year 2015-2016 along with reassessment under Section 147 of the Income Tax Act, 1961, dated

26.05.2023 for the Assessment Year 2015-2016.

BRIEF FACTS

2. The present case of the petitioner pertains to the Assessment Year 2015-2016. Brief facts of the present case as per pleadings in the writ petition are that the petitioner was issued notice under Section 148 on 06.04.2021 for the Assessment Year 2015-2016 i.e. after 01.04.2021, which is the date of coming into force of Finance Act, 2021 whereby Sections 147 to 151 of the Income Tax Act, 1961 were substituted. Notice under Section 142(1) of the Income Tax, 1961 was issued on 27.11.2021 for the Assessment Year 2015-2016 and thereafter, the case was transferred to NeFAC and to ReFAC on 08.12.2021. Therefore again notice under Section 142(1) of the Income Tax Act, 1961 was issued on 22.12.2021. Another show cause notice dated 19.03.2022 with draft assessment order was served to the petitioner. Reply to the same was submitted by the petitioner on 23.03.2022. Thereafter the petitioner was served with notice dated 26.05.2022 under Section 148A(b) of the Income Tax Act, 1961 for the Assessment Year 2015-2016 in view of the judgment dated 04.05.2022 passed by the Hon’ble Supreme Court in Union of India and Others Vs. Ashish Aggarwal [2022] SCC ONLINE SC 543. On 27.07.2022, notice under Section 148A(d) of the Income Tax Act, 1961 was issued for the Assessment Year 2015-2016 in consequence to the judgment of Hon’ble Supreme Court dated 04.05.2022 in Union of India and Others Vs. Ashish Aggarwal [2022] SCC ONLINE SC 543. On 27.07.2022 itself notice under Section 148 of the Income Tax Act, 1961 for the Assessment Year 2015-2016 was issued to the petitioner. Petitioner filed reply to the same. On 02.11.2022, intimation was sent to the assessee for completion of assessment in accordance with the procedure under Section 144B of the Income Tax Act, 1961. Notice dated 27.01.2023 under Section 142(1) of the Income Tax Act, 1961 was issued to the petitioner. Thereafter, after following the procedure as laid down under the Income Tax Act, 1961, assessment order dated 26.05.2023 for the Assessment Year 2015-2016 was passed vide which the total credited entries in the bank account of the assessee to the tune of Rs.2,18,60,116/- were treated as unexplained and added to his income under Section 69A of the Income Tax Act, 1961 to be taxed as per Section 115BBE of Income Tax Act, 1961.

3. Hence the present petition challenging notice dated 27.07.2022 issued under Section 148 of the Income Tax Act, 1961 along with order dated 26.05.2023 i.e. order under Section 147 read with Sections 144 and 144B of the Income Tax Act, 1961 for the Assessment Year 2015-2016 on the ground that the same are barred by limitation.

SUBMISSIONS

4. Learned counsel for the petitioner contends:-

a) That since notice dated 27.07.2022 issued under Section 148 of the Income Tax Act, 1961 was barred by limitation in view of the coming into force of Finance Act, 2021, therefore the assessment order under Section 147 of the Income Tax Act, 1961 dated 26.05.2023 is also bad in the eyes of law.

b) Further, that controversy in the present writ petition is already settled by the Hon’ble Supreme Court in the case of Union of India Vs. Rajeev Bansal [2024] 469 ITR 46 (SC) on 03.10.2024. Therefore, the present writ petition be allowed in terms of the settled proposition of law in the case of Union o