| Case ID |
f7de444b-1552-48e0-b3ba-c03eba611c06 |
| Body |
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| Case Number |
Special Civil Application No. 631 of 1970 |
| Decision Date |
Aug 20, 1973 |
| Hearing Date |
|
| Decision |
The Gujarat High Court ruled that the notice served upon the petitioner for reassessment under section 147 of the Income Tax Act, 1961, was beyond the prescribed period of four years and therefore void. The court emphasized that both 'issued' and 'served' should be interpreted interchangeably and that the jurisdiction of the Income Tax Officer could not be assumed without proper issuance and service of notice within the statutory timeframe. The court allowed the petition and quashed the notice, reaffirming the importance of adhering to the legal provisions governing reassessments. |
| Summary |
In the landmark case of Shanabhai Patel vs R. K. Upadhyaya, the Gujarat High Court examined critical aspects of the Income Tax Act, 1922 and 1961 regarding reassessment notices. The petitioner challenged the validity of a notice issued for the assessment year 1965-66, claiming it was served beyond the statutory limit of four years. The court's decision underscored the interchangeable meanings of 'issued' and 'served', stating that jurisdiction for reassessment could only be established through timely notice. This ruling reinforces the procedural integrity required in tax assessments and highlights the legal expectations for tax officers in compliance with legislative timelines. The case is pivotal for tax law practitioners and reinforces the necessity of adhering to established procedures for reassessment notices, ensuring that taxpayers' rights are protected within the framework of the law. |
| Court |
Gujarat High Court
|
| Entities Involved |
Not available
|
| Judges |
B. J. Divan, C. J.,
B. K. Mehta, J
|
| Lawyers |
Jashbhai C. Patel for Petitioner,
K.H. Kaji with G.G. Mehta for Respondent
|
| Petitioners |
Shanabhai Patel
|
| Respondents |
R. K. Upadhyaya Income Tax Officer
|
| Citations |
1986 SLD 115,
1986 PTD 754
|
| Other Citations |
Banarsi Debi v. Income-tax Officer, District I.V, Calcutta (1964) 53 I T R 100 (SC),
Commissioner of Income-tax v. D.V. Ghurye (1957) 31 I T R 683 (Bom.),
Sri Niwas v. Income-tax Officer (1956) 30 I T R 381 (All.),
Induprasad Devshanker Bhatti v. J.P. Jani, Income-tax Officer, Circle IV, Ward-Ahmedabad (1965)- 58 I T R 559 (Guj.)
|
| Laws Involved |
Income Tax Act, 1922,
Income Tax Act, 1961
|
| Sections |
34,
36,
147,
148,
149,
34
|