- 1 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 14TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 19074 OF 2022 (T-IT) BETWEEN: MR NITIN GUPTA, S/O MR. SATENDRA GUPTA, AGED ABOUT 50 YEARS, VILLA 585, PHASE 3 ADARSH PALM RETREAT, OUTER RING ROAD, BELLANDUR, BENGALURU - 560 103 …PETITIONER (BY SRI. GEETHA RANI K., ADVOCATE) AND: THE DEPUTY COMMISSIONER OF INCOME TAX CIRCLE 3(1)(1) BMTC BUILDING, 80 FEET ROAD, KORAMANGALA BENGALURU - 560 095 …RESPONDENT (BY SRI. E.I. SANMATHI, ADVOCATE) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH AS FAR AS THE PETITIONER IS CONCERNED BY AN APPROPRIATE WRIT OR ORDER IN THE NATURE OF CERTIORARI OR OTHERWISE THE IMPUGNED ORDER VIDE ITBA/COM/F/17/2022-23/1044315558(1), DATED 29.07.2022 ISSUED BY THE LEARNED RESPONDENT UNDER SECTION 148A(d) FOR AY 2015-16 VIDE ANNEXURE-A AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks for the following reliefs: "A. Quash as far as the Petitioner is concerned by an appropriate writ or order in the nature of Certiorari or otherwise the Impugned order vide ITBA/COM/F/17/2022-23/1044315558(1), dated 29.07.2022 Issued by the Learned Respondent under section 148A(d) for AY 2015-16, enclosed in Annexure A. B. Quash as far as the Petitioner is concerned by an appropriate writ or order in the nature of Certiorari or otherwise the impugned reassessment Notice ITBA/AST/M/148_1/2022-23/1044331075(1). vide dated 29.07.2022 issued by the Learned First Respondent under section 148 for the AY 2015-16, enclosed in Annexure B. And C. Grant such other reliefs as this Honourable High Court may think fit including the cost of this writ petition." 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. - 3 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 3. In addition to reiterating various contentions urged in the petition and referring to the material on record, learned counsel for the petitioner invited my attention to the impugned orders and notices in order to point out that the proceedings relating to assessment year 2015-16, the notice under Section 148 of the I.T.Act ought to have been issued on or before 31.03.2021 and any notice issued after the aforesaid date including the instant notice issued on 30.06.2021 was barred by limitation as held by the Apex Court in the case of Union of India & others Vs. Rajeev Bansal - (2024) 469 ITR 46 (SC) and subsequently followed by the Apex Court in the case of Assistant Commissioner of Income Tax & others vs. Nehal Ashit Shah – SLP (Civil) Diary No.(S) – 57209/2024 Dated 04.04.2025. It is therefore submitted that the impugned orders/ Notices deserve to be quashed. 4. Per contra, learned counsel for the respondents – Revenue submits that there is no merit in the petition and that the same is liable to be set aside. 5. As rightly contended by the learned counsel for the petitioner, the material on record discloses that the impugned - 4 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 proceedings is relating to the Assessment Year 2015-16 in respect of the petitioner; however, it is an undisputed fact that the respondents issued impugned notice at Annexure-G under Section 148 of the I.T.Act on 30.06.2021, beyond the period of limitation and the same has already been held not to be permissible by the Apex Court in Rajeev Bansal’s case supra, which reads as under:- “19(e). The Finance Act, ([2021]) 431 ITR (St.) 52) substituted the old regime for reassessment with a new regime. The first proviso to Section 149 does not expressly bar the application of Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020. Section 3 of Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 applies to the entire Income-Tax Act, including Sections 149 and 151 of the new regime. Once the first proviso to Section 149(1)(b) is read with Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020, then all the notices issued between April 1, 2021 and June 30, 2021 pertaining to assessment years 2013-14, 2014-15, 2015-16, 2016- 17, and 2017-18 will be within the period of limitation as explained in the tabulation below: Assessment year (1) Within 3 years (2) Expiry of limitation read with TOLA for (3) Within six years (4) Expiry of limitation read with TOLA for (4) (5) 2013-2014 31-3-2017 TOLA not applicable 31-3-2020 30-6-2021 2014-2015 31-3-2018 TOLA not applicable 31-3-2021 30-6-2021 2015-2016 31-3-2019 TOLA not applicable 31-3-2022 TOLA not applicable 2016-2017 31-3-2020 30-06-2021 31-3-2023 TOLA not applicable 2017-2018 31-3-2021 30-06-2021 31-3-2024 TOLA not applicable 19(f). The Revenue concedes that for the assessment year 2015-16, all notices issued on or after April 1, 2021 will have to be - 5 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 dropped as they will not fall for completion during the period prescribed under the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020; 49. The first proviso to Section 149(1)(b) requires the determination of whether the time limit prescribed under Section 149(1)(b) of the old regime continues to exist for the assessment year 2021-22 and before. Resultantly, a notice under Section 148 of the new regime cannot be issued if the period of six years from the end of the relevant assessment year has expired at the time of issuance of the notice. This also ensures that the new time limit of ten-years prescribed under Section 149(1)(b) of the new regime applies prospectively. For example, for the assessment year 2012- 13, the ten-year period would have expired on March 31, 2023, while the six-year period expired on March 31, 2019. Without the proviso to Section 149(1)(b) of the new regime, the Revenue could have had the power to reopen assessments for the year 2012-13 if the escaped assessment amounted to Rupees fifty lakhs or more. The proviso limits the retrospective operation of Section 149(1)(b) to protect the interests of the assesses. 6. Subsequently, in Nehal Ashit’s case supra also, the Apex Court reiterated the very same position and dismissed the appeal filed by the Revenue on the ground that the notice issued after 01.04.2021 was barred by limitation and the impugned proceedings are not permissible beyond period of limitation. In the instant case, it is an undisputed fact that the impugned proceedings is relating to the Assessment Year 2015-16, while the impugned - 6 - HC-KAR NC: 2025:KHC:41025 WP No. 19074 of 2022 notice under Section 148 of the Act dated 30.06.2021 was issued beyond/after 01.04.2021 which is impermissible in law and barred by limitation and consequently, the impugned orders/notices etc., deserve to be quashed. 7. In the result, I pass the following:- ORDER (i) The petition is hereby allowed. (ii) The impugned order at Annexure-G dated 30.06.2021 passed by the respondent is hereby quashed and consequently, the impugned notices at Annexure-A dated 29.07.2022 and Annexure-B dated 29.07.2022 issued by the respondent are hereby quashed. Sd/- (S.R.KRISHNA KUMAR) JUDGE MDS List No.: 2 Sl No.: 78