Supreme Court dismissed revenue’s SLP challenging the quashing of a Section 148 notice issued by a non-jurisdictional AO.
SC Dismisses SLP on Non-Jurisdictional Reassessment Notice
The Supreme Court dismissed a Special Leave Petition (SLP) filed by the revenue against the quashing of a Section 148 reassessment notice issued by a non-jurisdictional Assessing Officer (AO). The high court had invalidated the notice for lack of territorial jurisdiction, a decision upheld by the apex court.
The Court emphasized that reassessment proceedings must be initiated by the AO having territorial jurisdiction to ensure procedural integrity and prevent forum shopping. It held that jurisdictional compliance is a jurisdictional requirement, not merely a procedural defect.
Implication: This decision reinforces strict compliance with jurisdictional rules in initiating reassessment. Revenue cannot bypass territorial authority, and taxpayers may challenge notices issued by non-jurisdictional officers at an early stage.
