MECTECH KNITFABS PVT. LTD. vs DCIT CIRCLE 16(1) NEW DELHI & ANR.

Judgment text excerpt

$~83 * IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of Decision: 22.05.2025 + W.P.(C) 1261/2023 MECTECH KNITFABS PVT. LTD. .....Petitioner Through: Mr. Ruchesh Sinha, Ms. Monalisa Maity, Mr. Aakash Saini & Ms. Shilpa Chaudhary, Advs. versus DCIT CIRCLE 16(1) NEW DELHI & ANR. .....Respondents Through: CORAM: HON'BLE MR. JUSTICE VIBHU BAKHRU HON'BLE MR. JUSTICE TEJAS KARIA VIBHU BAKHRU, J. (Oral) CM APPL. 31860/2025 1. This is an application seeking early hearing of the present petition. 2. For the reasons stated in the application, the same is allowed. 3. The petition is taken on Board. 4. The hearing scheduled for 16.09.2025 stands cancelled. W.P.(C) 1261/2023 5. The petitioner has filed the present petition, inter alia, impugning a notice dated 26.07.2022 [impugned notice] issued under Section 148 of the Income Tax Act, 1961 [the Act] and further proceedings relating to the said notice in respect of the Assessment Year [AY] 2015-16. 6. The petitioner is a private limited company and is engaged in the Signature Not Verified Signed By:NEELAM SHARMA W.P.(C) 1261/2023 Page 1 of 5 Signing Date:27.05.2025 16:36:13 business of garments. The petitioner filed its return of income for AY 2015- 16 on 28.09.2014, declaring a total income of ₹1,41,25,950/-. 7. The Assessing Officer [AO] issued a notice dated 21.04.2021 under Section 148 of the Act seeking to reopen the assessment for AY 2015-16. Although the said notice was issued after 31.03.2021, the procedure as prescribed under Section 148A of the Act was not followed, as the notice was premised on the provisions relating to reassessment as were in force prior to 31.03.2021. 8. Thereafter, by a communication dated 18.05.2022, the AO referred to the decision of the Supreme Court in Union of India & Ors. v. Ashish Agarwal: (202