Facts of the Case

  • The petitioner challenged a notice dated 30.03.2019 issued under Section 148 of the Income Tax Act.
  • The notice was issued in the name of the petitioner’s deceased husband, Late Maharaj Singh, who had died on 26.07.2014.
  • The petitioner produced the death certificate as proof of death.
  • Despite opportunities, the respondent failed to file a counter affidavit.

 Issues Involved

  1. Whether a notice issued under Section 148 in the name of a deceased person is valid in law?
  2. Whether Section 159(3) of the Income Tax Act can validate such notice against legal representatives?

Petitioner’s Arguments

  • The notice issued in the name of a deceased person is void ab initio and non est in law.
  • Relied on Savita Kapila vs Assistant Commissioner of Income Tax (2020) where similar notice was held invalid.
  • Since the assessee had already expired, jurisdiction under Section 148 could not be validly assumed.

Respondent’s Arguments

  • Invoked Section 159(3) of the Income Tax Act.
  • Argued that legal representatives are deemed assessees and proceedings can continue against them.
  • Contended that the notice remains valid and enforceable against legal heirs.

Court’s Findings / Order

  • The Court rejected the respondent’s contention.
  • Held that:
    • Issuance of notice to a correct person is a jurisdictional requirement.
    • Notice issued to a dead person is invalid and non est.
  • Section 159 applies only when proceedings were initiated while the assessee was alive.
  • Since notice was not issued to legal representatives, Section 159(3) could not cure the defect.
  • Impugned notice dated 30.03.2019 was quashed along with all consequential proceedings.

Important Clarification by Court

  • Jurisdiction under Section 148 depends on valid issuance of notice to a living assessee.
  • Legal representatives can be proceeded against only if notice is issued in their name.
  • Section 159 does not validate proceedings initiated against a deceased person directly.

Link to download the order -https://delhihighcourt.nic.in/app/case_number_pdf/2021:DHC:2981-DB/NAC22092021CW172021_172315.pdf

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