In Sudish Kumar v. Commissioner of Income Tax (Appeals) (ITAT Delhi, order dated 09 January 2026), the Delhi Bench of the Income Tax Appellate Tribunal examined the legality of reassessment proceedings initiated under Sections 147 and 148 of the Income Tax Act, 1961 for Assessment Year 2016–17.

The Tribunal noted that the original assessee had passed away on 23 June 2016, whereas the notice under Section 148 had been issued on 26 July 2022, long after his demise. Despite this fact, the reassessment proceedings were upheld by the Commissioner (Appeals). The Revenue contended that the reassessment could not be faulted as the legal heirs had not informed the Department about the death of the assessee.

Rejecting the Revenue’s contention, the Tribunal relied on the binding decision of the Delhi High Court in Savita Kapila v. ACIT, which has conclusively held that reassessment proceedings initiated in the name of a deceased person are a nullity in law, irrespective of whether the Department had prior knowledge of the death. The Tribunal observed that such a jurisdictional defect cannot be cured by subsequent participation or omission on the part of legal representatives.

Accordingly, the Tribunal quashed the reassessment proceedings as void ab initio and allowed the assessee’s appeal. The second appeal, being a duplicate, was dismissed. The Tribunal clarified that no observations were being made on the status of the appellant as a legal representative of the deceased assessee.

Source Link- https://itat.gov.in/public/files/upload/1768212376-hdXkka-1-TO.pdf

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