Old IT Notice for 2015-16? Courts May Quash It

Gujarat High Court ruled that old income tax reassessment notices for AY 2015-16 cannot be saved by TOLA time extensions. If you got a Section 148 notice for old years, this ruling may protect you.

Here's what happened: Gujarat High Court quashed Section 148 and 148A income tax reassessment notices issued for Assessment Year 2015-16, ruling them time-barred.. The court held that TOLA's COVID-era deadline extensions cannot be used to legally revive reassessment proceedings that had already lapsed under standard Income Tax Act time limits.. The ruling follows the Supreme Court's Rajeev Bansal judgment, which set strict boundaries on how far back tax authorities can reopen old assessments using pandemic extensions..

What you should do: Check the assessment year on any pending income tax reassessment or Section 148 notice you have received — AY 2015-16 notices may be invalid.. Consult a tax advocate or chartered accountant before responding to or paying any demand linked to an old reassessment notice — challenging it in court may be your best move.. File a writ petition in your jurisdictional High Court if you received a time-barred notice — the Gujarat HC ruling and Rajeev Bansal SC judgment are strong precedents in your favour..

If the income tax department issued a reassessment notice beyond the legally permitted time window, your response should be a legal challenge — not a compliance. Paying the demand waives your right to contest it later.

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