Bombay HC: AMJAD AHMED SHAIKH VERSUS ITO:2025 (3) TMI 358
Background: The case concerns a dispute regarding the
validity of income tax notices and assessment orders issued
by the Department in the name of a deceased individual. The
petitioner, Amjad Ahmed Shaikh, is the legal heir of Late
Ahmed Gulamnabi Shaikh, who passed away on August 13,
2016. Despite being notified of the death in May 2018, the
Income Tax Department issued notices and assessment orders
u/s 148 & u/s 147 against the deceased in 2022 and 2024.
The details of demise was also updated by the deceased son
by May 2018. Furthermore, the notices were issued in the
name of the deceased individual and not to any legal
representative. The petitioner challenged these actions before
the Bombay HC, arguing that tax proceedings against a dead
person are null and void.
Decision: The Bombay High Court quashed the reassessment
notices and orders issued under Section 148, 147 r/w 144 and
156 against the deceased person, Ahmed Gulamnabi Shaikh,
despite the Income Tax Department being informed of his
death in May 2018. The Court held that issuing notices in the
name of a deceased individual was legally null and void,
relying on precedents. It is also observed that the claim of
ignorance by the Department was unjustified, given the
records of formal intimation for the same. The Hon’ble Court
rules in the favour of the petitioner, held that the notices were
legally invalid as they were issued in the name of a deceased
person. However, the court clarified that the tax authorities
could still initiate fresh proceedings against the legal
representatives in accordance with the laws and regulations.
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