Khushi Gupta
Published on: May 27, 2022 at 20:24 IST
The Rajasthan High Court Bench headed by Acting Chief Justice Manindra Mohan Shrivastava and Justice Sameer Jain has issued the notice to the government on a plea challenging the validity of the first proviso to Section 148 of the Income Tax Act by granting arbitrary powers to the Assessing Officer.
The Petitioner has filed this Writ Petition under Article 226 of the Constitution of India challenging the notice issued under Clause (b) of Section 148A of the Income Tax Act, 1961.
The Petitioner submitted that the Assessing Officer in the notice under Clause (b) of Section 148A of the Income Tax Act alleged that, based upon the information, the petitioner had traded in crypto currency amounting to Rs. 29,17,088.
The Assessing Officer has further assumed that the petitioner has earned some income on the alleged traded value. The Assessing Officer has further stated that the petitioner has not declared the income in her return of income.
The Petitioner has assailed the first provision of Section 148 of the Income Tax Act, 1961, on the ground that the explanation “income chargeable to tax has escaped assessment” has been restricted in its meaning.
The court, while listing the matter on 04.07.2022, has stayed the reassessment notice.