The Delhi bench of the Income Tax Appellate Tribunal (ITAT) granted relief to former Australian cricketer Brett Lee in a tax case on the grounds that the cricketer was served notice under the Income Tax Act beyond the limitation period.
The case pertains to the income tax demand raised by the department for ₹3 crore endorsement fee received by the fast bowler for the assessment year 2013-14 from three Indian entities Reebok India Company, Castrol India Limited and Knight Riders Sport Private Ltd .
Key points to remember:
“Where notice under section 148 was issued by Assessing Officer just one day prior to expiry of limitation period on e-mail through ITBA portal, but said e-mail was sent to e-mail account which did not belong to assessee and was bounced and, thus, notice under section 148 was never served on assessee within period of limitation, assessment order passed under section 147 without service of notice under section 148 was to be declared as invalid and was to be quashed.”
Conclusion:
The tribunal found that the notice, sent a day before the deadline and to the wrong email address, was invalid. As a result, the assessment order was quashed.
- Source: Click Here
Disclaimer: Every effort has been made to avoid errors or omissions in this material. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of in the next edition. In no event the author shall be liable for any direct, indirect, special or incidental damage resulting from or arising out of or in connection with the use of this information.
