Delhi HC quashes reassessment notices issued between April to June 2021 following old regime of reassessment

 

This Tax Alert summarizes a recent decision of the Division Bench of Delhi High Court (HC) in the case of Mon Mohan Kohli v. ACIT and Others dated 15 December 2021  wherein the HC, while dealing with a bunch of writ petitions, has quashed reassessment notices issued between April to June 2021 following the old regime of reassessment because the said regime is being substituted vide Finance Act (FA) 2021 with effect from (w.e.f.) 1 April 2021. The HC, inter alia, held that Central Government (CG) had no power to extend the validity of the old regime of reassessment beyond 31 March 2021 as the same is being substituted vide FA 2021 and the power conferred with CG under the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act 2020 (Relaxation Act) are limited to extend only the compliance date