The case of Brilliant Credit & Finance Private Limited vs Income Tax Officer was heard in the Calcutta High Court, with Mr. Avra Mazumder, Mr. Suman Bhowmik, and Mr. Samrat Das as counsel for the appellant, and Mr. Smarajit Roy Chowdhury as counsel for the respondent.
The issue in this case pertained to a notice issued under section 148 of the Income Tax Act, 1961 towards a non-existing company, Brilliant Credit & Finance Private Limited. The appellant, Brilliant Credit & Finance Private Limited, challenged the validity of the notice on the grounds that the company did not exist and therefore could not be served with a notice under section 148.
The Calcutta High Court quashed the notice issued under section 148, stating that a non-existing company cannot be served with a notice under this section. The Court held that for a notice under section 148 to be valid, it must be issued to a person who is legally capable of receiving such a notice, and a non-existing entity cannot fulfill this requirement.
The Court further observed that the notice was invalid as it was not addressed to any individual or entity, but was addressed to “The Principal Officer, Brilliant Credit & Finance Private Limited”. The Court noted that the notice should have been addressed to a specific individual or entity, and the lack of proper addressee rendered the notice invalid.
This case highlights the importance of proper compliance with the provisions of the Income Tax Act, including ensuring that notices are issued to legally recognized entities or individuals. It also underscores the significance of legal representation in tax matters, as the appellant was able to successfully challenge the validity of the notice with the assistance of competent counsel.
