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Over 1,300 I-T notices from old regime quashed by Delhi HC

Over 1,300 I-T notices from old regime quashed by Delhi HC

The Delhi High Court on Wednesday quashed more than 1,300 reassessment notices that the income-tax department had issued, saying that the new tax regime did not empower it to reopen cases after March 31 this year.

The court's verdict may have a bearing on around 133,000 reassessment notices issued by the department after March 31, an income tax department official said. The department may challenge the ruling in the Supreme Court and also seek to amend the Income Tax Act in the upcoming budget to proceed with the reassessment cases, the official said.

"Notifications dated March 31, 2021 and April 21, 2021 are declared ultra vires the Relaxation Act, 2020 and therefore bad in law and null and void," the high court said, while quashing the notices and allowing the writ petitions.

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