Section 142(2C) of the Income Tax Act
Income-tax Act, 2025: s.268
Section 142(2C) falls under section 142 of the Income-tax Act, 1961, which corresponds to section 268 (Inquiry before assessment) of the Income-tax Act, 2025.
Read section 268 of the 2025 Act
Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.
The decision most relied on for Section 142(2C) is Sheo Narain Jaiswal v. Income-tax Officer (176 ITR 352), cited in 38 of the 83 judgments on BharatTax that turn on this section.
Leading authorities on Section 142(2C)
An Assessing Officer's assumption of jurisdiction under Section 147 is invalid if the officer does not independently apply their mind but merely acts at the behest of a superior authority. The satisfaction recorded must be independent, not borrowed or dictated.
The decision in CIT v. SPL's Sidhartha Ltd. is cited for its conclusion regarding the granting or cancellation of registration under Section 12AA of the Income Tax Act.
An Assessing Officer must pass an order under Section 142(2C) of the Income Tax Act on or before the expiry of the first extension period. Failure to do so may invalidate subsequent proceedings.
An amending act can be purely clarificatory, intended to clarify a meaning already implicit in the principal Act. The word 'and' can be interpreted as 'or' in statutory interpretation if it leads to unintended results.
