Section 151(1) of the Income Tax Act
Income-tax Act, 2025: s.284
Section 151(1) falls under section 151 of the Income-tax Act, 1961, which corresponds to section 284 (Sanction for issue of notice) of the Income-tax Act, 2025.
Read section 284 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 151(1) is Gurpal Singh v. ITO (159 ITD 797), cited in 58 of the 102 judgments on BharatTax that turn on this section.
Leading authorities on Section 151(1)
Mere cash deposits in a bank account, without the Assessing Officer's independent application of mind on reasons to believe, are not sufficient grounds to invoke jurisdiction under Section 147 for reassessment proceedings.
A notice issued under section 148 is time-barred and deserves to be quashed if no allegation is made against the assessee for failure to disclose material facts, and the AO's assertion of no prior assessment is contrary to the record. The jurisdiction assumed under section 147 is without lawful basis in such circumstances.
An assessee must be allowed credit for income surrendered and disclosed in another year or by another group assessee to avoid impermissible double taxation.
Sanction for issuing a notice under Section 148 is required under Section 151(1). A notice issued without valid sanction is void ab initio and the reassessment proceedings are liable to be quashed.
