Section 282 of the Income Tax Act
Income-tax Act, 2025: s.501
Section 282 of the Income-tax Act, 1961 corresponds to section 501 (Service of notice, generally) of the Income-tax Act, 2025.
Read section 501 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 282 is Pr. CIT v. Silver Line (383 ITR 455), cited in 201 of the 613 judgments on BharatTax that turn on this section.
Leading authorities on Section 282
For reassessment under Section 147, the Assessing Officer must record reasons and communicate them to the assessee. An assessee's participation in proceedings pursuant to a Section 148 notice does not obviate the mandatory requirement of recording and communicating reasons or issuing a Section 143(2) notice.
Reassessment proceedings and subsequent assessment orders are invalid if the notice under Section 148 is not validly served, such as when issued to an incorrect address or when affixture is improper.
For substituted service of notice by affixation to be valid, the serving officer must exercise all due and reasonable diligence to find the assessee or their agent, strictly adhering to the procedure under Rule 17 of Order V of the Civil Procedure Code. Failure to follow this proper procedure renders the service invalid and cannot sustain subsequent proceedings.
A notice issued under section 34 of the Income-tax Act, 1922, that is not signed by the Income Tax Officer is invalid and considered no notice at all, as the signature is an essential and integral part of the notice.
Service of notice by affixture is invalid if it is not done in accordance with the procedure laid down in the Code of Civil Procedure, specifically requiring the association of an independent local person.
For an assessee to be considered in default, a notice must be served in one of the modes provided by the Income Tax Act. Acquiring knowledge of a notice's issuance is not a substitute for proper service.
When no return is filed in response to a notice under section 148 of the Income Tax Act, a separate notice under section 143(2) is not required to make the assessment.
An assessee must be allowed credit for income surrendered and disclosed in another year or by another group assessee to avoid impermissible double taxation.
