Topic
The ITAT ruled that an assessment order issued under section 143(3) in the name of a deceased taxpayer is merely irregular and can be corrected, not a nullity. Consequently, the tax liability remains enforceable and the legal heir may seek rectification without the order being void.
ITAT Delhi dismisses an appeal filed by a purported legal representative, ruling that mere claim of representation is insufficient without proof of succession or management of the deceased’s estate under Section 159. The appellant must satisfy statutory conditions or face departmental proceedings to proceed.
Madras High Court rules that income tax notices and assessments issued to a deceased assessee are legally void if proceedings are not initiated against legal heirs under Section 159(2) of the Income Tax Act. The court held there is no statutory obligation on legal heirs to inform the department of the assessee's death, shifting the burden to the tax authority to correctly identify and proceed against the legal representative.