GENERAL10 Sept 2026
Punjab HC strikes down Income Tax Act's Section 147A as unconstitutional
The Punjab and Haryana High Court has struck down Section 147A of the Income Tax Act as unconstitutional. This section covered the rules on who can issue reassessment notices under the faceless tax system. So the legal ground under these notices is now shaky, and taxpayers who get one may have a fresh argument. Keep records ready and speak to your tax advisor before you reply.
Key Statutory Highlights
- The Punjab and Haryana High Court has struck down Section 147A of the Income Tax Act as unconstitutional.
- Section 147A dealt with the rules on who can issue reassessment notices under the faceless tax system.
- Taxpayers and businesses facing reassessment notices under the faceless system are the ones affected by this ruling.
Actionable Advice for Taxpayers / Founders:If you have received a reassessment notice under the faceless tax system, do not ignore it. Keep all related papers safe and speak to a qualified chartered accountant about your options before you respond.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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