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February 2025

Reassessment — Notice — Validity — Seizure of cash by police — Cash produced in Magistrate Court and case registered — Proceedings u/s. 132A — Department requisitioning for release of cash — Release or custody of cash only in accordance with provisions of section 451 of Cr.PC 1973 — First proviso to section 148A applicable — Notices valid though issued non-complying with procedures u/s. 148A.

By Keshav Bhujle | Ritu Punjabi, Advocates
Reading Time 3 mins

79. Muhammed C. K. vs. ACIT:

[2025] 472 ITR 161 (Ker):

A. Ys. 2020-21 to 2023-24: Date of order: 11th March, 2024:

Ss. 132A, 147, 148 and 148A of ITA 1961: and S. 451 of Code Of Criminal Procedure, 1973:

Reassessment — Notice — Validity — Seizure of cash by police — Cash produced in Magistrate Court and case registered — Proceedings u/s. 132A — Department requisitioning for release of cash — Release or custody of cash only in accordance with provisions of section 451 of Cr.PC 1973 — First proviso to section 148A applicable — Notices valid though issued non-complying with procedures u/s. 148A.

Certain amount of cash was seized from the assessee by the police and was produced before the magistrate court and a case was registered. It was stated that an application u/s. 451 of the Criminal Procedure Code, 1973 was filed before the Magistrate Court to release the money to the Department.

On a writ petition contending that the money ought to be released to him and that since the money in question was never requisitioned as contemplated by the provisions of section 132A of the Income-tax Act, 1961, the notices u/s. 148A,

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