Date Of Assessment Order Recommending Penalty For Accepting Cash Above ₹2 Lakh Not Relevant For Determining Limitation U/S 275 Of Income Tax Act: Delhi HC

The Delhi High Court ruled that the date of the assessment order is not relevant for determining the limitation period under Section 275 of the Income Tax Act, particularly for penalties related to accepting cash transactions above ₹2 lakh. The court clarified that the relevant date for considering the limitation period would be the date when the penalty notice was issued, not the assessment order. This ruling has important implications for the interpretation of time limits in tax proceedings, ensuring that the assessment and penalty processes align with the legal framework.