New Delhi, Sept. 17 -- The Supreme Court has held that an Assessing Officer (AO) cannot issue a reassessment notice against an assessee once the Income Tax Settlement Commission (ITSC) has passed a final order determining the net taxable income.

A bench of Justices SVN Bhatti and NV Anjaria dismissed the Revenue's appeal against a Delhi High Court judgment that had quashed reassessment proceedings initiated against real estate company Omaxe Limited for Assessment Year 2006-07.

Finality of Settlement Order Cannot Be Defeated

The Court held that allowing the AO to independently exercise powers under provisions including Sections 143(2), 148 and 154 of the Income Tax Act after a settlement order would defeat the finality attached to the I...