Yashasvi Securities Reopening Limitation Challenge

The writ petition was filed by Yashashvi Securities Private Limited challenging reassessment proceedings initiated under Section 148 for Assessment Year 2015-16. The petitioner contended that the proceedings were barred by limitation in light of the first proviso to Section 149(1) introduced by the Finance Act, 2021 and the Supreme Court’s ruling in Rajeev Bansal, which clarified that reassessment notices for earlier years cannot survive if already time-barred under the old six-year limitation regime.

The Revenue attempted to justify the reopening by invoking the extended ten-year limitation under the amended Section 149(1)(b), coupled with the transitional provisions introduced through Finance Act, 2024 and Section 152(3). 

It was argued that the search-related reassessment proceedings fell within the continuing applicability of the pre-2024 reassessment framework.

The High Court did not finally adjudicate the issue at this stage but found that the challenge raised serious jurisdictional questions warranting further examination. Accordingly, the Court granted interim protection by restraining the Revenue from taking coercive steps and directed filing of affidavits.