Delhi HC holds that by virtue of Sec 160(1)(i), expression “representative assessee” has to be seen “in respect of the income of a non-resident”

Hon’ble Delhi HC allows assessee’s writ, quashes notice u/s 163(2) and subsequent proceedings holding assessee company as ‘representative assessee’ of its former employee for AY 2003-04; Employee filed return in India for said year in capacity of ‘Resident & Ordinarily Resident’; Assessee-company cannot be treated as ‘representative assessee’ of employee based on subsequent change in his residential status to non-resident; By virtue of Sec 160(1)(i), expression “representative assessee” has to be seen “in respect of the income of a non-resident”; In view of Bombay HC ruling in Abdullabhai Abdul Kadar, income bears reference to particular ‘previous year or accounting year’ for which ‘agent’ is to be appointed; Since for AY 2003-04, employee was not a non-resident, assessee cannot even be regarded as a deemed agent u/s 163(1)(c).

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