Delhi High Court
Ms Lokesh Constructions P Ltd vs The Assistant Commissioner Of ... on 27 May, 2021
$~20
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of decision: 27.05.2021
+ W.P.(C) 5491/2021
MS LOKESH CONSTRUCTIONS P LTD .....Petitioner
Through: Mr. Gagan Kumar with Mr. Ashish
Parashar, Advocates.
versus
THE ASSISTANT COMMISSIONER OF INCOME TAX
..... Respondent
Through: Ms. Vibhooti Malhotra, Sr. Standing
Counsel.
CORAM:
HON'BLE MR. JUSTICE RAJIV SHAKDHER
HON'BLE MR. JUSTICE TALWANT SINGH
[Court hearing convened via video-conferencing on account of COVID-19]
RAJIV SHAKDHER, J.: (ORAL)
CM APPL. 17023/2021
1. Allowed, subject to just exceptions.
CM APPL. 17024/2021
2. The prayer made in the captioned application is to grant exemption
from filing requisite court-fee and sworn/notarised/affirmed affidavit. The
captioned application is disposed of with a direction to the petitioner to
place on record the duly sworn/notarised/affirmed affidavit and to deposit
the requisite court-fee, within three days of the resumption of the normal and
usual work pattern by this court.
Signature Not Verified
Digitally Signed W.P.(C)5491/2021 Page 1 of 4
By:VIPIN KUMAR RAI
Signing Date:31.05.2021
01:14:07
W.P.(C) 5491/2021 and CM APPL. 17022/2021 [Application filed on
behalf of petitioner, under Section 151 of the Civil Procedure Code, 1908,
seeking stay on the operation of order passed by respondent, dated
07.04.2021.]
3. Via this writ petition, challenge has been laid to the assessment order
dated 07.04.2021, passed under Section 143(3) read with Section 143(3A) &
143(3B) of the Income Tax Act, 1961 (in short, 'the Act'), as also the
consequential notice of demand issued under Section 156 of the Act, and
notice for initiation of penalty proceedings issued under Section 274 read
with Section 270A of the Act.
4. To be noted, the impugned assessment order concerns Assessment
Year (AY) 2018-2019.
5. The principal grievance of the petitioner is that, the impugned
assessment order was passed without issuance of a show cause notice-cum
draft-assessment order.
6. Issue notice.
7. Ms. Vibhooti Malhotra, accepts notice on behalf of the
respondent/revenue.
7.1 Ms. Malhotra says that, in view of the directions that we propose to
pass, she does not wish to file a reply and will argue the matter based on the
record, presently, available with the Court.
7.2. Accordingly, with the consent of the counsel for the parties, the writ
petition is taken up for hearing and final disposal.
8. At the outset, Ms. Malhotra, fairly, draws our attention to the
judgement passed by this Court, today, in W.P. (C) 5552/2021 [listed on our
board today as Item No. 28], the ratio of which, according to her, will apply,
to this matter, as well.
Signature Not Verified
Digitally Signed W.P.(C)5491/2021 Page 2 of 4
By:VIPIN KUMAR RAI
Signing Date:31.05.2021
01:14:07
9. As indicated above, the respondent/revenue passed the impugned
assessment order, without issuance of a show cause notice-cum-draft
assessment order.
10. It is required to be noted that initially, the petitioner had declared its
income as Rs.87,55,390/-; which was revised to Rs.73,59,500/-.
11. Via the impugned assessment order dated 07.04.2021, an addition of
Rs.13,95,890/-, has been made to the declared income of the petitioner.
12. To our minds, since there was a variation in the declared income, the
respondent was required to issue a show cause notice-cum-draft assessment
order, in consonance with the provisions of Section 144B of the Act and the
Faceless Assessment Scheme, 2019. [See: Judgement dated 27.05.2021,
passed in W.P. (C) No. 5552/2021, titled YCD Industries vs. National
Faceless Assessment Centre, Delhi]
13. Accordingly, the impugned assessment order, and the consequential
notices issued, i.e., notice of demand issued under Section 156 of the Act,
and notice for initiation of penalty proceedings issued under Section 274
read with Section 270A of the Act, are set aside.
14. Liberty is, however, given to the respondent/revenue to pass a fresh
assessment order, albeit, as per law.
15. The respondent/revenue will grant a personal hearing to the
authorised representative of the petitioner.
16. For this purpose, the respondent/revenue will convene a hearing via
the videoconferencing mechanism.
17. The respondent/revenue will also indicate the date and time of the
hearing, well in advance, to the petitioner via its registered e-mail id.
Signature Not Verified
Digitally Signed W.P.(C)5491/2021 Page 3 of 4
By:VIPIN KUMAR RAI
Signing Date:31.05.2021
01:14:07
18. The writ petition is disposed of in the aforesaid terms. The pending
application shall stand closed.
RAJIV SHAKDHER, J.
TALWANT SINGH, J.
MAY 27, 2021
sh/tr
Click here to check corrigendum, if any
Signature Not Verified
By:VIPIN KUMAR RAI
Signing Date:31.05.2021
01:14:07
