Delhi High Court
Rahul Biala vs Income Tax Officer Ward 61(1) ... on 29 April, 2022
$~13
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 6038/2022 & C.M.No.18125/2022
RAHUL BIALA ..... Petitioner
Through: Mr.Ruchesh Sinha with Ms.Divya,
Advocates.
versus
INCOME TAX OFFICER WARD 61(1) DELHI & ANR.
..... Respondents
Through: Mr.Zoheb Hossain, senior standing
counsel with Mr.Vipul Agrawal and
Mr.Parth Semwal, Advocates.
% Date of Decision: 29th April, 2022
CORAM:
HON'BLE MR. JUSTICE MANMOHAN
HON'BLE MR. JUSTICE DINESH KUMAR SHARMA
JUDGMENT
MANMOHAN, J (Oral):
1. Present writ petition has been filed challenging the assessment order
dated 31st March, 2022 passed under Section 147 read with Section 144B of
the Income Tax Act, 1961 (for short ' the Act') for the Assessment Year
2016-17.
2. Learned counsel for the Petitioner states that the Petitioner was not
given reasonable time to file reply to the show cause notice which was
issued only on 30th March, 2022 at 16:21 p.m. effectively giving the
Petitioner only eight hours' time to file reply to the show cause notice. He
Signature Not Verified
Digitally Signed By:JASWANT
SINGH RAWAT
Signing Date:04.05.2022
states that it was not possible to gather all the details of expenses incurred
towards improvement of property, details of exemption claimed under
Section 54 of the Act and the authentic supporting documents/evidences,
which had been referred to in the draft assessment order.
3. Learned counsel for the Petitioner contends that the time gap between
giving the show cause notice and passing of the reassessment order was only
around twenty two hours which means that the Respondents considered the
reassessment proceedings as an empty formality.
4. Today, on instructions, Mr.Zoheb Hossain, learned standing counsel
for the Revenue states that "since the matter was bounded by the limitation
of time which got barred on 31st March, 2022, the proposed draft order
along with show cause notice for proceedings was issued under Section 147
of the Act on 30th March, 2022 by providing opportunity for hearing fixed on
or before 30th March, 2022 by 6.30 p.m.. However, due to paucity of time as
stated above, the final assessment order in the case was passed only on 31st
March, 2022 at 13:54:05 IST till the time the assessee has not
objected/responded."
5. Having heard learned counsel for the parties, this Court is of the view
that time of eight hours to file reply to the show cause notice was neither
reasonable nor effective, as within this short time, the Petitioner could not
have supplied relevant information and documents to substantiate his case.
Consequently, this Court is of the view that in the present case, there has
been violation of the principle of natural justice.
6. Accordingly, the impugned order is set aside and the Petitioner is
directed to file his response to the show cause notice dated 30th March,
Signature Not Verified
Digitally Signed By:JASWANT
SINGH RAWAT
Signing Date:04.05.2022
2022 on or before 13th May, 2022. The Respondent No.2 is directed to pass
an assessment order within six weeks thereafter in accordance with law.
7. With the aforesaid directions, present writ petition along with pending
application stands disposed of. The rights and contentions of all the parties
are left open.
MANMOHAN, J
DINESH KUMAR SHARMA, J
APRIL 29, 2022
KA
Signature Not Verified
Digitally Signed By:JASWANT
SINGH RAWAT
Signing Date:04.05.2022
