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Challenge to assessment order for the assessment year 1998-99 under section 143(3) of the Income-tax Act, 1961 based on violation of guidelines by the Central Board of Direct Taxes. Analysis: The petitioner filed a petition under article 226 of the Constitution seeking to quash the assessment order for the assessment year 1998-99, contending that their case was scrutinized in violation of guidelines issued by the Central Board of Direct Taxes. The petitioner also sought to delete additions made by the Assessing Officer, claiming they were against previous decisions in the petitioner's favor. The petitioner's return of income declared a loss, which was initially accepted under section 143(1)(a) of the Act. Subsequently, the case was selected for scrutiny, and despite requesting reasons for scrutiny, the petitioner did not receive a response. The assessment order under section 143(3) was passed, leading to the petitioner challenging it, arguing that the additions made were unjustified. However, the court noted that the petitioner did not challenge the scrutiny notice earlier and participated in the assessment proceedings without receiving a response to their inquiry about the reasons for scrutiny. The court observed that the challenge to the assessment order could be raised before the appellate authority, especially considering pending appeals for previous assessment years. The court emphasized that the petitioner had an alternative statutory remedy through the appellate process and could address the issues raised in the petition during the appeal. As a result, the court found no merit in the petition and dismissed it, clarifying that they did not delve into the merits of the assessment order, as the appellate authority would assess its validity based on the grounds raised in the appeal. In conclusion, the court dismissed the petition, stating that the petitioner cannot challenge the assessment order for the assessment year 1998-99 under section 143(3) of the Act while an appeal for the same is pending before the appellate authority. The court highlighted that the appellate authority would review the assessment order on its merits and in accordance with the law, based on the grounds presented in the appeal. Therefore, the petition was summarily dismissed, subject to the observations made regarding the appellate authority's role in assessing the validity of the assessment order.
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