9911796707
|
Home
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2021 (5) TMI 1084 - HC - Income TaxValidity of assessment order passed w/o issuing SCN - Addition taking recourse to Section 69 and tax at the rate of 60% has been levied in terms of Section 115BBE - petitioner alleged that questionnaires were served on the petitioner from time to time u/s 142(1) which replies were submitted by the petitioner, no show-cause notice, as envisaged in Central Board of Direct Taxes ( CBDT ) Instruction No. 20 of 2015, dated 29.12.2015, has been served on the petitioner. HELD THAT - As respondent, says that he has not been able to obtain instructions in the matter as the concerned Principal Commissioner of Income Tax has been afflicted with coronavirus. Having regard to the submissions made by the petitioner, we are inclined to entertain the instant writ petition.Accordingly, issue notice. Mr. Agarwal accepts service on behalf of the respondent.Counter-affidavit will be filed within four weeks. Rejoinder thereto, if any, will be filed before the next date of hearing. In the meanwhile, there shall be a stay on the operation of the impugned assessment order dated 03.04.2021. List the matter on 10.08.2021.
Issues Involved:
1. Application for exemption from filing attested affidavits and extension of time for depositing court fees. 2. Challenge to assessment order dated 03.04.2021 under Section 69 of the Income Tax Act, 1961 and Section 115BBE. 3. Allegation of lack of show-cause notice and reliance on CBDT Instruction No. 20 of 2015. 4. Pending adjudication of similar issues in other writ petitions. Analysis: Issue 1: Application for Exemption and Extension The petitioner filed an application seeking exemption from filing attested affidavits and an extension of time for depositing court fees. The court allowed the application subject to the petitioner submitting the attested affidavits and depositing the court fees within three days of the court's normal functioning resuming. The application was disposed of accordingly. Issue 2: Challenge to Assessment Order The petitioner challenged the assessment order dated 03.04.2021, which included an addition of ?90,00,000 to the declared income of the assessee for the assessment year 2018-2019 under Section 69 of the Income Tax Act, 1961. Additionally, a tax rate of 60% was applied under Section 115BBE, resulting in a tax demand of ?92,14,550. The petitioner alleged that despite submitting replies to questionnaires under Section 142(1) of the Act, no show-cause notice was served as per CBDT Instruction No. 20 of 2015. The petitioner also highlighted the pending adjudication of similar issues in other writ petitions before the Court. Issue 3: Lack of Show-Cause Notice and Reliance on CBDT Instruction The petitioner emphasized the absence of a show-cause notice as required by CBDT Instruction No. 20 of 2015, which mandates a fair opportunity for the assessee to explain proposed additions/disallowances before the final order. The petitioner drew attention to the pending writ petitions with similar issues, indicating that interim orders had been passed in favor of the petitioners. The respondent cited difficulties in obtaining instructions due to the Principal Commissioner of Income Tax being affected by COVID-19. Issue 4: Pending Adjudication of Similar Issues The Court, considering the submissions made by the petitioner, decided to entertain the writ petition challenging the assessment order dated 03.04.2021. The respondent accepted service on behalf of the respondent, and a counter-affidavit was directed to be filed within four weeks, with a stay on the operation of the assessment order until the next hearing scheduled for 10.08.2021. This detailed analysis covers the various issues involved in the judgment delivered by the Delhi High Court, addressing the application for exemption, challenge to the assessment order, lack of show-cause notice, and the pending adjudication of similar issues in other writ petitions.
|
