2023 (5) TMI 502 - SCH - Income Tax

Notice of demand - benefit of the Kar Vivad Samdhan Scheme 1998 already availed - No Due certificate was issued for the relevant period - HELD THAT - Having regard to the impugned order which barely contains any reason much less the facts or advertance to the contentions of the parties, this Court is of the opinion that the matter has to be considered afresh on its merits. The impugned order is accordingly set aside.The Allahabad High Court shall proceed to hear and dispose of Writ Tax 2018 (7) TMI 2309 - ALLAHABAD HIGH COURT on their merits expeditiously preferably within a year. SLP disposed off.

Summary

Issues involved: Impugned order rejecting the writ petition, reopening of issues by Income Tax department despite benefit claimed under Kar Vivad Samdhan Scheme 1998, lack of reasons in impugned order.

Impugned order rejection: The impugned order dismissed the writ petition, criticizing the petitioner for being a practiced litigant who had not abided by the law and was abusing the legal process. The Court refused to interfere in the matter, stating there was no element of surprise in the notice of demand served to the petitioner.

Reopening of issues: The petitioner had claimed the benefit of the Kar Vivad Samdhan Scheme 1998, which was accepted by the revenue department resulting in a 'No Due' certificate being issued. However, the Income Tax department still sought to reopen the issues, prompting the petitioner to file a writ petition. No reply or Counter Affidavit was filed by the department in response to the petition.

Lack of reasons in impugned order: The Court found that the impugned order lacked sufficient reasons, facts, or consideration of the parties' contentions. Consequently, the Court set aside the order and directed the Allahabad High Court to hear and dispose of the writ petitions on their merits expeditiously, preferably within a year. The Special Leave Petitions were disposed of accordingly, and any pending applications were closed.