Vyavasaya Seva Sahakari Sangh Pvt. Ltd. Vs Assessment Unit (Karnataka High Court)
The Karnataka High Court considered a writ petition challenging multiple proceedings initiated by the Income Tax Department for the Assessment Year 2020–21. The petitioner sought quashing of the assessment order, computation sheets, demand notices, penalty orders, and penalty notices issued under various provisions of the Income Tax Act, 1961. These included orders under Sections 144 read with 144B, penalty proceedings under Sections 270A and 272A(1)(d), and related demand notices issued under Section 156.
The petitioner contended that penalty proceedings under Section 272A(1)(d) were initiated without proper service of notice. Specifically, the notices were sent to an incorrect email address, namely [email protected], which did not belong to the petitioner. The petitioner asserted that the correct email address was [email protected]. Due to this error, the petitioner claimed to have been unaware of the proceedings and was consequently unable to submit a reply. It was argued that this lack of proper notice amounted to a violation of the principles of natural justice, as the petitioner was denied an opportunity to be heard.
On the other hand, the respondents argued that sufficient opportunities had been provided to the petitioner during the proceedings. They maintained that the petitioner failed to avail those opportunities and therefore the writ petition lacked merit and should be dismissed.
