Assessment Without SCN Violates Natural Justice: Madras HC

Advertisement eShakti.com Private Limited Vs ACIT (Madras High Court) The petitioner challenged two assessment orders dated 26 December 2019 for Assessment Years 2016-17 and 2017-18 passed under the Income-tax Act, 1961. Although several grounds were raised, the Court identified the principal legal issue as whether a show cause notice is required before finalising an assessment. The Court noted that two pre-assessment notices had been issued and there had been exchanges of correspondence between the parties. However, no show cause notice was issued setting out the proposed additions or disa...