HC quashes Faceless Assessment order for not furnishing Mandatory draft assessment order to Assessee

Chander Arjandas Manwani Vs National Faceless Assessment Centre & ors. (Bombay High Court)

In our view, as noted earlier no draft assessment order has been issued at all let alone on 1^st February, 2021. The notice dated 1^st February, 2021, as stated earlier, is seeking further documentary evidences and those evidences sought are for the first time. When respondent is seeking documentary evidences, that communication by no stretch of imagination can be even referred to as a draft assessment order.

The Faceless Assessment Scheme, 2019 as per the circular dated 13^th August, 2020, provides that where a modification is proposed, the National e-Assessment Centre shall provide an opportunity to the assessee by serving a notice calling upon him to show cause as to why the assessment should not be completed as per draft assessment order. This has not been complied with.

CBDT in its order dated 13^th August, 2020 under Section 119 of the Act has ordered as under :

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