Goregaon Sports Club Vs ACIT (Bombay High Court)
It is one of those blatant cases of breach of principles of natural justice and total non application of mind. In the assessment order, the Assessing Officer is referring to a show cause notice dated 12th April 2021 by which the DAO proposed modification in returned income and petitioner’s initial reply seeking an adjournment of the hearing but conveniently chooses to ignore the reply filed by petitioner on 23rd April 2021 showing cause as to why the modification in returned income should not be made.
High Court further observed that we see no reason why we should wait for respondents to file any reply and prolong the agony of petitioner and also waste precious judicial time. If the Assessing Officer had only considered the file properly and dealt with the reply dated 23rd April 2021, then the need for petitioner to approach this Court would not have arisen. Ignoring the reply and forcing petitioner to approach this Court is again adding to the docket of the already overburdened Court. Hence, it is fit case, in our view, to impose cost on the concerned officer, who shall pay a sum of Rs.5,000/- as donation from his / her personal account to P. M. Cares Fund.
FULL TEXT OF THE JUDGMENT/ORDER OF BOMBAY HIGH COURT
1. Petitioner is impugning an assessment order dated 26th April 2021 on the grounds that it has been passed without even considering the submissions in writing submitted on 23rd April 2021 and without granting a personal hearing.
2. We have heard the counsels and also considered the petition and the documents annexed thereto. It is one of those blatant cases of breach of principles of natural justice and total non application of mind. In the assessment order, the Assessing Officer is referring to a show cause notice dated 12th April 2021 by which the DAO proposed modification in returned income and petitioner’s initial reply seeking an adjournment of the hearing but conveniently chooses to ignore the reply filed by petitioner on 23rd April 2021 showing cause as to why the modification in returned income should not be made. The Assessing Officer says “As assessee has not submitted any reply till the date of passing the order ………………………. and limitation of time barring date assessment is completed as per DAO sent alongwith SCN”. This noting of the Assessing Officer is far from truth. If he could have noticed the earlier response of petitioner dated 14th April 2021, certainly he would have noticed the response of petitioner dated 23rd April 2021.
3. In the circumstances, we see no reason why we should wait for respondents to file any reply and prolong the agony of petitioner and also waste precious judicial time. If the Assessing Officer had only considered the file properly and dealt with the reply dated 23rd April 2021, then the need for petitioner to approach this Court would not have arisen. Ignoring the reply and forcing petitioner to approach this Court is again adding to the docket of the already overburdened Court. Hence, it is fit case, in our view, to impose cost on the concerned officer, who shall pay a sum of Rs.5,000/- as donation from his / her personal account to P. M. Cares Fund. The account details are as under :
Name of the Account : PM CARES
Account Number : 60355358964
IFSC : MAHB0001160
Branch : UPSC – New Delhi
The said Assessing Officer shall thereafter file an affidavit of proof of payment within two weeks of this order getting uploaded and annex thereto a copy of the bank’s statement proving that it has been paid from the Assessing Officer’s personal account, under advise to petitioner’s advocate. If petitioner’s advocate does not receive this affidavit within two weeks of this order getting uploaded, liberty is granted to petitioner’s advocate to mention this matter for compliance.
4. In view of the above, the assessment order dated 26th April 2021 is quashed and set aside. So also the consequent demand and show cause notices.
5. A different Assessing Officer shall consider the submissions made by petitioner on 23rd April 2021 and pass the assessment order within six weeks from the date of this order getting uploaded but after giving a personal hearing to petitioner.
6. Petition disposed.
