Case Law Details
Nabco Products Private Limited Vs Union of India (Allahabad High Court)
it is undisputed that the impugned order has been passed by the respondents arbitrarily and in gross violation of the principles of natural justice. Therefore, the impugned order dated 30.03.2022 under Section 148 A(d) and the impugned order dated 06.06.2022 under Section 154 of the Act, 1961 both passed by the respondent no.2 and the impugned notice dated 30.03.2022 under Section 148 of the Act, 1961, can not be sustained and are hereby quashed.
We are frequently coming across cases where Income Tax Authorities are giving complete go by to the principles of natural justice. The excuse orally being set up usually by the departmental counsels is that there is some problem in the computerisation system which is solely controlled by the respondent no.1 i.e. the Central Board of Direct Taxes, New Delhi, and they can not, at their own, correct the system.
Be as it may, the system has been introduced and is being implemented by the respondents and, therefore, it is their primary duty to immediately remove short comings, if any, in the system. For own wrongs of the respondents, the assessee can not be allowed to suffer and put to harassment. Prevailing state of affairs clearly reflects that in the absence of any effective system of accountability of the erring officers, the harassment of the assessees and breach of principles of natural justice by the Officers is resulting in uncontrolled situation. The practice of frequently violating principles of natural justice, non consideration of replies of assessees under one pretext or the other or rejecting it with one or two lines orders without recording reasons for rejection, is gradually increasing which needs to be taken care of immediately by the respondents at the highest level, otherwise prevailing situation of arbitrary approach and breach of principles of natural justice may not only adversely affect the assessees who pay revenue to the Government, but also may develop a perception amongst people/assessees that it is difficult to get justice from the authorities in statutory proceedings.
For all the reasons aforestated, the impugned order and the notice as aforesaid are quashed.
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In case of GST matters also the proper officers pass non speaking orders. Even their speaking orders are lacking in quality The hon;ble judge has rightly imposed fine for such lapses.