Cheftalk Food and Hospitality Services Pvt Ltd Vs ITO (Bombay High Court)
Bombay High Court held that granting of only two days time to respond to the show cause notice is against the SOP. SOP provides a response time of seven days. Thus, breach of SOP resulted in breach of principles of natural justice and hence order passed thereon is liable to be quashed.
Facts- This petition under Article 226 of the Constitution of India assails the Assessment Order dated 27 March, 2024 passed by Respondent No.2 under the provisions of Section 144 read with Section 144B of the Income Tax Act, 1961.
The primary grievance as raised by the Petitioner is that prior to the Assessment Order being passed, the Petitioner was issued a Show Cause Notice dated 22 March, 2024 calling upon the Petitioner to show cause on the variations which were sought to be made, in the return of income, as filed by the Petitioner.
The Petitioner contends that such notice was generated and uploaded on the portal on 22 March, 2024 at 20:03:29 IST. Further, the next day (i.e. 24 March, 2024) was a Saturday. The Petitioner objected to the said Show Cause Notice by its reply dated 23 March, 2024, wherein the Petitioner stated that the Petitioner being granted less than 24 Hours to respond the Show Cause Notice, was in breach of the principles of natural justice, which would amount to a flaw in the decision making process.
