Hiraben Pragjibhai Tala Vs Additional/Joint/Deputy/ACIT/ ITO & Anr. (Gujarat High Court)
Gujarat High Court held that Standard Operating Procedure [SOP] to be followed under the Faceless Assessment Procedure of Section 144B of the Income Tax Act in case of non-responsive notice not followed. Accordingly, order quashed and matter remanded back to Faceless assessment authority.
Facts- The petitioner filed her return of income for A.Y. 2006-07 on 26.6.2006 declaring net taxable income of Rs. 1,13,020/- and agricultural income at Rs.86,800/- whereby the income from business and profession was of Rs. (-)1,22,707 (loss) and Long-Term Capital Gain was of Rs.2,35,727/-. The assessment u/s. 143(3) of the Act was finalised on 8.12.2008 by determining total income at Rs.30,01,806/-.
CIT(A) confirmed the addition. By way of order dated 13.9.2019, the Tribunal partly allowed the appeal and remanded back the case to AO for fresh adjudication. As per the order passed by the Tribunal, the petitioner filed his written submission before AO. However, due to pandemic of COVID-19, the proceedings were at standstill. Thereafter the case was assigned to the Faceless Assessing Officer. It is the case of the petitioner that without giving any opportunity of hearing, draft Assessment Order along with Demand Notice dated 20.9.2021 were issued u/s. 143(3) r.w.s. 254 r.w.s 144B of the Act. Being aggrieved and dissatisfied with the order dated 20.9.2021 passed by AO, the petitioner preferred a writ petition.
