Case Law Details
M. P. Ganesan Vs The Commercial Tax Officer (Madras High Court)
The issue under consideration is whether the order passed by AO by denying the cross examination request of custom banker as well as bank officials is justified in law?
High Court states that, a perusal of the impugned orders indicates that the directions of this Court in the first round of litigation have not been taken into account in proper perspective in finalizing the assessments. This Court had specifically directed that a proper enquiry be made by the Assessing Officer, which would not only include examination of all materials procured from the Customs and the Income Tax Department, but also on an independent application of mind of those materials and a proper and effective opportunity being extended to the petitioner to substantiate his repeated contention that he is unconnected with the import transactions. However, the Assessing Officer has merely relied on the same materials which were already available on record, to pass the impugned order. The observations of the Assessing Officer indicate the cursory and arbitrary manner in which the assessments have been completed. Moreover, despite a request for cross- examination of the Customs Broker as well as bank officials by the assessee, the Assessing Officer does not even refer to the request, let alone consider the same. High Court thus of the view that the impugned assessments have not been framed in a proper manner. Though they inclined to quash the assessments in full, they have remit the same to the file of the officer to be re-done de novo solely.
FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT
The petitioner is a proprietor of Tvl.S.R.S. Traders, a dealer in electronic goods and stationery. The background to this matter is as follows:
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