Case Law Details
Shilpa Agrwal Vs Assessment Unit (Calcutta High Court)
In a significant legal development, the Calcutta High Court rendered a verdict in the case of Shilpa Agrwal Vs Assessment Unit, revolving around an assessment order under the Income Tax Act, 1961. The petitioner contested the validity of an assessment order dated 26th February 2024, pertaining to the assessment year 2016-17, citing that it was erroneously issued against a deceased individual, Satish Agarwal.
The crux of the petitioner’s argument lay in the fact that the assessment order was directed towards Satish Agarwal, who had passed away on 3rd November 2014. Subsequent communication to the department, accompanied by a death certificate, formally informed the authorities of Satish Agarwal’s demise on 8th June 2018. Despite this official notification, the assessment order was still issued against the deceased.
During the proceedings, the respondent, representing the Assessment Unit, failed to provide a convincing defense for the issuance of the assessment order against a deceased individual. The High Court, upon examining the facts presented, found merit in the petitioner’s contention and concluded that the assessment order was untenable in law.
The Calcutta High Court, considering the circumstances and submissions from both parties, quashed the impugned assessment order dated 26th February 2024. However, the dismissal of the writ petition does not preclude the Assessing Officer from initiating fresh assessment proceedings in the future, provided it aligns with legal provisions.
In essence, this verdict underscores the importance of due diligence in assessment proceedings and highlights the judiciary’s commitment to upholding the principles of justice and legality. The case serves as a reminder of the legal ramifications of erroneous administrative actions and underscores the need for meticulousness in tax assessments to prevent undue hardship on taxpayers.
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
Heard learned advocates appearing for the parties.
By this writ petition, petitioner has challenged the impugned assessment order dated 26th February, 2024, under Section 147 read with Section 144/B of the Income Tax Act, 1961, relating to the assessment year 2016-17, on the ground that the impugned assessment order has been passed against one Satish Agarwal, who died on 3rd November, 2014 and whose death was officially intimated to the department by letter dated 8th June, 2018 by annexing the death certificate as appears at page 31 and 32 of the writ petition.
Learned advocate representing the respondent is not in a position to defend the impugned assessment order which has been passed against a dead person in view the facts which appears from record itself.
Considering the facts and circumstances of the case and submission of the parties, the impugned assessment order dated 26th February, 2024, is quashed. However, dismissal of this writ petition will not be a bar on the part of the respondent Assessing Officer to initiate any fresh assessment proceeding in future in accordance with law.
Accordingly, this writ petition being WPA 9183 of 2024 is disposed of.
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