Difference of grounds between Order & SCN: Delhi HC quashes proceedings

Usha Rani Girdhar Vs ITO (Delhi High Court)

Primary allegation cannot be added to the SCN by issuing Supplementary Notice

The Hon’ble Delhi High Court (“the High Court”) in the case of M/s. Usha Rani Girdhar v. Income Tax Officer [W.P. (C) 16090 of 2022] dated November 25, 2022, held that Assessing officer (“the AO”) cannot add primary allegation in Notice by issuing Supplementary Notice.

Facts:

M/s. Usha Rani Girdhar (“the Petitioner”) had sold the immovable property in the Assessment Year 2017-18 and the long-term capital gain arose by such transaction was not disclosed in the Income Tax Return (“ITR”) of same period.

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