Apkon Crushers Vs National Faceless Assessment Centre (Karnataka High Court)
Ex-Parte Reassessment Quashed – Bonafide Omission to Respond Justified – Karnataka HC Grants Fresh Opportunity to File Reply to 148 Notice
Petitioner, a partnership firm, challenged the reassessment order dated 03.03.2023 passed u/s 147 r.w.s. 144B for AY 2018-19, along with the demand notice & appellate order dated 30.06.2025. It was contended that though notice u/s 148 was received on 31.03.2022, the firm could not file the return or respond to subsequent notices due to bona fide & unavoidable circumstances. Consequently, the order was passed ex parte, & the appeal was later dismissed as time-barred.
The Court observed that the reassessment order was indeed passed without considering any reply from the Petitioner. Since the omission to respond was explained as bona fide, it held that a justice-oriented approach warranted one more opportunity to the Petitioner.
Held: Reassessment order u/s 147 r.w.s. 144B dated 03.03.2023, demand notice, & NFAC appellate order dated 30.06.2025 were quashed. Matter remanded to the AO for fresh consideration from the stage of reply to the Section 148 notice dated 31.03.2022, granting liberty to file documents & submissions afresh.
FULL TEXT OF THE JUDGMENT/ORDER OF KARNATAKA HIGH COURT
