Case Law Details
Pegasus Assets Reconstruction Private Limited Vs PCIT (Bombay High Court)
The Bombay High Court took up the matter finally with the consent of the counsels. The court was informed that the assessment for the relevant assessment year of the searched person, C & M Farming Group, Nashik, was completed on September 29, 2021.
The petitioner’s counsel, Mr. Pardiwalla, argued that if the assessment was completed, there was no requirement to transfer the petitioner’s case to Nashik Commissionerate. Mr. Pardiwalla also stated that after the impugned transfer order was passed, the petitioner did not receive any communication from the Assessing Officer of C & M Farming Group for any documents related to the search.
The impugned transfer order, dated September 1, 2021, was based on the need for administrative convenience and co-ordinated investigation regarding C & M Farming Group.
Given that the assessment order for the relevant year for C & M Farming Group was already passed on September 29, 2021, the Court saw no reason to transfer the petitioner’s case.
Consequently, the Court quashed the impugned order dated September 1, 2021. However, the Court kept open all rights and contentions of the Revenue, including the liberty to take steps under Section 153C of the Income Tax Act, 1961, or any other applicable provisions. The Court clarified that this liberty should not be construed as approval for such action, which the petitioner may defend in accordance with law. The petition was disposed of.
FULL TEXT OF THE JUDGMENT/ORDER OF BOMBAY HIGH COURT
1. Considering the facts and circumstances of the case, the court decided to take up the matter finally with the consent of the counsels.
2. Mr. Sharma informed the court that the assessment for the relevant assessment year, his instructions are, have been completed on 29th September 2021 of the searched person named C & M Farming Group, Nashik. Mr. Pardiwalla submitted that if, the assessment have been completed on 29th September 2021, there is no requirement now to transfer petitioner’s case to Nashik Commissionerate. Mr. Pardiwalla also submitted that after the impugned order was passed, petitioner did not even receive any communication from the Assessing Officer of C & M Farming Group asking for any information or documents relating to the search that was carried out in the premises of of C & M Farming Group.
3. The impugned order itself proceeds on the basis that a transfer is required for administrative convenience and co-ordinated investigation in the case of C & M Farming Group. Since the assessment order itself has been passed for the relevant Assessment Year in the case of C & M Farming Group on 29th September 2021, we see no reason why petitioner’s case should be transferred to Nashik Commissionerate.
4. In the circumstances, we hereby quash the impugned order dated 1 st September 2021.
5. At the same time, all the rights and contentions of the Revenue is kept open including to take steps in accordance with law under the provisions of Section 153C of the Income Tax Act, 1961 or any other applicable provisions. This liberty should not be construed as an approval by us to take such action against petitioner. Should such an action be taken petitioner may defend the same in accordance with law.
6. Petition disposed
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