Shakambhari Udyog Vs CIT (Patna High Court)
Patna High Court held that there is no jurisdictional error since material/ documents based on which order of assessment has been passed is duly supplied to the assessee. Accordingly, writ petition dismissed.
Facts- Two writ applications have been preferred for setting aside the order(s) passed by respondent no. 2 imposing penalty u/s. 270A/271(1)(c) of the Income Tax Act, 1961 for the assessment year 2016-17 and the assessment year 2017-18 respectively. In these two writ applications, the grievance of the petitioner is that the impugned order dated 29.09.2022 has been passed by respondent no. 2 without consideration of the detailed written submission and also without recording reasons solely on the basis of an ex parte order of assessment passed in derogation of binding Circular No. 19/2019 dated 14.08.2019 and the Notification No. 61/2019 dated 12.09.2019.
Conclusion- In the present case, not only the copy of complaint but even the documents showing transactions of the firm were made available to the petitioner. The impugned order is not based on any examination of the complainant. In fact, there is no recording of the statement of the complainant or any other witness. The impugned order of assessment is based upon the materials which came to the notice of the Assessing Officer. After analysing the same, when the Assessing Officer was of the view that despite supply of reason of proceedings and other relevant documents to the assessee as well as sufficient opportunity, the assessee has failed to prove and substantiate that how undisclosed sales amount have been accounted in the books of accounts for the assessment year 2017-18, he has passed the impugned order.
