Sreelekha Banerjee Vs Deputy Commissioner of State Tax & Ors. (Calcutta High Court)
In the case of Sreelekha Banerjee vs. Deputy Commissioner of State Tax & Ors., the Calcutta High Court addressed a dispute over the tax assessment for the year 2019-20. The petitioner challenged a series of notices and orders under Section 148A and Section 147 of the Income Tax Act, arguing that she was not given adequate time to respond to a show cause notice, which violated the principles of natural justice and the Standard Operating Procedure (SOP) issued by the National Faceless Assessment Centre. The petitioner highlighted that the notice was digitally signed on February 13, 2024, but required a response by February 20, 2024, effectively providing less than the stipulated 7 clear days. The Court acknowledged this and noted that Saraswati Puja, a significant festival, occurred during this period, further reducing the effective response time. Consequently, the assessment order dated March 7, 2024, was set aside, and the case was remanded to the Faceless Assessment Unit. The Court directed the Unit to reactivate the response submission portal and allow the petitioner to submit her response within 15 days, followed by a fresh assessment within 8 weeks. The petitioner waived her right to challenge certain other notices, and the tax paid, if any, would be adjusted accordingly. The Court emphasized that the new assessment should be conducted on merit, without being influenced by its observations.
