Suresh Patel Vs PCIT (Madras High Court)
The case of Suresh Patel vs PCIT presented before the Madras High Court involves a challenge to an order issued by the first respondent on March 24, 2022, under Section 263 of the Income Tax Act, 1961. Preceding this order was a show cause notice dated January 25, 2022, to which the petitioner had responded, leading to the impugned order. Instead of pursuing the matter through the appellate Tribunal as per Section 253(1)(c) of the Income Tax Act, 1961, the petitioner chose to approach the Court after a significant delay.
The petitioner’s argument revolves around the completion of scrutiny assessment based on the income tax return filed on December 30, 2019. Additionally, the petitioner claims to have complied with the order by paying the differential tax and an additional sum towards the Pradhan Mantri Garib Kalyan Yojana Scheme (PMGKYS) 2016.
The crux of the petitioner’s contention is that the respondent’s invocation of Section 263 of the Income Tax Act, 1961, to revise the assessment order of December 30, 2019, is unjustified since the petitioner had already fulfilled the obligations set forth in that order.
On the contrary, the opposition to the Writ Petition argues that the petitioner had an alternative remedy available through the appellate Tribunal, and the delay in approaching the Court renders the petition liable for dismissal. Furthermore, it’s highlighted that an assessment order was passed on March 24, 2023, under Section 144 read with Section 263 read with Section 144B of the Income Tax Act, 1961, and a demand notice has been issued, indicating ongoing proceedings.
