Chhering Tomdan Vs ITO (ITAT Chandigarh)
ITAT Chandigarh held that since notices were issued through ITBA portal only it cannot be treated as a valid service of notice. Accordingly, proceedings initiated under section 147/148 of the Income Tax Act is liable to be quashed.
Facts- The Assessee at the age of 10 years became a Monk. He is illiterate and only know BHOTI language. The case was opened on the basis that the Assessee was having cash deposits of Rs. 6,02,000/- during the demonetization period, i.e., financial year 2016-17, in his savings account. The Assessee is questioned to have earned interest income amounting to Rs. 13,419/- during the year under consideration and the income from teaching the Bhoti language in Govt. Primary School, Khurik amounting to Rs. 52000/-
As per the report of the Income Tax Officer, Intelligence and Criminal Investigation, Assessee could not explain the cash deposits during demonetization period and thereafter issued notice u/s. 148 of the Income Tax Act, 1961 on 31.03.2021 which was not served on the registered email id of the Assessee. Then, notices u/s. 142(1) of the Act were issued to the Assessee on 15.11.2021, 02.02.2022, 15.02.2022 and 02.03.2022.
The Assessee could not respond to the above notices as he was unaware of the initiation of proceedings against him because all the notices were merely uploaded on the ITBA portal, neither they were sent on the email id registered on the portal or through post. Due to his failure, AO passed an order u/s. 144 r.w.s. 147 of the Act. The total income assessed by the AO, making additions u/s. 69A of the Act, interest and the salary as a teacher amounted to Rs. 6,67,920/-.
