PE65 The Modakkurichi Circle Teachers And Public Servants Cooperative T & C Society Vs ITO (Madras High Court)
Held that merely because of non-participation of the assessment proceedings, the valuable right of the petitioner would not be deprived of to prosecute a case under Section 264. Accordingly, orders passed u/s. 264 alongwith assessment orders u/s. 143 & 147 remanded back for fresh consideration.
Facts- Vide the present petition, the petitioner has contested that originally return was filed on 12.01.2024 for the assessment year 2018-19. Earlier, the petitioner had filed a condone delay petition on 03.10.2023 before the Chief Commissioner of Income tax, requesting to condone the delay in filing the return. The said petition was allowed and subsequently, the return filed by the petitioner on 12.01.2024 was accepted as filed. However, due to change in the name of the management, the petitioner was not aware of the notices issued in the Old PAN Number and therefore, the petitioner did not file any reply to the notices and participate in the proceedings. However, without hearing it, the 2nd respondent has passed the impugned assessment order dated 28.03.2023.
Conclusion- Held that merely because of non participation of the assessment proceedings, the valuable right of the petitioner would not be deprived of to prosecute a case under Section 264. Initially, the petitioner’s society had been registered as a Trust and subsequently, it has been converted into a society. So, therefore some practical difficulties were aroused in the management of the society, due to the change in the name of the management. Considering this aspect, in the interest of justice, to give one more opportunity to the petitioner, this Court is inclined to set aside the impugned orders passed under Section 264 along with the best judgment assessment orders passed under Section 143 & 147 and remand the matter to the Assessing Officer / 2nd respondent for fresh consideration.
