Palpandi Shanthi Priya Vs ITO (Madras High Court)
Madras High Court ruled on a writ petition filed by Palpandi Shanthi Priya against the Income Tax Officer (ITO), challenging the reassessment proceedings for AY 2020-21. The petitioner, a loan recovery agent for HDFC Bank, received a notice under Section 148 of the Income Tax Act, 1961, citing income escapement. Despite submitting a detailed reply with supporting documents on 11.11.2024, the petitioner claimed that the authorities failed to consider the evidence, leading to a violation of natural justice principles. The petitioner sought relief from the High Court, arguing that the reassessment was unfair.
The respondents contended that Section 246A provides an appellate remedy for reassessment disputes, making the writ petition premature. The Court, after reviewing submissions and case records, agreed that the petitioner should pursue the statutory appellate route instead. It granted 30 days to file an appeal before the Commissioner of Income Tax (Appeals), who must dispose of the case within three months. With this direction, the writ petition was dismissed, and all connected petitions were closed. No costs were imposed.
FULL TEXT OF THE JUDGMENT/ORDER OF MADRAS HIGH COURT
This Writ Petition is disposed of without expressing any opinion on merits of the case by granting a liberty to the petitioner to file statutory appeal before the Appellate Commissioner in terms of Section 246A(1)(d) of the Income Tax Act, 1961.
