Case Law Details
Satish Kumar Bansal HUF Vs National Faceless Assessment Centre Nafac And Another (Allahabad High Court)
Section 144B requires the Assessing Officer to provide an opportunity of hearing upon issuing a show-cause notice and, if requested by the assessee, to grant a personal hearing. The court interpreted Section 144B to imply that the grant of a personal hearing is not discretionary but rather a rule to be followed in assessment proceedings.
The case at hand pertains to a challenge against an ex parte assessment order dated March 23, 2024, issued under Section 143(3) read with Section 144B of the Income Tax Act, 1961, for the assessment year 2022-23. The petitioner, Satish Kumar Bansal HUF, contested the validity of the assessment order on the grounds that it was passed without affording a reasonable opportunity of hearing.
The petitioner argued that the assessment order was issued without granting sufficient time to respond to the show-cause notice and without providing a genuine opportunity to participate in the assessment proceedings. The initial notice for assessment was sent via email on March 11, 2024, with the hearing scheduled for March 15, 2024. Due to the short notice, the petitioner requested an adjournment, which was granted, and the hearing was rescheduled for March 17, 2024. However, this date fell on a Sunday, and despite this, the Assessing Officer proceeded to finalize the assessment order on March 23, 2024, without granting any further opportunity for hearing.
The revenue, represented by counsel, contended that the petitioner had participated in the assessment proceedings initially but failed to cooperate towards the end, leading to the finalization of the assessment order. The revenue argued that statutory remedies were available to the petitioner against the assessment order, rendering the petition unnecessary.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
Author Bio
