Case Law Details
Ssapp Overseas Pvt Ltd Vs DCIT (Delhi High Court)
Introduction: The Delhi High Court in the case of Ssapp Overseas Pvt Ltd Vs DCIT overturned assessment orders pertaining to Assessment Years (AYs) 2013-14 to 2019-20, issued by the Assessing Officer (AO). The court cited a blatant disregard for the principles of natural justice as the reason for setting aside the orders, as the AO didn’t consider the petitioner’s request for relaxation to file a late reply.
Analysis: Ssapp Overseas Pvt Ltd was given thirty days from the date of the service of the notices (09.03.2023) to file its returns. In the meantime, the AO sought additional information via notices dated 20.03.2023, to which Ssapp Overseas responded with a request for an additional 30 days to compile the required information. However, the AO dismissed this request and proceeded to pass the assessment orders on 28.03.2023.
The Delhi High Court deemed this disregard for the petitioner’s request and non-adherence to the timeline given in the original notice as a violation of the principles of natural justice. Therefore, the court set aside the impugned assessment orders and directed the AO to carry out a de novo exercise.
Conclusion: The Delhi High Court’s ruling in the Ssapp Overseas Pvt Ltd Vs DCIT case emphasizes the importance of adhering to the principles of natural justice and considering reasonable requests for extensions in official proceedings. The case sets a precedent for upholding the principle of fairness and a balanced approach in tax assessment processes.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
