Back
BHARGAV D. KARIA, NIRAL R. MEHTA
Fusion Granito Private Limited – Appellant
Versus
Assistant Commissioner Of Income Tax Circle - 1(1) – Respondent
JUDGMENT :
(Bhargav D. Karia, J.) :
1. Heard learned advocate Mr. B.S.Soparkar for the petitioner and learned Senior Standing Counsel Mr. Karan Sanghani for the respondents.
2. Rule returnable forthwith. Learned Senior Standing Counsel Mr. Karan Sanghani waives service of notice of rule for the respondents.
3. Having regard to the controversy in the narrow compass, with the consent of the learned advocates for the parties, the matter is taken up for hearing.
4. By this petition under Article 226 of the Constitution of India , the petitioner has challenged Assessment Order dated 18.03.2024 passed by the Assistant Commissioner of Income Tax, Rajkot, under section 143(3) read with section 263 of the Income Tax Act, 1961 (for short ’the Act’)for A.Y.2018-19.
5. Brief facts of the case are as under:
5.1 The Petitioner Company was incorporated on 12.04.2017 in the business of manufacturing of ceramic vitrified tiles. The Petitioner filed its return of income for the Assessment Year 2018-19 on 21.09.2018 declaring loss of Rs.4,33,27,151/-. Thereafter, the case of the Petitioner was selected for complete scrutiny for three issues including the issue of Share capital. Assessment order u/s 143(3)
The court established that failure to provide a personal hearing in tax assessments violates natural justice, necessitating the quashing of the assessment order.
Taxation - Faceless Assessment System/e-Assessment - It is open to authorities to carry forward process in accordance with section 144B of Act, 1961 by giving opportunity of hearing to petitioner.
The right to personal hearing in faceless assessments under Section 144B of the Income Tax Act is mandatory and must be granted when requested, reinforcing adherence to principles of natural justice.
Issuance of Show Cause Notice, mentioning proposed additions under Section 144B(xvi), is a mandatory requirement and any assessment order passed without issuance of such Show Cause Notice is bad in l....
Failure to grant a personal hearing in tax assessments, as required under Section 144B of the Income Tax Act, renders such assessments non-est in law.
The court emphasized the obligation of the revenue to consider the request for a personal hearing and to frame standards, procedures, and processes for approving such requests under Section 144B(7) o....
The central legal point established in the judgment is the mandatory nature of affording a personal hearing in case of a proposed variation in the assessment order, as provided in Section 144B(7) of ....
The court emphasized the importance of granting the petitioner an opportunity of hearing as required by Section 144B(7) of the Income Tax Act, and held that the failure to do so violated the principl....
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
