Highgrowth Commodities Trade v. The Principal Commissioner Private Limited Of Income Tax & Ors

Serial No.02Regular List HIGH COURT OF MEGHALAYA AT SHILLONG WP (C) No.161/2022 with MC (WPC) No.80/2022 Date of order: 14.06.2022 Highgrowth Commodities Trade Vs. The Principal Commissioner Private Limited of Income Tax & ors Coram: Hon’ble Mr. Justice Sanjib Banerjee, Chief Justice Hon’ble Mr. Justice W. Diengdoh, Judge For the Petitioner : Mr. Abhratosh Mazumdar, Sr.Adv with Mr. Kaushik Goswami, Sr.Adv Mr. Avra Mazumdar, Adv Ms. Shruti Swaika, Adv Ms. Anakshi Neog, Adv Ms. M. Kakoty, Adv For the Respondents : Dr. N. Mozika, ASG with Ms. K. Gurung, Adv ORDER: (per the Hon’ble, the Chief Justice) (Oral) The primary grievance in the petition is that a notice under Section 148 of the Income-Tax Act, 1961 has been issued without following the mandatory procedure under Section 148A thereof. An incidental issue as to jurisdiction has also been raised. 2. According to the petitioning assessee, the relevant notice that ought to have afforded the assessee seven days’ time to respond thereto was issued to an email id that was used for filing the return for the assessment year 2017-18. The assessee submits that the notice pertains to the assessment year 2018-19 and, by then, the email id of the assessee had been changed. The assessee says that the notice was physically delivered at the address of the assessee on March 30, 2022 and, even before the reply could be issued, the notice under Section 148 of the Act was issued by recording that the assessee had not responded to the previous notice. 3. Since the scheme of the relevant provisions requires a previous notice and seven days’ time to be afforded to the assessee to respond thereto and it appears that such procedure may not have been followed in this case, the subsequent notice under Section 148 of the Act and the order pertaining thereto are set aside and the matter is restored to the initial stage. The assessee will have seven days from today to respond to the initial notice dated March 24, 2022. Such response will be considered by the appropriate authority before passing any order or taking any further steps, whether under Section 148 of the Act or otherwise. 4. The assessee will also be afforded a chance to be represented before the relevant order is passed. 5. It is recorded that though a rejoinder has been filed by the assessee, no reliance has been placed on such rejoinder since it was served only last evening. no reliance has been placed on such rejoinder since it was served only last evening. 6. The question of jurisdiction is left open for the assessee to urge before the Department. WP (C) No.161 of 2022 and MC (WPC) No.80 of 2022 are disposed of without any order as to costs. 7. This order is made without any prejudice to the rights and contentions of the parties. (W. Diengdoh) Judge (Sanjib Banerjee) Chief Justice Meghalaya 14.06.2022 “Lam DR-PS”