Mr. J. Sahoo, Sr. Advocate v. Income Tax Officer, Ward-1, Baripada And Another

IN THE HIGH COURT OF ORISSA AT CUTTACK W.P.(C) No. 13693 of 2024 Collector and Chairman, Indian Red Cross Society, Mayurbhanj …. Petitioner – Represented By Adv. Mr. J. Sahoo, Sr. Advocate -versus- Income Tax Officer, Ward-1, Baripada and another ….Opp. Parties –Represented By Adv. Mr. A. Kedia, Jr. Standing Counsel CORAM: THE HON'BLE MR. JUSTICE ARINDAM SINHA AND THE HON'BLE MR. JUSTICE M.S. SAHOO ORDER 25.11.2024 Order No. 03. 1.Mr. Sahoo, learned senior advocate appears on behalf of petitioner and submits, under challenge is assessment order dated 30[th] March, 2024 containing, inter alia, demand of tax and penalty pertaining to assessment year 2016-17. He submits, initially show cause notice dated 15[th] March, 2024 was issued in respect of the assessment year, requiring reply by 20[th] March, 2024. His client complied before time by their reply dated 18[th] March, 2024. However, another notice under section 143(2) read with section 147 of Income Tax Act, 1961 (for assessment) was issued on 27[th] March, 2024, pertaining to same assessment year, resulting in impugned assessment order passed on 30[th] March, 2024, earlier scheduled to be the date of hearing. He submits further, the notice for, inter alia, reassessment required reply to be submitted in less than 24 hours. 2.Mr. Kedia, learned advocate, Junior Standing Counsel appears on behalf of revenue and submits, counter has been filed. Petitioner has filed rejoinder. 3.On perusal of materials on record we do find that the notice dated 27[th] March, 2024 issued under section 143(2) read with section 147 required reply to be filed in less than 24 hours. Since the notice was digitally issued, time of issuance is reflected and time to file reply given as direction in the letter. It amounts to a situation where it cannot be said that petitioner was afforded due opportunity of hearing. 4.Impugned assessment order is set aside and quashed. Petitioner has till 12[th] December, 2024 to file reply to the notice dated 27[th] March, 2024. The authority will proceed to consider the reply and pass assessment order. It is made clear, in event no reply is filed on or before 12[th] December, 2024, impugned assessment order will stand automatically restored. 5.The writ petition is disposed of. (Arindam Sinha) Judge (M.S. Sahoo) Judge Gs/Radha Signature Not Verified Digitally SignedSigned by: RADHARANI JENAReason: AuthenticationLocation: OHCDate: 25-Nov-2024 17:45:23