Case Note & Summary
The writ petition was filed by the petitioner, Rajlaxmi Digvijay Khanvilkar, challenging the Assessment Order dated 12th March 2025 issued by the Assessing Officer. The petitioner sought intervention from the High Court after the Assessing Officer failed to grant a personal hearing despite a request made on 8th March 2025, which was acknowledged via email on 5th March 2025. The petitioner had opted for a personal hearing through video conferencing in response to a show cause notice dated 25th February 2025. The court noted that the Assessing Officer proceeded to issue the Assessment Order without granting the requested personal hearing, which is a violation of Section 144B(6)(vii) of the Income Tax Act, 1961. The court referred to precedents, including Vimal Trading v. National Faceless Assessment Centre and New Globe Logistic LLP v. Assistant Commissioner of Income Tax, to emphasize the importance of affording a personal hearing to the Assessee. The court ultimately decided to set aside the Assessment Order and the consequential demand notice, remanding the matter back to the Assessing Officer for a fresh hearing with a seven-day notice to the petitioner. The court directed that this exercise be completed within eight weeks from the date of the judgment. The writ petition was allowed and disposed of in these terms.
Headnote
A) Income Tax - Personal Hearing - Violation of Rights - Income Tax Act, 1961, Section 144B(6)(vii) - Non-granting of personal hearing when requested by an Assessee constitutes a violation of statutory rights. The court held that the Assessment Order passed without affording a personal hearing was invalid and directed the matter to be remanded for a fresh hearing with due notice (Paras 6-10).
Issue of Consideration
Whether the Assessing Officer's failure to grant a personal hearing violated the provisions of the Income Tax Act, 1961.
Final Decision
The court set aside the Assessment Order dated 12th March 2025 and the consequential demand notice, remanding the matter back to the Assessing Officer for a fresh hearing with seven clear days' notice to the petitioner, to be completed within eight weeks.
Law Points
- Violation of personal hearing rights
- Income Tax Act
- 1961
- Section 144B(6)(vii)
- Assessment Order
- Remand for fresh hearing
