The Madras High Court in the case Sundaresan Suresh Kumar Versus Assessment Unit observed and has quashed the assessment as the assessee was only given 13 hours to reply to the show-cause notice.
The bench comprising of Justice M. Dhandapani in the case observed and has directed the department for considering the matter afresh and also after providing of the opportunity to the petitioner in order to pass an appropriate order within a period of four weeks.
In the present case, the court issued a show cause notice to the petitioner/assessee on March 06, 2023 and at the time of filing of the reply was given until 09.03.2023. Therefore, the petitioner filed a reply wherein enclosing the bank statements and details of car sales on 09.03.2023. Thus, the petitioner in the case again filed a reply dated 25.03.2023, wherein seeking time to file copies of purchase and sales bills and the PAN details of the dealers to whom the goods were being sold.
Further, the court in the case issued second show cause notice to the petitioner while proposing to assess the variation on 27.03.2023. Therefore, the petitioner was only given 13 hours of time on 28.03.2023. Thus, the petitioner submitted the adjournment application on 25.03.2023 in the portal and the same was rejected on the ground that the deadline for completion of the assessment is 31.03.2023.
It has also been submitted by the petitioner in the case that the writ plea has been filed by the petitioner only for the limited point that the respondents did not provide the petitioner with an opportunity for filing a detailed explanation. The petitioner was issued a second show cause notice proposing to assess the variation was issued to the petitioner on 27.03.2023 and the petitioner was also given only 13 hours on 28.03.2023 and the same being the clear violation of the principles of natural justice since. Thus, the petitioner in the case will not be in a position to give a reply.
The court in the case observed that the petitioner was issued the second show cause notice on 27.03.2023 and the time was given to petitioner to respond on 28.03.2023, as there being a clear violation of natural justice principles.
The counsel, G.Vardini Karthik appeared for the Appellant.
The counsel, R.S.Balaji represented the
respondent.