Assessing Officer cannot use Pick and Choose Method while disposing off the Objection which has been raised by Petitioner against the Administrative Order

2022 (2) TMI 1093 - Bombay High Court in Tata Capital Financial Services Limited Versus Assistant Commissioner of Income Tax Circle 1 (3) (1) and Ors.

Brief Facts

1. Petitioner received a notice dated 30th March, 2021 under Section 148
2. Petitioner filed its objections to the said notice
3. In the objections to the re-opening, petitioner raised various points including the fact
4. The Assessing Officer instead of providing these documents simply dismissed petitioner’s request by saying it is purely an administrative matter and all correspondence have been made through system

Hon'ble Court Observations and Order

1. The Assessing Officer was duty bound to deal with all the submissions made by petitioner in its objections and not just brush aside uncomfortable objections under the carpet
2. Assessing Officer to provide photocopies of documents evidencing request sent by the Assessing Officer to the Principal Chief Commissioner
3. The Assessing Officer was duty bound to provide all the documents called for by petitioner and his reluctance to provide these documents only would make the court draw adverse inference against respondent
4. re-opening of assessment is not a mechanical ritual but a quasi judicial function
5. He shall also grant a personal hearing to petitioner and the notice of personal hearing shall be communicated atleast seven working days in advance
6. The Assessing Officer shall deal with all previous submissions while considering the assessee’s objections, deal with each objections and give proper reasons for its conclusion
7. If the reasons make reference to any other document or a letter or a report, such document or letter or report should be enclosed to the reasons. Such portion as it does not bear reference to the assessee concerned could be redacted
8. If the Assessing Officer is going to rely on any judgment/order of any Tribunal or Court reference/ citation of these judgment/orders shall be provided alongwith notice for personal hearing so that the assessee will be able to deal with/distinguish these judgments/ orders.  

Comments

This Order would be useful in the following Proceedings

1. Disposal of Objections filed against the Reasons for issuing Notice u/s 148
2. Disposal of Objections against the reasons for issue of order under Rule 86A of CGST Rules, 2017
3. Disposal of Objections against the reasons for issue of order under Section 83- Provisional Attachment of Bank Account