The notice to the assessee has been based only for one reason whereas in the order the Assessing Officer has gone on to deal with the loan account, the employment details, the salary certificate, etc. of the assessee, i.e., in the order the Assessing Officer had added new reasons and the assessee had not been given an opportunity to answer and explain the same. Therefore, taking into account the fact that the very basis of the impugned order is erroneous and it proceeds to give new reasons, which the assessee has not been given an opportunity to defend, the impugned order is set aside. The notice issued under section 148A(b) shall be treated as an additional show-cause notice and the assessee shall submit his explanation to this additional show cause notice and the Assessing Officer shall proceed to pass order after giving an opportunity of personal hearing to the assessee. (AY. 2016-17)(SJ)
Packirisamy Senthilkumar v. Government of India. (2023) 294 Taxman 546/(2024) 461 ITR 473 (Mad.)(HC)
S. 148A : Reassessment-Conducting inquiry, providing opportunity before issue of notice-Unexplained investments-Notice issued on the issue of unexplained investment-Order passed on other issues without issuing an opportunity to explain-Assessing Officer was directed to pass order afresh after giving an opportunity of personal hearing to assessee-Matter remanded.[S.69, 148A(b), 148A(d), Art. 226]