The assessee filed a writ petition against the notice issued by the chartered accountant for undertaking a special audit of the assessee’s accounts for the assessment year 2018-19 contending that no speaking order was passed under section 142(2A) of the Income-tax Act, 1961. The High Court dismissed the writ petition holding that no order need be passed, and only a hearing was required. On appeal allowing the appeal the Court held that, that the reasoning of the High Court was not proper. The Department accepted that the order under section 142(2A) of the Act was never communicated or even uploaded on the portal. The order was required to be communicated to the assessee, so that the assessee could know the reasons, and, if required, exercise the option to challenge the order. This was fundamental. However, the assessment order had not been passed and had become barred by time. Even if filed, the special audit report would be of no avail, as no assessment order could be now passed. The order dated April 19, 2021, directing a special audit under section 142(2A) of the Act was not to be given effect and was to be treated as not passed, as it was never communicated to the assessee. Further, the assessee having consented, time for passing the assessment order was to be extended till December 31, 2023. If the Assessing Officer desired a special audit under section 142(2A) of the 1961 Act, he could either rely upon the earlier notice or issue a fresh notice. If the Assessing Officer relied upon the earlier notice, it was to be so indicated and communicated to the assessee. In either case, a hearing according to the law was to be given. Thereafter if an order under section 142(2A) of the Act was passed, it was to be communicated to the assessee, who would be at liberty to challenge the order in accordance with the law. If a special audit was directed or ordered to be conducted, the date December 31, 2023, would get extended in terms of the provisions of the Act. (AY.2018-19)