Allowing the petition the Court held, that there had been a violation of the mandatory time period stipulated under section 148A(b) and therefore, prejudice had been caused to the assessee. Though the assessee had responded to the show-cause notice, it could not provide all the relevant details and documents since the time of three days to respond to the show-cause notice was inadequate. Consequently, the order dated April 6, 2022 passed under section 148A(d) and notice under section 148 were quashed.
Shri Sai Co-Operative Thrift and Credit Society Ltd. v. ITO (2022) 447 ITR 350/ 214 DTR 22/ 326 CTR 790 (Delhi)(HC)
S. 148A : Reassessment-Conducting inquiry, providing opportunity before issue of notice-Grant of minimum of seven days’ time is mandatory-Failure to grant causing prejudice-Order and subsequent notice for reopening of assessment was quashed. [S. 147, 148, 148A(b), 148A(d), Art. 226]