Thiyangarajan Venkatraman v. ITO (2022) 214 DTR 377 / 327 CTR 66 (Mad.)(HC)

S. 148A : Reassessment – Conducting inquiry, providing opportunity before issue of notice – Principles of natural justice-Assessee filed explanation to 148A(b) notice along with documents and sought time file additional documents in support of the explanation-Time sought by the assesse was not granted and 148A(d) order was passed denying filing of documents in response to 148A(b)-Matter remitted back. [S. 148A(d), Art. 226]

The petitioner HUF had mistakenly furnished the individual PAN number at the time of opening the HUF current account and the AO issued 148A(b) notice alleging cash deposits had been made in the individual Bank Account. The petitioner filed reply clarifying the said mistake and explaining the deposits made into the HUF current account along with certain documentary evidences. The respondent passed 148A(d) order without providing sufficient time as requested by the petitioner to file further documentary evidences and without considering the earlier reply of the petitioner. The Court set aside the 148A(d) order and matter was remitted back with the direction to grant personal hearing, consider the explanation and the documentary evidences and also to consider the specific stand of the petitioner that individual PAN number was granted while opening the HUF account. (AY. 2015 -16)