Anil Raj Tuli Vs ITO, NFAC Delhi and others (Orissa High Court)
Date-3rd November 2022
Sub- Reassessment notice u/s 148 for AY 2014-15 dated 30th March 2021 issued under the old law quashed in view of change of opinion.

The Chief Justice Bench of Orissa High court in this case was interalia dealing with objection that the issue regarding the non deduction of tax at source on transport charges was already dealt with during the course of original assessment and thus the reassessment proceeding was nothing but on a mere change of opinion. The court accepting the arguments relying on the landmark decisions in the case of Calcutta Discount, Lakhmani Mewal Das also referred to the Supreme Court decision in-the case of Oryx Fisheries Vs Union of India(2010) 13 SCC 427(SC) where the Supreme Court while dealing with what principles of natural justice generally require had held that If on a reasonable reading of a show-cause notice a person of ordinary prudence gets the feeling that his reply to the show cause notice will be an empty ceremony and he will merely knock his head against the impenetrable wall of prejudged opinion, such a show cause notice does not commence a fair procedure especially when it is issued in a quasi- judicial proceeding under a statutory regulation which promises to give the person proceeded against a reasonable opportunity of defence.

This judgement again sums up the change of opinion principle in relation to reassessment proceedings and will be of particular helpful in the state of Orissa

Ramesh Patodia
04-11-2022