HC slams revenue for making scrutiny assessment without serving scrutiny notice within stipulated period

Assessment order passed under section 143(3) without serving notice to assessee under section 143(2) within stipulated period of time, was invalid and, thus, deserved to be set aside

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[2013] 40 taxmann.com 490 (Allahabad)

HIGH COURT OF ALLAHABAD

Commissioner of Income-tax

v.

Pradeep Kumar Gupta*

Section 143 of the Income-tax Act, 1961 - Assessment [Scrutiny assessment] - Assessment year 1997-98 - Assessee filed its return declaring certain income - Assessing Officer selected assessee's case for secrutiny assessment - Thereupon, assessment order was passed under section 143(3) - Assessee raised a plea that assessment order was invalid because notice under section 143(2) was not served within stipulated period of time - Tribunal accepted assessee's contention and set aside assessment order - Whether since revenue authorities did not controvert averments made in affidavit filed by assessee regarding non-service of notice, impugned order passed by Tribunal setting aside assessment, was to be upheld - Held, yes [Para 5] [In favour of assessee]