If assessee do not received any notice than the decision taken cannot be consider as valid decision

Last updated: 28 May 2012

Court :
INCOME TAX APPELLATE TRIBUNAL

Brief :
At the time of hearing before us, it is stated by the learned counsel for the assessee that in this case, the notice of hearing was served by affixture. Thus, it is clear that no notice was actually received by the assessee ever. He further pointed out that even if the service of notice may be held to be technically valid and consequently the assessment under Section 144 to be valid, even in the assessment under Section 144, the Assessing Officer is supposed to make a reasonable and proper estimate of income. That the Assessing Officer added the entire liability standing in the balance sheet presuming to be unexplained without even verifying whether the liability is new or old. The Assessing Officer also disallowed the entire expenses debited to the profit & loss account. By no stretch of imagination, such action of the Assessing Officer can be held to be justified. He, therefore, submitted that the orders of authorities below may be set aside and the matter may be restored to the file of the Assessing Officer for readjudication

Citation :
M/s Shivam Cool Drinks Pvt.Ltd., 24-A, Shivaji Marg, Najafgarh Road, Delhi – 110 015. PAN: AAKCS1465N. (Appellant) Vs. Income Tax Officer, Co.Ward – 8(2), New Delhi. (Respondent)