S.RAVINDRA BHAT, J. - (1.) In the present writ petition, the validity of an order under Section 142(2A) of the Income Tax Act (hereafter referred to as "Act") issued by the Assessing Officer (hereafter referred to as "AO") on behalf of the respondent (hereafter referred to as "Revenue") has been challenged. The petitioner, a Public Sector Undertaking (PSU) and hereafter called "NPCC", urges various grounds, including non-application of mind and unfairness by the AO.
(2.) The NPCC filed its return for Assessment Year (AY) 2016-17 on 16.10.2016 declaring a total income of Rs.18,02,20,380/-. Later, it revised its return on 29.03.2018 to reflect the correct TDS credit available based upon the AS-22 receipts. The return was selected for scrutiny and the notice was issued on 07.09.2018 by the Revenue. The NPCC was asked to produce the documents it relied upon in respect of its returns. It submitted - on 20.09.2018 computation of income and audit financials in respect of return of income. Another notice calling for information was issued by the Revenue on 29.09.2018. The NPCC uploaded the information and documents, in the Revenue's web-portal - in response to this notice (of 29.09.2018) on 21.11.2018. A week later, i.e. on 28.11.2018, the Revenue called for particulars with respect to the following four items: "a. Furnish in the prescribed manner details of Party wise work done along with PAN details and ledger of the parties. b. Provide details of other expenses along with bills and vouchers of the expenses and its applicability towards the business to the tune of Rs.100.75 crore. c. Provide partywise details of the long term advances shown at note no. 10 and 11 of the balance sheet. d. And, provide justification and details of huge increase in cash and cash equivalent along with evidences."
(3.) The NPCC contends that when it was in the process of collecting relevant information from the concerned zonal officer, another notice was issued on 04.12.2018 electronically by the Revenue outlining the ten key points and calling for information which included evidence regarding adverse comments given by the auditor; party-wise details of the liabilities showing in the balance sheet under the head trade-payables, security deposits, advances from project authorities, interest accrued and due on advances from project authorities along with respective ledger accounts of parties and their confirmation; copy of sales tax/VAT returns for the year with details of the sales tax payment; project-wise details of entire works undertaken during the year with separate profit and loss accounts of each projects; write-ups of the modus operandi of business and comments on method of accounting of receipts and expenses. The petitioner submits that it could furnish the information on 11.12.2018. According to NPCC, the queries were satisfactorily replied.;