DEBASHIS MOULIK Vs. ASSISTANT COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) Sections 147 and 148 of the Income Tax Act, 1961 and the judgment of the Hon'ble Supreme Court of India in GKN Driveshafts (India) Ltd. vs. Income Tax Officer, 2003 259 ITR 19 are involved in this case.

(2.) In the above case the highest Court opined, in the form of a clarification, that when a notice under Section 148 of the said Act was issued, the proper course of action for the assessee was to file a return and if he so desired to seek reasons for issuing the notice. The Assessing Officer was bound to furnish reasons within a reasonable time to which the assessee had the right to file objections. The Assessing Officer was bound to dispose of the issue by passing a speaking order.

(3.) The writ petitioner/assessee on 15th July, 2013 received a notice dated 4th July, 2013 under Section 148 of the said Act for the assessment year 2009- 10. By a letter dated 19th July, 2013 he challenged the legality of the notice and asked for reasons. Furthermore, the Income Tax authorities were requested to treat the return of income filed on 29th September, 2009 as a return in compliance with the said notice.