Order Was Set Aside Due to the AO’s Violation of Natural Justice for Not Awaiting the Assessee’s Reply to the SCN | HC

Case Details: Elsy Joy v. Deputy Commissioner of State Tax - [2024] 168 taxmann.com 184 (Kerala)

Judiciary and Counsel Details

• Gopinath P., J.
• Padmanathan K.V. & R. Sreejith, Advs. for the Petitioner.
• Dayasindhu Shreehari N.S., CGC & Smt. Jasmin M.M., GP, Advs. for the Respondent.

Facts of the Case

The petitioner was issued show cause notice and time was given to file reply. However, the order was passed before the expiry of time for filing reply. It filed appeal against the order but the same was rejected as time barred. Thereafter, it filed writ petition and contended that the order was passed in violation of principles of natural justice.

High Court Held

The Honorable High Court noted that the order was passed before expiry of time given for reply and thus, it amounted to violation of principles of natural justice. The Court further noted that the fact that petitioner filed appeal against the order shall not be a ground to refuse relief when original order violated natural justice. Therefore, the Court held that the assessment order and appellate order were liable to be set aside and matter was remanded back to pass fresh orders after giving proper opportunity of hearing.