Due to the setting aside of the pertinent assessment order, HC voids the penalty notice
Fact and issue of the case
Allowed, subject to just exceptions.
W. P.(C) 6036/2021 2. Issue notice.
Mr Sunil Agarwal, learned senior standing counsel, accepts notice on behalf of the respondents/revenue.
In view of the directions that we intend to pass, Mr Agarwal says that he need not file a counter-affidavit in the matter and he will rely on the documents presently available with the court.
Therefore, with the consent of the learned counsels for the parties, the writ petition is taken up for hearing and final disposal, at this stage itself.
This petition concerns Assessment Year (AY) 2017-18.
The petitioner has approached this court against the show-cause notice dated 11.07.2023 issued under Section 271F of the Income Tax Act, 1961 [in short, “Act”] for imposition of penalty.
Mr M Sufian Siddiqui, who appears on behalf of the petitioner, says that what has been lost sight of is that the assessment order on the back of which impugned penalty notice has been issued, was set aside by a coordinate Bench of this court via order dated 31.05.2023 passed in W.P.(C) no.7904/2023.
Observation of the court
To be noted, via the said order, we had set aside the assessment order dated 09.05.2023, in terms set out in the order dated 31.05.2023.
This position is not disputed by Mr Agarwal.
Accordingly, the impugned show-cause notice dated 11.07.2023 is set aside.
Liberty is, however, given to the Assessing Officer (AO) to take the next steps, in accordance with the law.
The writ petition is disposed of, in the aforesaid terms.
Parties will act based on the digitally signed copy of the order.
Conclusion
In the result, appeal of the assessee is allowed and ruled in favour of the assessee
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