In WPA 19414 Of 2023 -CAL HC- Calcutta High Court sets aside non-speaking order by Assessing Officer under Income Tax Act
Justice Md. Nizamuddin [17-08-2023]

Read Order: Shree Durga Trading Company & Anr v. Deputy Director of Income Tax & Ors

Chahat Varma

New Delhi, August 22, 2023: The Calcutta High Court recently ruled that an order passed by the Assessing Officer (AO) under Section 154 of the Income Tax Act was a non-speaking order and passed without due application of mind and in gross violation of the principles of natural justice.

By this present writ petition, Shree Durga Trading Company (petitioners) had challenged the order, passed by the AO, under Section 154 of the Income Tax Act.

The bench of Justice Md. Nizamuddin reviewed the impugned order and determined that it lacked any reasoning whatsoever, rendering it a complete non-speaking order.

Taking into account the presented facts and arguments, the High Court set aside the impugned order dated July 9, 2023. The case was remanded to the concerned AO, with directions to issue a fresh speaking order in compliance with the law and after affording an opportunity for the petitioners or its authorized representatives to be heard.