TMI Blog2024 (4) TMI 840X X X X Extracts X X X X X X X X Extracts X X X X ..... ce of any proceeding u/s 144B(1)(xvi) of the Act, i.e., a draft assessment order having been passed the impugned order of assessment cannot be sustained. It may be relevant to note that this Court in [ 2023 (9) TMI 1460 - MADRAS HIGH COURT] had held that it is impermissible to combine show cause notice and draft assessment order and failure to issue draft assessment order would vitiate the proceeding. Thus, the impugned order of assessment is set aside inasmuch there is a gross non-compliance with the procedure contemplated under Section 144B - liberty is granted to the appropriate Authority to proceed from the stage of Section 144B(1)(xi)(i) of the Act, by treating the proceeding as one traceable under Section 144B(1)(xi) and complete the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re and 07.06.2021 and 11.08.2021 from the National Faceless Assessment Centre. It is submitted that no notice under Section 143(2) of the Act was issued to the petitioner as contemplated under Section 144B(1)(i) of the Act. The 1st Respondent thereafter proceeded to issue the impugned draft assessment order dated 03.09.2021 under Section 144 read with Section 144B of the Act proposing to complete the assessment under Section 144 read with Section 144 B of the Act in terms thereof, while granting an opportunity to the petitioner to submit its response on or before 10.09.2021. The 1st Respondent has thereafter proceeded to pass the final impugned order dated 17.09.2021 under Section 144 read with Section 144B of that Act confirming the additi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hence, non-est under Section 144B(9) of the Act. 5. It is submitted by placing reliance on W.P.No. 25303 of 2021 dated 05.09.2023 that draft assessment order and show cause notice cannot be combined. On the other hand, the draft assessment order has to be preceded by a show cause notice. 6. The learned counsel for the Respondents would submit that the writ petition is not maintainable inasmuch as there is an effective alternate remedy by way of appeal and there is no need to by-pass the same. 7. This Court is conscious of the fact that writ petition under Article 226 of the Constitution of India would not be entertained normally if statutory remedy is available. However, existence of alternate remedy is not an embargo or an absolute bar to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed hereunder: 9. In this case, the Department has combined the Show Cause Notice as is contemplated under Section 144B(11) with the procedure under Section 144(1)(xiv) of the IT Act. 10. The proceedings cannot be short circuited particularly when the provisions are categorical notwithstanding the fact that the petitioner may have failed to reply to some of the notices that were issued under Section 142(1) of the IT Act or there was a failure on the part of the petitioner to file the returns immediately after a notice under Section 148 of the IT Act issued on 23.03.2020. ....... 11. Be that as it may, the matter is that the impugned Assessment Order has been passed directly without issuance of a Draft Assessment Order. Combining of the Draft ..... X X X X Extracts X X X X X X X X Extracts X X X X
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