The Kerala High Court has admitted the batch of petitions challenging the constitutional validity of the Faceless Assessment Procedure under Section 144B of the Income Tax Act.
The petitioner, Mohamed Babu Paramboor of Malappuram, and others said that the procedure provided under Section 144B was patently arbitrary and violative of Article 14 of the Constitution of India. The fetters were placed under Section 144B on the right of personal hearing, making the assessment procedure violative of principles of natural justice and making Section 144B, manifestly arbitrary.
The settled position of law was that whenever an order having a civil consequence was passed against any person, they ought to be given an opportunity of being heard.
The petitioners also contended that the assessments made against them were invalid as they were not given an opportunity for being heard.
The court has also stayed all further proceedings pursuant to the assessments made against the petitioners.
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