In a recent ruling, a Division Bench of the Delhi High Court, quashed the impugned notice and order for wrong mention of PAN number of receiver of an alleged bogus transaction by the assessee. GDR Finance and Leasing Private Limited
It was observed from the submissions of Abhishek Maratha, who appears on behalf of the respondent/revenue, that the communication dated 20.06.2022 wherein inter alia the following is seen: “In this connection, the PAN of Kanhaiya Impex Pvt. Ltd. inadvertently written as AAHCM7195C, the correct PAN – AAACK4032H should be considered as the information provided to you earlier.”
A Coordinate Bench of the Delhi High Court had expressed its findings that it had not entered into any transaction with the holder of the PAN wrongly input by the department.
The petitioner took a stand that it had not entered into any transaction with M/s Kanhaiya Impex Pvt. Ltd.
It was observed by the High Court Bench of Justice Rajiv Shakdher and Justice Tara Vitasta Ganju that, “despite issuance of this communication, the respondent/revenue continued on the wrong course, as in the order dated 23.07.2022 passed under Section 148A(d) of the Act, it continued to allege that the petitioner had entered into a transaction with M/s Kanhaiya Impex Pvt. Ltd. [PAN – AAACK4O32H] amounting to Rs 60,00,000/-.”
It was further observed that, “This PAN does not concern M/s Kanhaiya Impex Pvt. Ltd” and held that “The petitioner’s stand that it had not entered into any transaction with M/s Kanhaiya Impex Pvt. Ltd. is correct”.
Resultantly, the impugned order and notice were set aside by the Division Bench.
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