M. RAVECHANDRAN Vs. PRINCIPAL, COMMISSIONER OF INCOME-TAX

JUDGEMENT

(1.) This writ petition challenges attachment notices under sec. 226(3) of the Income Tax Act, 1961 (in short the 'Act') dtd. 18/9/2018, subsequently modified by notice dtd. 9/11/2018 issued to the General Manager, Salem Steel Plant, Sarkar Kollapatty, Salem directing the plant to recover 1/3 of net remittances made by it to the petitioner/assessee under the Act, towards Income Tax dues of the petitioner and remit the same to the Income tax Department.

(2.) The petitioner is engaged in business of civil contract in the name and style of 'M/s. Deivaanai Engineering Company at Mettur Dam, Salem. The returns filed by the petitioner for the assessment year 2012-13 was taken up for scrutiny under CASS by the Assessing Officer and an assessment completed by order dtd. 18/3/2015 making an addition of Rs.1,20,000.00 to the income assessed by the petitioner.

(3.) Finding the assessment erroneous and prejudicial to the interests of the Revenue, the Principal Commissioner of Income Tax under sec. 263 of the Act set aside the same directing the Assessing Officer to redo the assessment vide his order dtd. 30/3/2017. Thereafter, the Assessing Officer, after issuing notice and affording an opportunity of personal hearing to the petitioner, passed an order of assesment dtd. 14/12/2017 raising a demand of Rs.46,12,390.00 where the tax component amounts to Rs.37,19,234.00 and the balance interest. Aggrieved by the same, the petitioner has preferred an appeal before the Commissioner of Income Tax (Appeals) along with a petition to condone the delay of 13 days in filing the same, which is still pending.