North Gazette News/Shimla
Himachal High Court on Thursday stayed the Income Tax Commissioner Shimla’s notice to Chief Minister Virbhadra Singh and family members for centralization of income related cases.
A division bench Justices Rajiv Sharma and Sureshwar Thakur passed these orders on the petition filed by CM and his family members on IT notice issued to them. The petitioners have alleged that they had not been provided any details on investigations carried out in the case so far.
The court observed that the petitioners at least should know the gist of enquiry carried out against them and were also liable to be supplied adverse material gathered against them during assessment proceedings or information available, in order to enable them to represent their cases effectively before the Commissioner of Income Tax.
The adverse material gathered against the petitioners by way of inquiry, information etc was to be made available before hand and not at the time of assessment proceedings.
“There is a difference between pre-decisional hearing and post-decisional hearing. In the instant case, taking into consideration the legal and factual assessment involved, petitioners are entitled to pre-decisional hearing in order to contest the show cause notice,” the court said.
The court granted stay to CM and family members, while observing that the petitioners would suffer irreparable loss and injury if the show cause notice was not stayed.