HC quashes SCN encompassing 2 tax periods & order passed by 2 different officers on same SCN { Emmanuel Constructions (P.) Ltd. vs. Principal Secretary to the Govt. Finance Department [2025] 180 taxmann.com 77 (Karnataka)}
Facts:
A common show cause notice was issued to the assessee covering two different assessment periods, and based on this single notice, the department passed separate assessment orders for each period.
Issue:
Whether issuance of a single show cause notice for multiple assessment periods is valid in law, and whether the resultant assessment orders can be sustained.
Held:
The Karnataka High Court held that each assessment period is a separate proceeding, and therefore, a common show cause notice for multiple periods is invalid. Consequently, the assessment orders passed on the basis of such notice were set aside, with liberty to the department to issue fresh, period-wise notices in accordance with law.
