Bombay High Court

VIJAY RAVJIBHAI GAJRAversusASSESSMENT UNIT INCOME TAX DEPARTMENT TRH PR COMMISSIONER OF INCOME TAX AND ANR

Decided: 27 August 2026
Disposal: Rule Made Absolute

Holding

The assessment order dated 24 March 2026 and the accompanying Notice of Demand are set aside as they were passed without affording the petitioner a personal hearing, violating natural justice.

Summary

The petitioner, Vijay Ravijibhai Gajra, filed a writ petition challenging an Income Tax Assessment Order dated 24 March 2026 and the accompanying Notice of Demand, alleging violation of natural justice because no personal hearing was afforded despite a request. The petitioner had sought a personal hearing before the Faceless Assessing Officer, was initially scheduled for 13 March, requested a change to 16 March, and emailed the officer on 13 March, but the assessment was issued on 24 March without any hearing. The High Court examined whether the denial of a personal hearing, after a specific request, rendered the assessment order invalid. The Court held that the assessment order was passed in breach of the principles of natural justice and therefore could not be sustained. Consequently, the Court set aside the assessment order and the notice of demand, remanded the matter to the assessing officer for a fresh hearing with a minimum five‑day notice, and directed that a fresh speaking order be issued within three months. The petition was disposed of with relief granted to the petitioner.

Issues considered

Whether an assessment order passed without granting a personal hearing, after the taxpayer expressly requested one, violates the principles of natural justice.
Whether the Notice of Demand issued under Section 156 of the Income Tax Act can be set aside on the same ground.

Legislation cited

Income Tax Act, 1961 — s. 143(3), 144B, 156

Subjects

natural justice
personal hearing
faceless assessment
income tax
assessment order
notice of demand
writ petition
high court
procedural fairness

Judgment

3.wp.5192.2026.doc

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION

WRIT PETITION NO.5192 OF 2026

Vijay Ravijibhai Gajra .. Petitioner

Versus

Assessment Unit, Income Tax Department & Anr. .. Respondents

Ms. Ritika Agarwal i/b ACELEGAL, Advocate for the
Digitally
signed by
Petitioner.
UTKARSH
UTKARSH KAKASAHEB
KAKASAHEB BHALERAO
BHALERAO Date:
2026.08.28
18:01:23
+0530
Mr. Arjun Gupta, Advocate for the Revenue/Respondent.

CORAM: B. P. COLABAWALLA &
FARHAN P. DUBASH, JJ.
DATE: AUGUST 27, 2026

P. C.

1. Rule. Respondents waive service. With the consent of

parties, Rule made returnable forthwith and heard finally.

2. The above Writ Petition is filed seeking to quash and set

aside the Assessment Order dated 24th March 2026 passed under

Section 143(3) read with Section 144B of the Income Tax Act, 1961 (for

short “the Act”) for Assessment Year 2024-25 along with the

consequential Notice of Demand issued under Section 156 of the Act. It
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is the case of the Petitioner that the Assessment Order has been passed

in breach of principles of natural justice in as much as no personal

hearing was given to the Petitioner though asked for and the

submissions canvassed by the Petitioner were not considered in the

impugned Assessment Order.

3. We have heard Ms.Agarwal the learned counsel appearing

on behalf of the Petitioner, as well as Mr. Gupta, the learned counsel

appearing on behalf of the Revenue.

4. It is not in dispute that on 11 th March 2026 the Petitioner

requested for a personal hearing before the Faceless Assessing Officer.

On 11th March 2026 itself the Petitioner was informed that a personal

hearing would be granted to the Petitioner on 13 th March 2026 at 4.30

p.m. Once this was informed to the Petitioner, the Petitioner on the very

next day, namely 12th March 2026 raised a grievance on the Income Tax

Portal that the authorized representative of the Petitioner would be in

some difficulty on 13th March 2026, and therefore, requested that the

personal hearing be fixed on 16 th March 2026. This grievance was

resolved by informing the Petitioner that the Petitioner should email the

concerned Assessing Officer at samadhan.faceless.assessment@

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incometax.gov.in . Accordingly, on 13th March 2026 at 2.30 p.m., the

Petitioner sent the requisite email on the above mentioned email

address. However it appears that without giving any opportunity to the

Petitioner of a personal hearing, the Assessment Order has been passed

on 24th March 2026.

5. Once these are the facts before us, we are of the view that

the impugned Assessment Order cannot be sustained as it has been

passed without giving a personal hearing to the Petitioner though

specifically asked for. In these circumstances, we hereby set aside the

Assessment Order dated 24th March 2026 and also the Notice of

Demand issued under Section 156 of the Act.

6. We now remand the matter back to the concerned Faceless

Assessing Officer for a hearing afresh. The hearing shall commence from

the stage of the Show Cause Notice. The Assessing Officer shall give a

personal hearing to the authorized representative of the Petitioner by

giving them at least 5 days prior notice. The authorized representative of

the Petitioner shall make it convenient to appear on the date and time

fixed for the personal hearing and shall not seek an adjournment, except

in unavoidable and/or exceptionable circumstances. After hearing the

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Petitioner and considering their submissions, oral and/or written, the

Assessing Officer shall pass a fresh Assessment Order. It is needless to

clarify that the fresh order shall be a speaking order.

7. This entire exercise shall be completed by the Assessing

Officer within a period of 3 months from the date of this order being

brought to the notice of the concerned Faceless Assessing Officer.

8. Rule is made absolute in the aforesaid terms, and the Writ

Petition is also disposed of in terms thereof. However, there shall be no

order as to costs.

9. This order will be digitally signed by the Private Secretary/

Personal Assistant of this Court. All concerned will act on production by

fax or email of a digitally signed copy of this order.

[FARHAN P. DUBASH, J.] [B. P. COLABAWALLA, J.]

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