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Judgment
B.C. Patel, CJ.
Against the assessed, for the assessment years 1997-98, 1998-99 and 1999-2000, a notice u/s 148 of the Income Tax Act, 1961 was issued. In respect of these years, this writ petition has been filed praying for the quashing of the impugned notices issued under sections 147 and 148 of the Income Tax Act, 1961. The petitioner has come out with the case that on 13-4-2004 objections were filed and objections are not yet disposed of by the assessing officer. The Supreme Court in the case of GKN Driveshafts (India) Ltd. Vs. Income Tax Officer and Others, has pointed out as under .
". . However, we clarify that when a notice u/s 148 of the Income Tax Act is issued, the proper course of action for the notices is to file a return and if he so desires, to seek reasons for issuing notices. The assessing officer is bound to furnish reasons within a reasonable time. On receipt of reasons, the notices is entitled to file objections to issuance of notice and the assessing officer is bound to dispose of the same by passing a speaking order. In the instant case, as the reasons have been disclosed in these proceedings, the assessing officer has to dispose of the objections, if filed, by passing a speaking order, before proceeding with the assessment in respect of the above said five assessment years." (p. 20)
In view of this, we direct the respondent to follow the procedure laid down by the Supreme Court and decide the objections by a speaking order before passing an order.
This writ petition is disposed of with the aforesaid directions.