AJAY GOYAL V. INCOME TAX OFFICER AND ORS

CWP/12193/2025

AI Insights

The case revolves around the challenge to several notices issued under the Income Tax Act, 1961, including those under Sections 148, 147, 156, and 271 AAC, concerning the assessment year 2019-2020. The petitioner, Ajay Goyal, contested the jurisdiction of the issuing authority, citing a CBDT circular that specified the NFAC as the sole body authorized to issue such notices. The court referenced similar cases, Jatinder Singh Bhangu and Jasjit Singh, where it had previously ruled in favor of the petitioners under similar circumstances. The court's decision effectively nullified the notices and any consequential actions taken based on them.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 747529 (HC-CHANDIGARH)
• Appeal Type: Others
• Pronouncement Date: 01-05-2025
• Assessment Year: misc
• Other Referred Cases: Jatinder Singh Bhangu vs. Union of India and others, Jasjit Singh vs. Union of India and others
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: GAURI NEO RAMPAL; V VEDIKA RAO
• Assessee Lawyers: NIKHIL GOYAL; RANA GURTEJ SINGH
• Keywords: CBDT; Income Tax; Jurisdiction; NFAC; Notice
• Section: 147; 148; 156; 271 AAC(1)

Judgement Text

"CWP-12193-2025 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 166 CWP-12193-2025 (O&M) Date of Decision:-01.05.2025 Ajay Goyal ....Petitioner Vs. Income Tax Officer, Charkhi Dadri & ors. ...Respondents CORAM: HON'BLE MRS. JUSTICE LISA GILL HON'BLE MRS. JUSTICE SUDEEPTI SHARMA Present: Mr. Nikhil Goyal and Mr. Rana Gurtej Singh, Advocates, for the petitioner. Ms.Gauri Neo Rampal, Sr. Standing counsel with Mr. V. Vedika Rao, Advocate for the respondent. *** SUDEEPTI SHARMA, J. 1. Challenge in the present petition is to notice dated 06.04.2023 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961”); order dated 21.03.2025 issued under Section 147 of the Act, 1961; demand notice dated 21.03.2025 issued under Section 156 of the Act, 1961; notice dated 26.03.2025 issued under Section 271 AAC (1) of the Act, 1961; notice dated 03.04.2025 issued under Section 271 AAC of the Act, 1961 and all consequential actions, for AY 2019-2020. 2. Learned counsel for the petitioner contends that the issue involved in the present writ petition is covered by the judgment passed by a Co-ordinate Bench of this Court in the cases of Jatinder Singh Bhangu vs. Union of India and others, passed in CWP No. 15745-2024 and connected matter, decided on 19.07.2024 and Jasjit Singh vs. Union of India and others (CWP No. 21509- 2023 and other connected matters), decided on 29.07.2024 . 3. Learned counsel appearing for Union of India has also not disputed Gaurav Arora 2025.05.03 11:08 I attest to the accuracy and integrity of this document CWP-12193-2025 2 the same. 4. We have heard learned counsel for the parties and perused the whole records of the case. 5. The petitioner has challenged the notice dated 06.04.2023 issued under Section 148 of the Act, 1961; order dated 21.03.2025 issued under Section 147 of the Act, 1961; demand notice dated 21.03.2025 issued under Section 156 of the Act, 1961; notice dated 26.03.2025 issued under Section 271 AAC (1) of the Act, 1961; notice dated 03.04.2025 issued under Section 271 AAC of the Act, 1961 and all consequential actions, for AY 2019-2020 on the ground that the Issuing Authority had no jurisdiction to issue the same, in view of the circular/notification dated 29.03.2022 of the CBDT, wherein, it has been specifically enumerated that the NFAC has exclusive power to issue the notice under Section 148 of the Act, 1961. 6. A Co-ordinate Bench of this Court in Jatinder Singh Bhangu’s case (supra) and Jasjit Singh’s case (supra), allowed the writ petitions on the same issue, as raised in the present writ petition, by granting liberty to the revenue to follow the procedure as laid down under the Act, 1961 and proceed accordingly, if so advised. 7. In view of the above, the present writ petition is disposed of, in terms of Jatinder Singh Bhangu’s case (supra), decided on 19.07.2024 and Jasjit Singh’s case (supra), decided on 29.07.2024 8. All the pending applications, if any, also stand disposed of. (LISA GILL) (SUDEEPTI SHARMA) JUDGE JUDGE 01.05.2025 Gaurav Arora Whether speaking/reasoned : Yes/No Whether reportable : Yes/No Gaurav Arora 2025.05.03 11:08 I attest to the accuracy and integrity of this document "