Anand Puri V. Assessment Unit, Income Tax Department, National e-Assessment Center, New Delhi and The Income Tax Officer, Ward 1, Nizamabad and The Principal Chief Commissioner Of Income Tax, Andhra Pradesh And Telangana, Hyderabad

WP/6253/2024

AI Insights

The case involves a writ petition filed by Anand Puri challenging an order issued by the Income Tax Department for the Assessment Year 2016-17. The petitioner argued that the order was arbitrary, illegal, and violated principles of natural justice as well as various articles of the Constitution and sections of the Income Tax Act, 1961. The main contention was that the order was issued under the un-amended provisions of the Act, which did not comply with the requirements for faceless proceedings and proper notice and hearing as mandated by the amended provisions effective from April 1, 2027. The court's decision referenced a similar batch of writ petitions where it had been decided that such procedural lapses were sufficient to quash the impugned notices and orders.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 817264 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 11-03-2024
• Assessment Year: misc
• Other Referred Cases: W.P.No.25903 of 2022 & batch, Ashish Aganual
• Laws Referred To: Income Tax Act, 1961, Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: SUNDARI R PISUPATI
• Assessee Lawyers: A V A SIVA KARTIKEYA
• Keywords: Assessment Year 2016-17; Faceless Proceedings; Income Tax; Natural Justice; Writ of Mandamus
• Section: 147; 148; 144; 265; 226

Judgement Text

"[ 337s ] HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) MONDAY, THE ELEVENTH DAY OF MARCH TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION NO: 6253 OF 2024 Between: [vlr. Anand Puri, S/o. Mr. Madhav Puri, aged 46 years, Occ. Private Employee, Rl/o.6- 15-25, Pavannagar, Dubba Nizamabad, Nizamabad - 503 002, Telangana. .....PETITIONER AND 1. Assessment Unit, lncome Tax Department, National e-Assessment Center, New Delhi, Room No.. 401,2nd Floor, E-Ramp, Jawaharlal Nehru Stadium, New Delhi - 110 003. 2. The lncome Tax Officer, Ward 1, Nizamabad, lncome Tax Office, 6-2-15613, Subshash Nagar, Nizamabad - 503 002, Telangana. 3. Th€ Principal Chief Commissioner Of lncome Tax, Andhra Pradesh And Telangana, Hyderabad, Room No.922,9th Floor, B Block, l.T.Towers, 10-2- 3, AC Guards, Hyderabad - 500 004, Telangana. .....RESPONDENTS Petition Under Article 226 ot the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ of Mandamus or any other appropriate Writ, Order or Direction, declaring that the order passed by the 1\"t Respondent, uts 147 rlw Sec. 144 r/w Sec. 1448 of the lncome Tax Act, 196'l , dated 09.02.2024, bearing DIN and Notice No.. ITBA/ASTiS/14712023-2411060729932(1), for the Assessment Year 2016 - 17, as arbitrary, illegal, bad in law, void-ab-initio, violative of the principles of natural justice, apart from being violative of Articles 14, 19(1)(g) and 265 of the Constitution of lndia and Sec lz1BA of the lncome Tax Act, 1961 , and to consequently set aside the same in the interests of justice. |.A.NO:1 OF 2024 Petition Under Section -l 51 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to stay all further proceedings, including any recovery, pursuant to the order passed by the 1't Respondent, uts 147 r/w Sec. 144 rtw Sec. 1448 of the lncome Tax Act, 1961, dated 09.02.2024,bearin1 DIN and Notice No. ITBA/AST/S/14712023- 2411060729932(1), for the Assessment Year 2016 - 17, pending disposal of the above writ petition. Counsel for the Petitioner : SRI A.V.A.SIVA KARTIKEYA Counsel for the Respondents : Ms. SUNDARI R. PISUPATI (SR SC FOR tNcoME TAX DEPT) The Court made the following ORDER ,/ 7 THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION No.6253 OT 2024 ORDER:@er Flon'ble Si Justice P.SAM KOSHII) Heard Mr.A.V.A.Siva Ka-rtikeya, learned counsel for the petitioner, Ms.Sundari R Pasupati, learned Senior Standing Counsel for respondents. Perused the material available on record. 2. The instant Writ Petition has been filed by the petitioner under Article 226 of the Constitution of India seeking for the following relief: \"to issue o Writ of Mondomus or ony other oppropriote Writ Order or Direction decloring thot the order possed by the 7st Respondent u/s 747 r/w sec 744 r/w Sec 1448 of the lncome Tox Act 1967 doted 09 02 2024 beoring DtN ond Notice No IT8A/45T/5/147/202324/10607299327 Jor the Assessment Yeor 2016-17 os orbitrory illegol bod in low void ob initio violotive of the principles of noturol justice oport lrom being violotive oI Articles 74 7979 ond 265 of the Constitution ol lndio ond Sec 718A of the lncome Tox Act 7961 ond to consequently set oside the some in the interests of justice\". 3. One of the contentions that the petitioner has raised in the present Writ Petition is that under the amended / '3 2 PSI<,J & NTR,J W.P.No.6253 of 2024 provisions of the Act which came into effect from O1.O4.2027, the respondents, while proceeding under Section 148 of the Act, were required to issue notice under Section 148,4' and provide al opportunity of hearing to the assessee. As per the amended provision of law, the proceedings to be drawn are also in a faceless manner. 4. Whereas, learned counsel for the petitioner contended_ that, in the instant case, reopening has been initiated by the Jurisdictional Assessing Officer. In support of his contention, he relied upon the recent judgment rendered by this very Bench in Wp.No.259O3 of 2022 & batch, dated 14.09.2023 wherein this Court disposed of the batch of writ petitions to the limited extent. 5 On the other hand, learned Standing Counsel for the respondent-Department does not dispute that the said objection was decided in the aforesaid batch of Writ Petitions. However, he further contended that apart from the aforesaid objection, there have been other various objections also which the petitioner has raised in the writ petition. 3 I I PSI<,J & NTR,J W.P.No.6253 oJ 2024 6. So far as this contention of the learned counsel for the respondent-Department is concerned, this Bench, while disposing of said batch of writ petitions, had taken note of the same at pa-ragraph Nos.37 & 38 which are reproduced herein under: \"37. The preliminary objection rai^sed bg tLe petitioner is sustained and all these uit petitions stands alloued on thi.s uery juisdictional issue. Since the impugned notices and orders are getting quashed on the point of juri.sdiction, u)e ore not inclined to proceed furth.er and decide tle other issues raised by the petitioner uhich stands reserued to be roised and contended in an appropiate proceeding s. \" \"38. Since tLe Hon'ble Supreme Court had, in tle case of Ashi.sh Aganual, supra, as a one-time measure exercising tLre pouers under Article 142 of the Constituiion of tidia, permitted the Reuenue to pioeed. under tLe substituted prouisions, and this Court allowing the petitions onlg on the procedurol Jlaw, the right coruferred on the Reuenue u.tould remain reserued to proceed further if theg so want from the stage of the order of tle Supreme Court in the case of Ashish Aganua supra.\" 7. In view of the sarne, we are inclined to allow the present writ petition also on similar terms. Accordingly, the present Writ Petition stands allowed on the objection of the petitioner that the proceedings have not been drawn in accordance with the amended provision but under the I I un-amended provision which is otherwise not sustainable. 4 + To 1. 2. 3. 4. 5. 6. 7. B. 9. SA GJP PSIT,J d6 JVIR,J W.P.No.6253 oJi 2024 8. As has been held by this Bench in the a-foresaid batch matters, the rights of the parties would stand reserved as is envisaged at paragraph Nos.37 & 38 of the said order passed in the batch of writ petitions. No order as to costs. Consequently, miscellaneous petitions pending, 1f any, shall stand closed. SD/- V. HARI P ASSISTANT REGI RA AD //TRUE COPYII SECTI OFFICER The Assessment Unit, lncome Tax Department, National e-Assessment Center, New Delhi, Room No.. 4O1 ,2nd Floor, E-Ramp, Jawaharlal Nehru Stadium, New Delhi - 110 003. The lncome Tax Officer, Ward 1, Nizamabad, lncome Tax Office, 6-2-15613, Subshash Nagar, Nizamabad - 503 002, Telangana. The Principdl Chief Commissioner Of lncome Tax, Andhra Pradesh And TelartgSna, Hyderabad, Room No.922,9th Floor, B Block, l.T.Towers, 10-2- 3, AC Guards, Hyderabad - 500 004, Telangana. The lncome Tax Officer, Ward 1, Nizamabad, lncome Tax Office, 6-2-15613, Subshash Nagar, Nizamabad - 503 002, Telangana. The Income Tax Officer, Ward 1, Nizamabad, lncome Tax Office, 6-2-15613, Subshash Nagar, Nizamabad - 503 002, Telangana. The Principal Qhief Commissioner of lncomg Tax, Andhra Pradesh and Telangana, Hyderabad Room No..922,9th Floor, B Block, l.T.Towers, 10-2- 3, AC Guards, Hyderabad - 500 004, Telangana. One CC to Sri A.V.A.Siva Kartikeya, Advocate [OPUC] One CC to Ms Sundari R. Pisupati (SR SC FOR INCOME TAX DEPT) [OPUC] Two CD Copies I I HIGH COURT DATED:1 110312024 ORDER WP.No.6253 of 2024 ALLOWING THE W.P WITHOUT COSTS. ok i ,E STAft- O5,gp1r1C { 2 3 APH 2U4 <'Q k d, ) q :) o .J * * % o "