Anjaiah V. Assessment Unit, National Faceless Assessment Centre, Income Tax Department, Ministry of Finance and The Income Tax Officer, Va1O

WP/6073/2024

AI Insights

The case involves a writ petition filed by Anjaiah challenging the orders issued by the Income Tax Department for the assessment year 2016-17. The petitioner argued that the orders were arbitrary, illegal, and void ab initio, violating various provisions of the Income Tax Act and the circulars issued by the CBDT. The main legal contention was that the reassessment proceedings were not conducted in accordance with the amended provisions of the Act, which came into effect on April 1, 2021, requiring faceless assessments and proper notices under Section 148. The court referenced a previous judgment in WP.No.25903 of 2022 & batch, which had similar issues regarding jurisdictional compliance in reassessment proceedings.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 799305 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 07-03-2024
• Assessment Year: misc
• Other Referred Cases: WP.No.25903 of 2022 & batch, dated 14.09.2023
• Laws Referred To: Article 226 of the Constitution of India, Section 147 r.w.s. 144 r.w.s 144B of the Act, Section 148 of the Act, Section 149 of the Act, Section 151A of the Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: VIJHAY K
• Assessee Lawyers: A V RAGHURAM
• Keywords: Amended Provisions; Assessment; Faceless assessment; Income Tax; Jurisdictional issue; Writ of Mandamus
• Section: 147; 148; 144; 149; 144B; 151A; 226

Judgement Text

"HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) THURSDAY ,THE SEVENTH DAY OF IVIARCH TWO THOUSAND AND TWENTY FOUR [ 337e ] PRESENT THE HONOURAB.LE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION NO: 6073 OF 2024 Between: AND Anjaiah, aged about 57 years, ...PETITIONER 1 . Assessment Unit, Nationar Faceress Assessment centre, rncome Tax Department, Ministry of Finance, Roorn No. 4O1 , znd Ffooi, -g_nurnp, Jawaharlal Nehru Stadium, Delhi - i10 003. 2. The lncome Tax Officer, !Va1O :-Q(J, Signature Towers, Opp. Botanicat Gardens, Kondapur, Hyderabad - 5000d4. ...RESPONDENTS Petition under Article 226 of the constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High court may be pleased to pass an order or dilection, especially one in the nature of wRlr oF MANDAMUS holding that the order passed by 'l st Respondent u/s. 147 r.w.s. 144 r.w.s 144B of the Act, d1.20.02.2024 wlttr ott,t No.|rBA/AST/st14712023- 241106'1188441(1) for the Ay.2016-17, as arbitrary, illegal, bad in law, void ab initio, apart from being violative of provisions of section 14gA and section 149 of the Act and also contrary to the'circular issued by CBDT and provisions of section 151A of the Act, and consequently set aside the order passed by 1St Respondent uls. 147 t.w.s. 144 r.w.s't448 of the Act, dt.20.O2.2024 with DIN No.ITBAiAST/S|14712023- 2411061188441(1) for the Ay.2O16-17 and ail consequential proceedings pursuant thereto . Smt. Bommaku Jayamma, W/o. Late Sri B 1-13, Boduppal, Hyderabad - 500039. 2 lA NO: 'l OF 2024 Petition under Section 151 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 1st Respondent uls. 147 r.w.s. 144 r.w.s 144B of the Act, dl.Z0.O2.ZO24 with DIN No. I TBA/AST/S I 1 47 I 2023-24 I 1 OO 1 1 88441 (1 ) for the Ay.2O1 6-1 7 Counsel for the Petitioner: SRl. A. V. RAGHU RAM Counsel for the Respondents: SRI VIJHAY K PUNNA (SENIOR SC FOR ITD) The Court made the following: ORDER THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION No.6O73 OF 2024 ORDER:/per Hon'ble Si Justice P.SAM KOSHY) Heard Mr.A.V.Raghu Ram, learned counsel for the petitioner and Mr.Vijhay K Punna, learned Senior Standing Counsel for the Income Tax Department 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: Xo poss on order or direction especiolly one in the noture of WRIT OF MANDAMUS holding thot the order possed by 1st Respondent u/s 747 r w s 744 r w s 7448 of the Act dt 20 02 2024 with DIN No ITBA/AST/S/147/202324/106118U477 for the Ay 207677 as orbitrory illegol bod in low void ob initio oport from being violotive of provisions of section 748A ond section 149 oI the Act ond olso controry to the chculor issued by CBDT ond provisions of section 151A of the Ad and consequently set oside the orderpossed by 7St Respondent u/s 747 r w s 144 r w s 7448 oI the Att dt 20 02 2024 with DIN No |TBA/AST/S/147/2O23 24/10611884411 for the Ay 207617 ond oll coosequentiol proceedings pursuont thereto ond poss such other orders\". 2 PSK,J& MTR,J W.P.No.6O73 of 2O24 3. One of the contentions that the petitioner has rajsed in the present Writ Petition is that under the amended provisions of the Act which came into effect from Ol.O4.2O2l, the respondents, while proceeding under Section 148 of the Act, were required to issue notice under Section 148,{ and provide an opportunit5r 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 otdEl various 3 PSK,J & NTR,J W.P,No.6O73 oJi2024 objections also which the petitioner has raised in the writ petition. 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 paragraph Nos.37 & 38 which are reproduced herein under: , I I I \".37 Tte preliminary objection rai_sed by the petitioner is sustained and all these uit petitions stand.i allotted. on this uery jurbdictional issue. Since the impugned. notices and orders are qetting quashed. on tlrc point of juisdiction, tDe are notlnctiii to proc.ed Jurtlhe, and decide the other issues raised by tte petitioner which stands reserued to be ratsed. and. contended_ tn an approp iate p ro cee ding s. \" '38. Since tlrc Hon'ble Supreme Court had, in the co.se of Ashish Aganutal, supra, as a one-time meo.sure elercising the poulers under Artiile 142 of the Corstitution of India, permitted the Reuenue to pioceed. under tlw substituted prouisions, and this Court allowing ttrc petitions onlg on the proced.urat Jlau, the right conferred on the Reuenue would remain reserued to proceed further if tLrcg so want from the stage of the order of the Supreme Court in tLLe case oj e\"ni\"n Agarutal, supra.\" 7. In view of the same, inclined to allow the erms. Accordingly, the ;,m present writ petition also on present Writ Petition stands allowed on the objection of the t*. 4 PSK,J & NTR,J W.P.No,6O73 o.f 2024 petitioner that the proceedings have not been drawn in accordance with the amended provision but under the un-amended provision which is otherwise not sustainable. 8. As has been held by this Bench in the aforesaid batch matters, the rights of the parties wourd stand reserved as is envisaged at paragraph Nos.37 & 3g of the said order passed in the batch of writ petitions. No order as to costs. Consequently, miscellaneous petitions pending, if any, shall stand closed. //TRUE COPYII SD/- C. PRAVEEN KUMAR ASSISTANT REGISTRAR ^ l) Lt(Y--' SECTION OFFICER To, 1 2 . The Assessment Unit. Nalional Faceless Assessment Centre, Income Tax Department, Ministrv of Finance, Roo\"i No. ;Oi;'ino ftoor, E_Ramp, J?wahartat Nehru Siadium, D.thl _'iiij'd03' -v I , z'r r( . The lncome Tax Officer !1|lld-,at:t,^qinilirr. To*\"r., Opp. Botanicat Qardgrls, Kondapur, Hyilerabad _ s6bOA?_-'- - '-\" .fl EEE[.'#l,i,YaP^\"Xr(ffiyitfl ,Ji\"\",S,S6olor*\"l,orropuc] . Two CD Copies 3 4 5 k BM KKS HIGH COURT DATED:0710312024 ORDER WP.No.6073 o12024 ALLOWING THE WRITPETITION WITHOUT COSTS o Ia 14: lo I ,.r 2 3 APR 2024 , /)e g() * ,SPA-ICt aa ffia^ -g "