Aralguppe Nagaraja Sowmya V. The Assessment Unit Income Tax Department National Faceless Assessment Centre, Ministry of Finance and The Income Tax Officer ITO Ward 5(3)(5) and The Principal Chief Commissioner of Income Tax

WP/36204/2025

AI Insights

The case involves Aralguppe Nagaraja Sowmya, the petitioner, challenging various notices and orders issued by the Income Tax Department under sections 147, 144, 144B, 156, and 270A of the Income Tax Act for the assessment year 2015-16. The petitioner contended that the notice issued under Section 148A(b) was received with insufficient time to respond due to it being issued just before a weekend, which included holidays. This, according to the petitioner, led to an inability to contest the proceedings effectively. The respondents argued that the petition lacked merit. The court, considering the petitioner's circumstances and the procedural fairness, decided to set aside the impugned orders and remit the matter for fresh consideration.

• Counselvise Citation: [] 140 COUNSELVISE.COM (IT) 815685 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 05-12-2025
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: M THIRUMALESH
• Assessee Lawyers: MADHUSUDHAN
• Keywords: Assessment Order; Faceless assessment; Income Tax; Notice of demand; Penalty notices; Writ of Certiorari
• Section: 147; 148; 144; 270A; 144B; 148A(b); 148A(d); 156; 226; 227

Judgement Text

" - 1 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 05TH DAY OF DECEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 36204 OF 2025 (T-IT) BETWEEN: 1. ARALGUPPE NAGARAJA SOWMYA AGED ABOUT 48 YEARS 39, 7TH CROSS, 1ST MAIN ROAD NEAR KHB COLONY, PRASHANTHANAGAR, BENGALURU NORTH, BASAVESHWARANAGAR, BENGALURU – 560 079. KARNATAKA …PETITIONER (BY SRI. MADHUSUDHAN U A, ADVOCATE) AND: 1. THE ASSESSMENT UNIT INCOME TAX DEPARTMENT NATIONAL FACELESS ASSESSMENT CENTRE, MINISTRY OF FINANCE, ROOM NO 401, 2ND FLOOR, E-RAMP JAWAHARLAL NEHRU STADIUM DELHI - 110 003. 2. THE INCOME TAX OFFICER ITO WARD 5(3)(5), BMTC BUILDING, Printed from counselvise.com Digitally signed by SREEDHARAN BANGALORE SUSHMA LAKSHMI Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 80 FEET ROAD, 6TH BLOCK, NEAR KHB GAMES VILLAGE, KORAMANGALA, BENGALURU, KARNATAKA – 560 095. 3. THE PRINICIPAL CHIEF COMMISSSIONER OF INCOME TAX INCOME TAX DEPARTMENT CENTRAL REVENUE BUILDING QUEENS ROAD, BENGALURU KARNATAKA – 560 001. …RESPONDENTS (BY SRI. M THIRUMALESH, ADVOCATE) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INIDA PRAYING TO ISSUE A WRIT OF CERTIORARI OR DIRECTION IN THE NATURE OF A WRIT OF CERTIORARI QUASHING THE ASSESSMENT ORDER DATED 09.03.2023 PASSED UNDER SECTION 147 R.W.S 144 R.W.S. 144B OF THE ACT FOR THE ASSESSMENT YEAR 2015-16 BY THE RESPONDENT NO.1 BEARING DIN NO. ITBA/AST/S/147/2022- 23/1050566909(1) HEREIN MARKED AS ANNEXURE- A1 AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR Printed from counselvise.com - 3 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 ORAL ORDER In this petition, petitioner seeks for the following reliefs:- \"a) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the assessment order dated 09.03.2023 passed under section 147 r.w.s 144 r.w.s.144B of the Act for the Assessment Year 2015- 16 by the Respondent No.1 bearing DIN No. ITBA/AST/S/147/2022-23/1050566909(1) herein marked as Annexure - A1. b) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the computation sheet dated 09.03.2023 for the Assessment Year 2015-16 issued by the Respondent No.1 bearing DIN & Document No. ITBA/AST/S/114/2022- 23/105056697 3 (1) herein marked as Annexure - A2. c) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice of demand issued under section 156 of the Act dated 09.03.2023 for the Assessment Year 2015-16 by the Respondent No.1 bearing DIN & Notice No.ITBA/AST/S/156/2022-23/1050566986(1) herein marked as Annexure - A3. d) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notices dated 09.03.2023, 20.04.2023, 10.05.2023 and 21.07.2023 issued under section 274 r.w.s. 270A of the Act for the Assessment Year 2015-16 by the Respondent No.1 bearing DIN Printed from counselvise.com - 4 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 No.ITBA/PNL/F/270A/2022-23/1050567 009(1), DIN No.ITBA/PNL/F/270A/2023-24/10522163 92(1), DIN No.ITBA/PNL/F/270A/2023-24/105271821 5(1) and DIN No. ITBA/PNL/F/17/2023-24/105450897 5(1) respectively herein marked as Annexure A4. e) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice dated 23.03.2022 issued under section 148A(b) of the Act for the Assessment Year 2015-16 by the Respondent No.2 bearing DIN & Notice No.ITBA/AST/F/148A (SCN)/2021-22/1041326238(1) herein marked as Annexure - B1. f) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the order dated 31.03.2022 passed under section 148A(d) of the Act for the Assessment Year 2015-16 by No.2 bearing Respondent the DIN & Order No. ITBA/AST/F/148A/2021-22/1042299131(1) herein marked as Annexure - B2. g) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice dated 31.03.2022 issued under section 148 of the Act for the Assessment Year 2015-16 by the Respondent No.2 bearing DIN & Notice No. ITBA/AST/S/148_1/2021- 22/1042356438(1) herein marked as Annexure - В3. h) And pass such other orders as this Hon'ble Court deems fit and proper in the interest of justice and equity.\" Printed from counselvise.com - 5 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 2. Heard learned counsel for the parties and perused the material on record. 3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that notice issued by the respondents under Section 148A(b) of the Income Tax Act, 1961 (for short, ‘IT Act’) dated 23.03.2022 was received by petitioner and could not file reply/ documents to the same since the time given to reply to the notice issued under Section 148A(b) of the Act is less than seven working days as 26.03.2022 (Saturday) and 27.03.2022 (Sunday) were holidays and as such, the notice is contrary to the provisions of Section 148A(b) of the Act and therefore, the said notice as well as all the further notices went un- noticed by the petitioner and hence, he could not file reply/ documents and contest the proceedings. It is submitted that the inability and omission on the part of the petitioner to submit reply / response along with documents to the Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and as such, if one more opportunity is provided to the petitioner to do so by setting aside the impugned orders and Printed from counselvise.com - 6 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 notices, the petitioner would do so and respondents may be directed to proceed further in accordance with law. 4. Per contra, learned counsel for the respondents submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned order will indicate that it is an undisputed fact that petitioner has not submitted reply / response along with documents to Section 148A(b) notice. Under these circumstances, in view of the specific assertion on the part of the petitioner that his inability and omission to submit a reply along with documents to Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and if one more opportunity is granted, petitioner would submit reply along with documents, I deem it just and appropriate to set aside the impugned orders at Annexures –A1 and A2 dated 09.03.2023 passed under 147 r.w.s 144 r.w.s. 144B of the Income Tax Act and subsequent notice / orders, etc., and remit the matter back to respondent No.1 for reconsideration afresh from the stage of submitting of reply by the petitioner to Section 148A(b) notice and to proceed further in accordance with law. Printed from counselvise.com - 7 - HC-KAR NC: 2025:KHC:51184 WP No. 36204 of 2025 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexure – A1 dated 09.03.2023, Annexure – A2 dated 09.03.2023, Annexure-A3 dated 09.03.2023, Annexure – A4 dated 09.03.2023, 20.04.2023, 10.05.2023 and 21.07.2023, Annexure –B1 dated 23.03.2022, Annexue – B2 dated 31.03.2022, Annexure – B3 dated 31.03.2022 are hereby set aside. (iii) Matter is remitted back to respondent No.1 for reconsideration afresh in accordance with law from the stage of submitting of reply to the Show Cause Notice under Section 148A(b) of the IT Act dated 23.03.2022. (iv) Liberty is reserved in favour of the petitioner to submit additional pleadings, documents, etc., to the respondent No.1, who shall consider the same and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE BSS, List No.: 2 Sl No.: 15 Printed from counselvise.com "