BHAGYA A L V. THE ADDITIONAL / JOINT / DEPUTY / ASSISTANT COMMISSIONER OF INCOME TAX

WP/20843/2021

AI Insights

In this case, the petitioner, Bhagya A.L., challenged the Assessment Order and Demand Notice issued by the Income Tax Department for the assessment year 2019-20. The primary contention was the non-consideration of an official document (Annexure \\u2013 P) by the respondent while passing the impugned orders. The document detailed the financial year-wise break-up of the Central Pay Scale arrears for officers/officials of the High Court of Karnataka, which included the petitioner. The High Court found that the respondent had indeed failed to consider this crucial document, leading to the setting aside of the Assessment Order and Demand Notice, and remitting the matter back for fresh consideration.

• Counselvise Citation: [2021] 140 COUNSELVISE.COM (IT) 695319 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 02-12-2021
• Assessment Year: misc
• Laws Referred To: Articles 226 and 227 of the Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: K V ARAVIND
• Assessee Lawyers: GAUTAM BHARADWAJ
• Keywords: Assessment Order; Demand notice; Income Tax; Non-consideration; Reconsideration; Writ petition
• Section: N; M; P

Judgement Text

"1 IN THE HIGH COURT OF KARNATAKA, BENGALURU DATED THIS THE 2ND DAY OF DECEMBER, 2021 BEFORE THE HON'BLE MR.JUSTICE S.R.KRISHNA KUMAR WRIT PETITION No.20843 OF 2021 (T – IT) BETWEEN: BHAGYA A.L., AGED 52 YEARS, J.W.T.P., GROUND FLOOR, HIGH COURT OF KARNATAKA, AMBEDKAR VEEDHI, OPPO. TO VIDHANA SOUDHA, BENGALURU – 560 001, KARNATAKA. …PETITIONER (BY SRI. GAUTAM S. BHARADWAJ, ADVOCATE) AND: THE ADDITIONAL / JOINT / DEPUTY / ASSISTANT COMMISSIONER OF INCOME TAX, INCOME TAX OFFICER, NATIONAL FACELESS ASSESSMENT CENTRE, DELHI. …RESPONDENT (BY SRI. K.V. ARAVIND, ADVOCATE) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ASSESSMENT ORDER DATED 20.09.2021 FOR THE ASSESSMENT YEAR 2019-20 PRODUCED AND MARKED AS ANNEXURE – M AND ETC. THIS W.P. COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, THE COURT MADE THE FOLLOWING:- 2 ORDER In this petition, petitioner seeks quashing of the impugned Assessment Order at Annexure – M dated 20.09.2021 and the impugned Demand Notice at Annexure – N dated 20.09.2021 and for other reliefs. 2. Heard learned counsel for the petitioner and learned counsel for the respondent and perused the material on record. 3. In addition to reiterating the various contentions urged in the petition and referring to the documents produced by the petitioner, learned counsel for the petitioner submits that one of the grounds urged in the petition is that the Statement at Annexure – P dated 04.05.2019 showing the financial year-wise break-up of the Central Pay Scale arrears in respect of officers / officials of High Court of Karnataka w.e.f. 06.10.2004, which includes the petitioner also has not been referred to or considered by the respondent before passing the impugned Assessment Order. It is submitted that apart from several other legal infirmities and errors in the impugned order at Annexure – M, non-consideration of Statement at Annexure – P dated 04.05.2019 would alone vitiate the impugned assessment order 3 and demand notice, which deserves to be set aside on this ground alone. 4. Per contra, learned counsel for the respondent would support the impugned assessment order and demand notice and submits that there is no merit in the petition and the same is liable to be dismissed. 5. As rightly contended by the learned counsel for the petitioner, a perusal of the impugned assessment order will clearly indicate that though Annexure – P / Statement dated 04.05.2019 issued by the employer i.e., this Court, is an official document, the respondent has failed to consider or appreciate the same at the time of passing of the impugned order and consequently, the impugned assessment order deserves to be set aside on this ground alone and the matter remitted back to the respondent for reconsideration afresh bearing in mind the aforesaid Statement at Annexure – P dated 04.05.2019 issued by the employer i.e., this Court. 6. In the result, I pass the following: ORDER i) Petition is hereby allowed. 4 ii) The impugned Assessment Order at Annexure – M dated 20.09.2021 and the impugned Demand Notice at Annexure – N dated 20.09.2021 are hereby set aside. iii) Matter is remitted back to the respondent for reconsideration afresh bearing in mind the Statement at Annexure – P dated 04.05.2019 issued by the Karnataka High Court and other material on record. iv) Liberty is reserved in favour of the petitioner to furnish additional objections and all additional documents in support of her claim including the Statement at Annexure – P before the respondent, who is directed to hear the petitioner and pass appropriate orders in accordance with law. SD/- JUDGE SV "