Bhaskara Suresh Patnala, Rep. by GPA holder (Seshagiri Rao Narra) V. Income Tax Officer, Wardg(1) and The Principal Chief Commissioner of Income Tax AP and TS and The Assessment Unit, Income Tax Department, National Faceless Assessment Centre, Delhi and Income Tax Officer ITO(INT Taxn)-2, Hyd

WP/4524/2024

AI Insights

The case involves Bhaskara Suresh Patnala, represented by Seshagiri Rao Narra, challenging the validity of notices and orders issued by the Income Tax Department for the Assessment Year 2016-17. The petitioner argued that the notices were issued by the Jurisdictional Assessing Officer (JAO) instead of the Faceless Assessment Officer (FAO), as required by the amended provisions of the Income Tax Act effective from April 1, 2021. The court referenced a previous judgment in WP.No.25903 of 2022 & batch, which addressed similar jurisdictional issues. The Standing Counsel for the Income Tax Department acknowledged the decision in the aforementioned batch but noted other objections raised by the petitioner.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 814299 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 21-02-2024
• Assessment Year: misc
• Other Referred Cases: WP.No.25903 of 2022 & batch, dated 14.09.2023
• Laws Referred To: Income Tax Act, 1961, Article 226 of the Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: J V PRASAD
• Assessee Lawyers: MANMOHAN DUNDU
• Keywords: Faceless assessment; Income Tax; Jurisdiction; Natural Justice; Writ of Mandamus
• Section: 148; 148A(d)

Judgement Text

"[ 337e ] IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) WEDNESDAY, THE TWENTY FIRST DAY OF FEBRUARY TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION NO:4524 OF 2024 Bhaskara Suresh Patnala, Rep. by GPA holder (Seshagiri Rao Narra), H.No. 13-96, P T Colony, Dilsukhnagar, Hyderabad - 500060, Telangana- ...PETITIONER Between: AND I lncome Tax Officer, Wardg(1), I T Tower, Ac Guards, Masab Tank, Hyderabad- 500004. The Principal Chief Commissioner of lncome Tax AP and TS' 1Oth Floor, C- Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004. 3. The Assessment Unit, lncome Tax Department, National Faceless Assessment Centre, Delhi, Ministry of Finance, Room No. 401 , 2nd Floor, E- Ramp, Jawaharlal Nehru Stadium, Delhi-1'10003. 4. lncome Tax Officer ITO(INT Taxn)-2, Hyd' Aaykar Bhawan, Opposite Lb Stadium, Basheer Bagh, Hyderabad - 500004. ...RESPONDENTS Petition under Article 226 of lhe constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High court may be pleased to issue an appropriate writ order or direction more particularly one in the nature of writ of Mandamus, declaring the impugned order dt. 2210312023 for A.Y. 2016-17 passed u/s 148A(d) of the Act vide DIN No. ITBA/ASTlFl148A 12022-23 t1051119375(1)and the consequential notice u/s 148 dr. 2410312023 vide DIN No. ITBA/AST/S/'1481t2022-23t1}51249354(1), for A.Y. 2016-17' issued by the JAO (1st respondent) instead of FAo(3rd respondent), as void, illegal, and contrary to the provisions of lncome-tax Act and contrary to the Principles of Natural Justice. 2 lA NO: 1 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 pursuant to the notice u/s 148 dt. 2410312023 vide DIN No. ITBA/AST/S/148 112022- 2311051249354(1)issued by the lstRespondent(JAO) for A.Y. 2016-l Tinstead of 3rd respondent(FAO). Counsel for the Petitioner :SRl MANMOHAN DUNDU Counsel for the Respondents: SRI J.V.PRASAD (SC FOR INCOME TAX) The Court made the following: ORDER a THE HON'BLE E SRI JUSTICE P.SAM KOSHY AND THE HON'BLE SRI JIISTICE N.TUI(ARAMJI UTRIT PETITION No.4524 2o24 ORDER: (per Hon'bte Sri Justice P,SAM KOSHY) 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 a Wit of Mandamus or ang other appropiate Writ Order or Diriction d'eclaing the impugned order dt.22.O3.2O23 for A.Y. 2016-17 passed u/ s 148A(d) of the Inami Tax Act, 1961, uide DIN vo.13n/ AST/ F/ 148A/ 2022-23/ 1051 119375(1) and the consequential notice u/ s 148 of the Inyyg Tax ,Act, 1961' dated 24.03.2O23, uid'e DIN No: ITBA/AST/S/148-1/2022- 23/ 1051249354(1), for A.Y. 2016-17, issued bg the JAO (L't rispondent) instead- of FAO (3'd respondent), as-uoid, illegal' oni \"ontrlry to th.e prouisions of Income-Tox Act and co,ntrary to ihe pnnciplZs of natural justice, and pass such other oiders o.s ihis rlin'bte Court mag deem fit and proper\" ' 2. One of the contentions that the petitioner has raised in the present Writ Petition is that under the amended provisions of the Act which carne into effect from OL.O4.2O2I, the respondents, while proceeding under Section 148 of the Act, were required to issue notice under Section 148A and provide an oPportunity of hearing to the 2 PSI(,J & IvrR J W.P.No.4524 oJ 2O24 assessee. As per the amended provision of law, the proceedings to be drawn are also in a faceless marlner. 3. Whereas, Iearned 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.25903 of 2022 & batch, dated 14.09.2023 wherein this Court disposed of the batch of writ petitions to the limited extent. 4. On the other hand, learned Standing Counsel for the respondent-Department does not dispute that the said objection was decided in the a-foresaid 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. 5. 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 3 PSK,J & /liiiTR,J W.P.No,4524 of 2O24 the same at paragraph Nos.37 & 38 which are reproduced herein under: \"37. TTe preliminary objection rabed bg tle petitioner is sustained and all these wit petifions stands allowed on this uery jurisdictional issue. Since the impugned notices and orders are getting quasLed on the point of jurisdiction, u)e are not inclined to proceed furttrcr and decide the other tssues raised bg the petitioner which stands reserued to be raised and contended in an app ropriate pro ceeding s. \" '38. Since the Hon'ble Supreme Court had, in the case of Ashi,sh Agatual, supra, as a one-time meo.sure exercising the powers under Article 142 of the Constitution of India, permitted the Reuenue to proceed under the substituted prouisions, and thb Courl allotuing the petitions onlg on the procedurol flaw, the right confened on the Reuenue would remain reserued to proceed further tf they so want from the stage of the order of the Supreme Court in the case of Ashish Aganaal, supra.\" 6. 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 un-amended provision which is otherwise not sustainable. 7. As has been held by this Bench in the aforesaid batch matters, the rights of the parties would stand reserved as is 4 PSK,J& ] ITR,J W.P.No.4524 oJ 2O24 envisaged at pa-ragraph Nos.37 & 38 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. SD/. MOHD. SANAULLAH ANSARI ASSISTANT REGISTRAB //TRUE COPY// SECTION OFFICER To, 1 , The lncome Tax Officer, Wardg(1 ), I T Tower, Ac Guards, Masab Tank, Hyderabad- 500004. 2. The Principal Chief Commissioner of lncome Tax AP and TS, 1Oth Floor, C- Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004. 3. The Assessment Unit, lncome Tax Department, National Faceless Assessment Centre, Delhi, Ministry of Finance, Room No. 401 ,2nd Floor, E- Ramp, Jawaharlal Nehru Stadium, Delhi-1 10003. 4. The income Tax Officer ITO (lNT Taxn)-2, Hyd, Aaykar Bhawan, Opposite Lb Stadium, Basheer Bagh, Hyderabad - 500004. 5. One CC to SRI MANMOHAN DUNDU, Advocate. [OPUC] 6 One CC to SRI J.V.PRASAD, (SC FOR INCOME TAX). [OPUC] 7. Two CD Copies. BSK GJ HIGH COURT DATED:2110212024 ORDER WP.No.4524 ot 2024 ALLOWING THE WRIT PETITION WITHOUT COSTS 0 3 t,pn znt o t o * I ssra 14 E H S 1 a o e o (-) t sc6,v "