GOWDRU MURUDESHAPPA BASAVARAJAPPA V. INCOME TAX OFFICER

WP/23969/2024

AI Insights

The case involves Gowdru Murudeshappa Basavarajappa, the petitioner, who challenged several notices and an ex-parte order of assessment issued by the Income Tax Officer, Ward-1, Davanagere, for the assessment year 2015-16. The petitioner argued that he did not receive the initial notice under Section 148A(b) of the Income Tax Act, 1961, and thus could not respond or provide necessary documents, leading to the subsequent orders and notices being issued. The respondent contested the petition, asserting there was no merit in the claims. The court, after hearing both parties, decided to set aside the notices and orders and remand the case for fresh consideration, providing the petitioner an opportunity to respond.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 672723 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 23-09-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: M DILIP
• Assessee Lawyers: R RAMAMURTHY
• Keywords: Assessment Year 2015-2016; Income Tax; Notices quashed; Reconsideration; Writ of Certiorari
• Section: 147; 148; 144; 148A(b); 148A(d); 226; 227

Judgement Text

" - 1 - NC: 2024:KHC:39291 WP No. 23969 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF SEPTEMBER, 2024 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 23969 OF 2024 (T-IT) BETWEEN: 1. GOWDRU MURUDESHAPPA BASAVARAJAPPA S/O GOWDRU MURDESHAPPA AGED 44 YEARS CHIKKABANIHATTI HOSAKERE, JAGALUR, DAVANAGERE-577528 …PETITIONER (BY SRI. R. RAMA MURTHY, ADVOCATE) AND: 1. INCOME TAX OFFICER WARD-1, SHREE TOWERS HADADI MAIN ROAD OPP. TO DRR HOSPITAL DAVANAGERE-577 002. …RESPONDENT (BY SRI. M. DILIP, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE NOTICES DATED 17.03.2022 ISSUED U/S 148A(b) OF THE ACT (ANNX-A) DIN (ITBA/AST/F/148A(SCN)/2021-22/1040972071(1) ISSUED FOR THE ASSESSMENT YEAR 2015-2016 BY THE RESPONDENT. QUASH THE ORDER DATED 28.03.2022 MADE U/S 148A(d) OF THE ACT, FOR THE ASSESSMENT YEAR 2015-2016 (ANNX-B) IN DIN ITBA/AST/F/148A/2021-22/1041798042(1) BY THE RESPONDENT. QUASH THE NOTICE ISSUED U/S 148 OF THE ACT DATED 29.03.2022 ISSUED FOR THE ASSESSMENT YEAR 2015-16 (ANNX-C) DIN ITBA/AST/S/148-1/2021-22/1041901811(1) ISSUED BY THE RESPONDENT. QUASH THE EX-PARTY ORDER OF ASSESSMENT DATED 14.03.2024 MADE U/S 147 R.W.S 144 OF THE ACT, FOR THE ASSESSMENT YEAR 2015-16 (ANNX-F) DIN Digitally signed by DEVIKA M Location: HIGH COURT OF KARNATAKA - 2 - NC: 2024:KHC:39291 WP No. 23969 of 2024 ITBA/PNL/S/271(1)(C)/2023-24/1062634009(1) PASSED BY THE RESPONDENT. THIS PETITION, COMING ON FOR ORDERS THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks the following reliefs: “A. The Petitioner humbly prays this Hon’ble Court may be pleased to issue a Writ of Certiorari or in the nature of Writ of Certiorari quashing the Notices dated 17.03.2022 issued u/s. 148A(b) of the Act (Annexure-‘A’) DIN ) [ITBA/AST/F/148A (SCN)/2021-22/1040972071(1)] issued for the assessment year 2015-2016 by the Respondent. B. The Petitioner humbly prays this Hon’ble Court may be pleased to issue a Writ of Certiorari or in the nature of Writ of Certiorari quashing the order dated 28.03.2022 made u/s. 148A(d) of the Act, for the assessment year 2015-2016 (Annexure-‘B’) in DIN ITBA/AST/F/148A/2021-22/1041798042(1) by the Respondent. C. The Petitioner humbly prays this Hon’ble Court may be pleased to issue Writ of Certiorari or in the nature of Writ of Certiorari quashing the notice issued u/s.148 of the Act dated 29-03-2022 issued for the assessment year 2015-16 (Annexure-‘C’) DIN ITBA/AST/S/148_1/2021-22/1041901811(1) issued by the Respondent. - 3 - NC: 2024:KHC:39291 WP No. 23969 of 2024 D. The Petitioner humbly pray this Hon’ble Court may be pleased to issue a Writ of Certiorari or in the nature of Writ of Certiorari quashing the ex-parte order of assessment dated 14-03-2024 made u/s. 147 r.w.s.144 of the Act, for the assessment year 2015-16 (Annexure-‘F’) DIN ITBA/PNL/S/271(1)(c)/2023-24/1062634009(1) passed by the Respondent. E. This Hon’ble Court may be pleased to issue such other relief or relief's as this Hon’ble Court deems fit, in the interest of justice, in the Petitioner’s case”. 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 memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that notice issued by the respondent under Section 148A(b) of the Income Tax Act, 1961 (for short, ‘IT Act’), dated 17.03.2022 was not received by petitioner and he was not aware of the notice and consequently, petitioner could not submit its reply / response along with documents to the said notice. 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 - 4 - NC: 2024:KHC:39291 WP No. 23969 of 2024 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 notices, the petitioner would do so and respondent may be directed to proceed further in accordance with law. 4. Per contra, learned counsel for the respondent 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 order at Annexure-B dated 28.03.2022 passed under Section 148A(d) of the IT Act and subsequent notice / orders, etc., and remit the matter back to respondent for reconsideration afresh - 5 - NC: 2024:KHC:39291 WP No. 23969 of 2024 from the stage of submitting of reply by the petitioner to Section 148A(b) notice and to proceed further in accordance with law. 6. In the result, I pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures B, C, and F are hereby set aside. (iii) Matter is remitted back to respondent 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 at Annexure-A dated 17.03.2022. (iv) Liberty is reserved in favour of the petitioner to submit replies, responses, pleadings, documents, etc., to the respondent, who shall consider the same, provide sufficient and reasonable opportunity to the petitioner and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE ST List No.: 1 Sl No.: 32 "