KARNATAKA ADVOCATES WELFARE FUND TRUSTEE COMMITTEE, V. THE INCOME TAX OFFICER

WP/35537/2024

AI Insights

The Karnataka Advocates Welfare Fund Trustee Committee, represented by its Assistant Secretary, filed a writ petition challenging notices and an order issued by the Income Tax Department under Sections 148A(b) and 148A(d) of the Income Tax Act, 1961, for the assessment year 2020-21. The petitioner contended that the notices were sent to an incorrect email address, leading to the failure to file objections in time. The respondents argued that the notices were sent to the correct email address as per their records. The court, after hearing both parties, decided to quash the order and notice, providing the petitioner an opportunity to file objections.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 746829 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 22-01-2025
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961, Advocates Welfare Fund Act 1983
• Result in Favour of: Applicant
• Court: HIGH COURT
• Department Lawyers: Y V RAVIRAJ; DILIP M
• Assessee Lawyers: A SHANKAR
• Keywords: Exemption from tax; Income Tax; Income Tax Act; Notice Quashing; Advocates Welfare Fund
• Section: 148; 148A(b); 148A(d); 226; 227

Judgement Text

" - 1 - NC: 2025:KHC:2625 WP No. 35537 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 22ND DAY OF JANUARY, 2025 BEFORE THE HON'BLE MR JUSTICE S.G.PANDIT WRIT PETITION NO. 35537 OF 2024 (T-IT) BETWEEN: KARNATAKA ADVOCATES WELFARE FUND TRUSTEE COMMITTEE, CONSTITUTED UNDER SECTION 3 OF THE ADVOCATES WELFARE FUND ACT 1983 REP. BY ITS ASSISTANT SECRETARY PADMAVATHI G D/O LATE GOVINDA AGED ABOUT 47 YEARS KARANTKA STATE BAR COUNCIL OLD ELECTION COMMISSION BUILDING BANGALORE-560001. …PETITIONER (BY SRI. A. SHANKAR, SR. COUNSEL FOR SRI MADHUSUDHAN U. A., ADV.) AND: 1. THE INCOME TAX OFFICER WARD 1(2)(1) BMTC BUILDING 80 FEET ROAD, 6TH BLOCK NEAR KHB GAMES VILLAGE KORAMANGALA BENGALURU-560095. 2. THE PRINCIPAL COMMISSIONER OF INCOME TAX-1, BENGALURU BMTC BUILDING, 80 FEET ROAD 6TH BLOCK, NEAR KHB GAMES VILLAGE KORAMANGALA BENGALURU-560095. …RESPONDENTS (BY SRI.RAVIRAJ Y.V. AND SRI DILIP M., ADVS.) Digitally signed by MARIGANGAIAH PREMAKUMARI Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:2625 WP No. 35537 of 2024 THIS PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO A) QUASHING THE NOTICE DATED 13.02.2024 ISSUED UNDER SECTION 148A(B) OF THE INCOME TAX ACT, 1961 FOR THE ASSESSMENT YEAR 2020-21 BY THE RESPONDENT NO.1 BEARING DIN AND NOTICE NO. ITBA/AST/F/148A(SCN)/2023- 24/1060843566(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.G.PANDIT ORAL ORDER Heard learned senior counsel Sri.A.Shankar for Sri.Madhusudhan.U.A., learned counsel for petitioner and learned counsel Sri.Y.V.Raviraj and Sri.Dilip.M., for respondents. Perused the writ petition papers. 2. Learned senior counsel Sri.A.Shankar for petitioner would submit that the petitioner-Trust is before this Court questioning the notices issued under Section 148A(b) of the Income Tax Act, 1961 (for short, ‘1961 Act’) dated 13.02.2024 and 01.03.2024 respectively (Annexures-A1 and A2), consequent order dated 20.03.2024 passed under Section 148A(d) of 1961 Act - 3 - NC: 2025:KHC:2625 WP No. 35537 of 2024 (Annexure-A3) as well as notice dated 20.03.2024 issued under Section 148 of 1961 Act (Annexure-A4). 3. Learned senior counsel would submit that for the unavoidable reasons, petitioner-Trust has not filed objections and as the petitioner-Trust failed to file objections, the respondent-Authorities proceeded to pass order under Section 148A(d) of 1961 Act. Further, learned senior counsel would submit that the notices were apparently sent to wrong e-mail address that is one of the reasons for non-filing of objections by the petitioner-Trust. 4. Learned counsel for the respondents on the other hand would submit that the petitioner-Trust having received the notice failed to file objections. He further submits that the notices were sent to the e-mail address available in the database of the Department. Further, it is submitted that the order at Annexure-A3 passed under Section 148A(d) of 1961 is without objections of the petitioner-Trust. Thus, he prays for passing appropriate order. - 4 - NC: 2025:KHC:2625 WP No. 35537 of 2024 5. Having heard the learned senior counsel for the petitioner-Trust and learned counsel for respondents and on perusal of the writ petition papers, I am of the view that in the peculiar facts of the present case, petitioner- Trust needs to be given an opportunity to file objections to Annexures-A1 and A2 notices issued under Section 148A(b) of 1961 Act and further whether the petitioner- Trust is exempted from tax or not needs examination by the respondent-Authorities. 6. The petitioner-Trust has specifically contended that the petitioner-Trust is exempted from income tax and as such, said issue necessarily is to be decided by the first respondent. 7. In the light of the above, the following: ORDER a) Writ petition is allowed. b) The order at Annexure-A3 bearing No.ITBA/ AST/F/148A/2023-24/1063020896(1) dated - 5 - NC: 2025:KHC:2625 WP No. 35537 of 2024 20.03.2024 passed under Section 148A(d) of 1961 Act as well as Annexure-A4, notice bearing No.ITBA/AST/S/148_1/ 2023- 24/1063037342(1) dated 20.03.2024 issued under Section 148 of 1961 Act are quashed. c) The petitioner-Trust is granted three weeks time from today to file objections to Annexures-A1 and A2 notices. d) Thereafter, the respondent-Authorities are directed to proceed in accordance with law. Sd/- (S.G.PANDIT) JUDGE NC CT:bms List No.: 1 Sl No.: 38 "