MANTOSH KUMAR,BOKARO STEEL CITY V. ASST COMMISSIONER OF INCOME TAX CIRCLE 2(1), I T , KOLKATA, KOLKATA

ITA 80/RAN/2024

AI Insights

The case involves Mantosh Kumar, the appellant, who challenged the notice issued under section 148A(b) of the Income Tax Act, 1961, by the Assistant Commissioner of Income Tax, Circle-2(1), Kolkata, for the assessment year 2018-19. The notice, dated 14.3.2022, alleged that income chargeable to tax had escaped assessment and required a response by 21.3.2022. The appellant argued that the notice was invalid as it did not provide the mandatory seven days for response, excluding the date of issuance and the date of response. The Tribunal, referencing a similar case and the decision of the Hon'ble Jurisdictional High Court, agreed with the appellant, leading to the quashing of both the notice and the subsequent assessment order.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 716522 (ITAT-RANCHI)
• Duration Of Justice: 1 year(s) 4 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-08-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Appeal Filed On: 30-03-2024
• Other Referred Cases: Imran Ahmad vs ITO, Giridih, Satish Kumar vs Pr. CIT
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PER BENCH; KHUBCHAND PANDYA; LD
• Assessee Lawyers: DEVESH PODDAR; BHANU GIRI
• Keywords: Set aside; Opportunity of being heard
• Section: 147; 148; 144

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, BEFORE S/ RATNESH NANDAN SAHAY, ACCOUNTANT MEMBER Mantosh Kumar, C/O Sri Surendra Singh, Flat No.VA 12, Block A.Vaikshnavi Apartment, Chira Chas, Bokaro, Jharkhand PAN/GIR No. (Appellant Assessee by Revenue by Per Bench This is an appeal filed by the assessee passed u/s.147 of the Act r.w.s. 144C of the Act dated 31.1.2024. 2. Shri Devesh Poddar, Adv and Dr Bhanu Giri assessee. Shri revenue. 3. It was submitted by ld AR that the assessee is challenging the notice u/s.148A(b) of the Act dated 14.3.2022, wherein, the assessee has been IN THE INCOME TAX APPELLATE TRIBUNAL, RANCHI BENCH, RANCHI S/HRI GEORGE MATHAN, JUDICIAL MEMBER RATNESH NANDAN SAHAY, ACCOUNTANT MEMBER ITA No.80/RAN/2024 Assessment Year : 2018-19 Mantosh Kumar, C/O Sri Surendra Singh, Flat No.VA- 12, Block A.Vaikshnavi Apartment, Chira Chas, Bokaro, Jharkhand Vs. Asst. Commissioner of Income Tax, Circle Kolakata .BWTPM 1034 N (Appellant) .. ( Respondent Assessee by : Shri Devesh Poddar, Adv and Dr Bhanu Giri Revenue by : Shri Khub Chand Pandya, ld Sr DR Date of Hearing : 18/08/202 Date of Pronouncement : 18/08/2 O R D E R This is an appeal filed by the assessee against the assessment of the Act r.w.s. 144C of the Act dated 31.1.2024. Devesh Poddar, Adv and Dr Bhanu Giri, ld ARs appeared for the assessee. Shri Khub Chand Pandya, ld Sr DR represented on behalf of the as submitted by ld AR that the assessee is challenging the notice u/s.148A(b) of the Act dated 14.3.2022, wherein, the assessee has been P a g e 1 | 5 IN THE INCOME TAX APPELLATE TRIBUNAL, , JUDICIAL MEMBER AND RATNESH NANDAN SAHAY, ACCOUNTANT MEMBER Asst. Commissioner of Income Tax, Circle-2(1), Respondent) Devesh Poddar, Adv and Dr Bhanu Giri , ld Sr DR 2025 2025 assessment order of the Act r.w.s. 144C of the Act dated 31.1.2024. appeared for the represented on behalf of the as submitted by ld AR that the assessee is challenging the notice u/s.148A(b) of the Act dated 14.3.2022, wherein, the assessee has been Printed from counselvise.com ITA No.80/RAN/2024 Assessment Year : 2018-19 P a g e 2 | 5 asked to file his response by 21.3.2022. It was the submission that this order is invalid insofar as the assessee has not been given seven days time as required under the provisions of section 148A(b) of the Act. The notice u/s.148A(b) of the Act is as follows: “Notice under clause (b) of Section 148A of the Income Tax Act, 1961. Sir/Madam/M.s Whereas I have information which suggests that income chargeable to tax for the assessment year 2018-19 has escaped assessment within the meaning of section 147 of the Income tax Act, 1961. The details of the information and enquiry, if conducted, are enclosed with this notice in Annexure-A. 2. You are requested to show cause as to why, in view of the details contained in Annexure-A, a notice u/s.148 of the Income tax Act, 1961 should not be issued. 3. You may, to the extent technologically, feasible, submit your response with supporting documents (if any) on the above mentioned issues electronically in e-proceedings facility through your account in-e-filing portal at your convenience on or before 21.3.2022. 4. This notice is being issued after obtaining the prior approval of the PCIT, Dhanbad, accorded on date 11.3.2022 vide reference No.100000029037826.” 4. It was the submission that the Co-ordinate Bench of this Tribunal in the case of Imran Ahmad vs ITO, Giridih in ITA No.357/Ran/2024 order dated 18.12.2024 relying upon the decision of Hon’ble Jurisdictional High Court in the case of Satish Kumar vs Pr. CIT passed I n W.P.(T) No.2640 of 2023 dated 28.8.2023, held as follows: “5. The entire periphery and ambit of the legal ground is confined to the interpretation of expression “being not less than 7 days…” That Printed from counselvise.com ITA No.80/RAN/2024 Assessment Year : 2018-19 P a g e 3 | 5 as demonstrated by the assessee the notice dated 12th March, 2022 u/s.148A of the Act states that the assessee shall submit the response with supporting documents on or before 18th March, 2022. Therefore, as per section 148A(b) of the Act, excluding these two das ie. Date of issuance of the notice and the date on when response is sought from the assessee, a clear 7 days time should have been provided to the assessee as has been held by the Hon’ble Jurisdictional High Court in the case of Satish Kumar vs Pr. CIT passed I n W.P.(T) No.2640 of 2023 dated 28.8.2023. The relevant part of the judgment is extracted as follows: 7. To decide the lis involved in the instant application it is necessary to peruse the provisions of the Act which governs the issue in hand, which is quoted herein below:- Section 148A(b) of the I.T. Act. \"148A (b) provide an opportunity of being heard to the assessee, by serving upon him a notice to show cause within such time, as may be specified in the notice, being not less than seven days and but not exceeding thirty days from the date on which such notice is issued, or such time, as may be extended by him on the basis of an application in this behalf, as to why a notice under section 148 should not be issued on the basis of information which suggests that income chargeable to tax has escaped assessment in his case for the relevant assessment year and results of enquiry conducted, if any, as per clause (a);\" From bare perusal of Section 148A(b) it appears that minimum 7 days is required to be given to the Assessee for filing reply. This 7 day is to be calculated by ignoring the date of issue and the last date of submission. In other words, minimum 7 clear days has to be provided to the Assessee for filing reply. In this regard reference may be made to the case of Pioneer Motors (Private )Ltd. Vs Muncipal Council, Nagercoil reported in AIR 1967 sc 684, wherein at paragraph 8 & 9, the Hon'ble Apex Court has deliberated the issue with regard to counting of dates. “8. The words “not being less than one month” do imply that clear one months’s notice was necessary to be given that is both the first day and the last day of the month had to be excluded. \"When...... 'not less than' so many days are to intervene, both the terminal days are excluded from the computation\". ........................................... Printed from counselvise.com ITA No.80/RAN/2024 Assessment Year : 2018-19 P a g e 4 | 5 9. ....................... In every case the words have to be construed in the context taking into consideration the language used and the object to be achieved. As we have said above, the use of the words \"not being less than one month\" implies the giving of a clear month excluding both the first and the last day of the month .................................................................... Emphasis supplied. 6. Considering the aforesat5ed judgment as per the notice issued tro `the assessee u/s.148A of the Act, the assessee gets only five clear days for response i.e. excluding the date of issuance of the notice and the date on which the response is sought for. This is, therefore, violative of the mandate as prescribed in the Act and also as per the principles laid down by the Hon’ble High Court (supra). Therefore, on this score alone, the notice u/s.148A(b) of the Act is hereby quashed and set aside and all the subsequent proceedings becomes a nullity and non est in the eyes of law.” 5. It was the submission that as in this notice seven days time excluding the date of issue of notice and the date of response has not been provided to the assessee, the notice u/s.148A (b) is liable to be quashed. 6. In reply, ld Sr DR vehemently supported the order of the Assessing Officer. 7. We have considered the rival submissions. As it is noticed that the notice issued u/s.148A(b) of the Act has not been provided to the assessee the clear seven days time for responding the said notice, respectfully following the decision of the Co-ordinate Bench in the case of Imran Ahmad (supra), wherein, the Bench has followed the judgment of Hon’ble Jurisdictional High Court in the case of Satish Kumar(supra), the notice issued u/s.148A(b) of the Act stands quashed. Consequently, the assessment order passed u/s 147 r.w.s 144 of the Act stands quashed. Printed from counselvise.com ITA No.80/RAN/2024 Assessment Year : 2018-19 P a g e 5 | 5 8. In the result, appeal of the assessee stands allowed. Order dictated and pronounced in the open court on 18/08/2025. Sd/- sd/- (RATNESH NANDAN SAHAY) (GEORGE MATHAN) ACCOUNTANT MEMBER JUDICIAL MEMBER Ranchi ; Dated 18/08/2025 B.K.Parida, SPS (OS) Copy of the Order forwarded to : By order Sr.Pvt.secretary ITAT, Ranchi 1. The Appellant : Mantosh Kumar, C/O Sri Surendra Singh, Flat No.VA-12, Block A.Vaikshnavi Apartment, Chira Chas, Bokaro, Jharkhand 2. The respondent; Asst. Commissioner of Income Tax, Circle-2(1), Kolakata 3. The CIT(A)- 4. Pr.CIT, 5. DR, ITAT, Ranchi 6. Guard file. //True Copy// Printed from counselvise.com "