Mr. Vallapureddy Venkat Reddy V. Income Tax Officer, Ward-1, Income Tax Office, Khammam and Pr. Chief Commissioner, Income Tax Department and Union of India, Represented by its Secretary to the Government, Ministry of Finance, New Delhi

WP/5130/2024

AI Insights

Mr. Vallapureddy Venkat Reddy filed a writ petition under Article 226 of the Constitution of India challenging the notices and orders issued by the Income Tax Department, which he claimed were without jurisdiction and violated principles of natural justice. The petitioner argued that the notices were issued under the unamended provisions of the law, despite the fact that the law had been amended to require faceless proceedings and specific procedural steps to be followed. The Income Tax Department did not dispute the procedural flaws but raised other objections which were not the focus of the court's decision. The court referenced a previous judgment in a similar case to support its decision to allow the writ petition on the grounds of jurisdictional error.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 807841 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 27-02-2024
• Assessment Year: misc
• Other Referred Cases: Ashish Agarwal
• Laws Referred To: Article 226 of the Constitution of India, Section 148 of the Act, Section 148A of the Act, Article 14 of the Constitution of India, Article 19(1)(g) of the Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: J V PRASAD; N RAO
• Assessee Lawyers: KARAN TALWAR
• Keywords: Amended Provisions; Faceless Proceedings; Jurisdiction; Natural Justice; Writ of Mandamus
• Section: 148; 148A

Judgement Text

"[ 337e I HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE TWENTY SEVENTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRl JUSTICE N.TUKARAMJI WRIT PETITION o 5130 0F 2024 Mr.Vallapureddy Venkat Reddy, S/o Kameswara Rao, aged about 52 years, Occ : Agriculture, Residing at H.No.11-9-36/4, Burhanpuram, Khammam, Telangana - 507001. Between: AND 1 2. 3. .....PETITIONER The lncome Tax Officer, Ward-1, lncome Tax ffice, Khammam. The Pr. Chief Commissioner, lncome Tax Department, 1Oth Floor, lncome Tax Towers, AC Guards, Hyderabad - 500 004- Union of lndia, Represented by its Secretary to the Government, Ministry of Finance, New Delhi-1 10001. .....RESPONDENTS Petition Under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ, Order or Direction, more particularly one in the nature of Writ of Mandamus or any other applicable writ declaring and setting aside the impugned order dated 0710412022 with DIN and Notice No.ITBA/AST/F I 1 48N2O22-231 1 042597648(l) issued by Respondent No. 1, the lmpugned Notice dated 21'.03'2022 with DIN Notice No.ITBA/AST/F/14SA(SCNy2021- 2211O41150865(1) and proceedings in furtherance to it as being without jurisdiction and in violation of principles of natural justice, patently illegal, arbitrary, violative of Article '14 and Artick-' 19( 1 Xg) of the Constitution of lndia. |.A.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 grant stay of all further proceedings pursuant to the impugned order dated 07 10412022 with DIN and Notice No. ITBtuAST/F I 1 48A12022- 231'1042597648(1 ) issued by Respondent No.1, the lmpugned Notice dated 2110312022 with DIN and Notice No.ITBtuAST/F/148A(SCNy2021- 2211041150865(1) and proceedings in furtherance to it pending disposal of the main writ petition. Counsel for the Petitioner : SRI KARAN TALWAR Counsel for the Respondent Nos.1 & 2: SRI J.V.PRASAD (SC FOR INCOME TAX) Counsel for the Respondent No.3 : SRI N.BHUJANGA RAO The Court made the following ORDER 7 7 THE HONOURABLE SRI JUSTICE P.SAM KOSI{Y AND THE HONOURABLE SRI WSTICE N.TIII{ARAIVIJI UIRIT PETITION No.513O OF 2o24 ORI)ER:lper Ho n'ble Si Justice P.SAM KOSHY) The instant Writ Petition has been filed by the petitioner under Article 226 of the Constitution of India seeking the following relief; \"...to issue a writ, order, or direction more particularly one in the nature of Writ of Mandamus or any other applicable writ declaring and setting aside the impugned order dated 07 lM 12022 with DIN and Notice No. ITB A / AST I F / L 48A / 2022-23 / tO 2597648(ll issued by Respondent No.1, the Impugned Notice, dated 21.O3.2022 with DIN Notice No. ITBA/ AST/ F/ 1 48A(SCN) / 2o2 t -22 / I 04 1 1 s086s ( 1) and proceedings in furtherance to it as being without jurisdiction and in violation of principles of natural justice, patently illegal arbitrary violative of Article 14 and Article 19(1)(d of the Constitution of India to pass...\" 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 czune into effect from Ol.O4.2O2l, 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 6b NTR,J w.P.No.S73O of 2024 assessee. As per the amended provision of law, the proceedings to be drawn are also in a faceless manner. 3. Whereas, leamed counsel for the petitioner contended that, in the instant case, reopening has been initiated by the Jurisdictional Assessing Ofl-rcer. 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.O9.2023 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 aforesaid 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 --- r ,a. --7 / 3 t I PSI(,J & JI':TR,J W.P.No.S730 oJ 2024 the same at paragraph Nos.37 & 38 which are reproduced herein under: \"37. The preliminary objection raised bg the petitioner is sustained and all these urit petitions stands alloued on this uery jurisdictional issue. Sine tLe impugned noties and orders are getting quashed on tlte point of jurisdiction, rue are not inclined to proceed further and decide tle other issues raised bg the petitioner utltich stands reserued to be raised and contended in an app ropiate p roce e ding s. \" \"38. Stnce the Hon'ble Supreme Court Lwd, in the case of Ashish Agarutal, supra, as a one-time measure exerci-sing the powers under Article 142 of the Constitution of India, pennitted th.e Reuenue to proceed under the substituted prouisions, and this Court allouing the petitions onlg on the procedural flaut, tte right anfened on th.e Reuenue utould remain reserued to proceed further if th.ey so taant from tte stage of tle order of the Supreme Court in the case of Ashish Aganu.tal, supra.\" 6. In view of the same, we are-inclined to allow the present writ petition also on similar terms. Accordingly, the present Writ Petition stands a,llowed on the objection of the petitioner that the proceedings have not been &awn in accordance with the amended provision but under the un-amended provision which is otherwise not sustainable. I I 4 PSI(,J& J IT&J W.P.No.S73O oJ 2024 7 . As has been held by this Bench in the aforesaid batch matters, the right of the parties would stand reserved as is envisaged at paragraph Nos.37 & 3g of the said order passed in the batch of writ petitions. No order as to costs. 8. Consequently, miscellaneous petitions pending, if any shall stand closed. //TRUE COPY// sd/-r. JAYASFEE I AssrsTANT REGISnAR I 't/ 'a' SECTION OFFICER to ,. ,n\" lncome Tax Officer, Ward-1' lncome T-ax Offtce' Khammam' 2. The Pr. ctrier commisJibnll'jnJornl i'*.o\"partment' lorh Floor' lncome Tax ,. iflxg:\"\"*i3li? E',\"\"3lit#\"t't33,3,1ii rndia, Ministry of Finance' New DelhFl10001 l, g*i :: -i: :* [1\"nt'i{?i*i:ff'#p.\"yEi#t'\"\"\"' 7. Two CD CoPies SA ck L 'r;i- rr ., HIGH COURT PSK,J & NTR,J DATED:27102t2024 ORDER WP.No.5130 of 2024 ALLOWING THE W.P WITHOUT COSTS. c o 0 6 nm 2s24 ,i oe 1t1E s14 ,€. 4. k (I * TCHf-o @\"rrr,r,ru D1 jP.1 "