Ms. Vijayalakshmi V. The Income Tax Officer - Ward 14(1), Hyderabad and The Principal Commissioner of Income Tax - 1, Hyderabad and Assessment Unit, Income Tax Department, National e-Assessment Center, New Delhi

WP/3121/2024

AI Insights

The case involves a writ petition filed by Ms. Vijayalakshmi against the Income Tax Department, challenging the legality of notices and orders issued for the assessment year 2018-19 under Sections 148 and 148A of the Income Tax Act, 1961. The petitioner argued that the notices were issued without following the amended procedural requirements that came into effect on April 1, 2021, which mandate a pre-assessment notice under Section 148A and a hearing opportunity. The court referenced a previous judgment by the same bench in a similar matter, which had set a precedent on the jurisdictional issues raised. The court's decision to allow the writ petition was based on the procedural flaws in issuing the notices under the old provisions instead of the amended ones.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 812594 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 08-02-2024
• Assessment Year: misc
• Other Referred Cases: Ashish Aganwal vs. Revenue
• Laws Referred To: Income Tax Act, 1961, Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: J V PRASAD
• Assessee Lawyers: A V A SIVA KARTIKEYA
• Keywords: Assessment Year; Income Tax; Legal Proceedings; Natural Justice; Writ of Mandamus
• Section: 148; 148A(d); 265; 226

Judgement Text

"HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) THURSDAY ,THE EIGHTH 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:3121 OF 2024 [ 337e l ...PETITIONER Between: AND 1 2. Ms. Vijayalakstmilqyqqul H. f.,lo, P_!o! no. 26, Sri Venkateswara Hilts Colony, Jubilee Hills - 5O0 033, Hyderabad, Telangana. 4 The lncome Tax Officer - Ward 14(1), Hyderabad, Aayakar Bhawan, Opp. LB Stadium, Basheerbagh, Hyderabad - 50d OO4, Telanodna The Principal Commissioner of lncome Tax - 1, Hydtrabad. tT Towers, 10_2_ 3, A.C. Guards, Masab Tank, Hyderabad - 500 004, Tetangana Asses_sment Unit, lncome Tax Department, National e-Assessment Center, New Pelhi, B9^oT_No. 4O1, 2nd Fioor, E-Ramp, Jawahartat Nehru Stadium, New Delhi - '1 '10 003. Asses_sment Unit, lncome Tax Department, National e-Assessrnent Center, New _Delhi, Rogm No. 401, 2nd Floor, E-Ramp, Jawaharlat Nehru Stadium, New Delhi - 110 003 ...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 a Writ of Mandamus or any other appropriate Writ, Order or Direction, declaring (a)the order passed by the 1st Respondent, u/s l SA(d) of the lncome Tax Act, 1961, dated O4lO4l2O22, bearrng DtN and Notice No. IrBA/AST/F/148A12022-2311042468749(1), for the Assessment year 2o1B - 1g, and (b)the notice issued by the 1't Respondent, u/s 14g of the lncome Tax Act, 1961, dated 0410412022, bearing DIN and Notice No. |TBA/AST/S/148 - 1t2O22- 2311042480659( 1 ), for the Assessment year 201B - 19, as arbitrary, iltegal, bad in law, void-ab-initio, violative of the principles of natural justice apart from being violative of Articles 1 4, 1 9(1 Xg) and 265 of the constitution of lndra and Sec. 148A of the lncome Tex Act, 196 1 , and consequently set aside the same in the interests of justice 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, including any recovery, pursuant to the notice issued by the 1't Respondenl, u/s 148 of the lncome Tax Act, 1961, dated O4lO4t2O22. bearing DIN and Notice No ITBA/AST/S/148 - 112022 - 2311042480659 (1) for the Assessment Year 2018 - 19, pending disposal of the above Writ Petition Counsel for the Petitioner: SRl. A. V. A. SIVA KARTIKEYA Counsel for the Respondents: SRI J. V. PRASAD (SC FOR INCOME TAX) The Court made the following: ORDER THE HONOURABLE SRI JUSTICE P.SAM KOSITY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION No.3l21 OF 2024 ORDER: (per Hon'bld Si Justice P.SAM KOSHY) The instalt Writ Petition has been frled by the petitioner under Articl e 226 of the Constitution of India seeking for the following relief: \"...to issue a Wit of Mandamus or ang other appropriate Wit Order or Drection dedaring the order passed bA the ld respondent, u/s 148A(d) of the Income Tax Act, 1961, dated 04.04.2022, beaing DIN and Notice /Vo: ITBA/ AST/ F/ 148A/ 2o2s-24/ 1042468749(1), fo, the assessrnent gear 2018-19; & th.e notice issued by the 1- respondent, u/s 148 of the Income Tox Act, 1961, dated 04.04.2022, beaing DIN and Notice No: ITBA/ AST/ S/ 148-1/ 2022-23/ 1O4248O6s9(1), .fo' the assessment geor 2O18-19; as arbitrary, illegal, bad in latu, uoid-ab-initio, viotatiue of the principles of naturat justice apart from being violative of Articles la, 19(1)(g) and 265 oJ the Constitution of India & Sec. 148A of the Income Tar Act, 1961, ond anse4uently set aside the same in the interests oJ justice; and pass slch other ord.ers as this Hon'ble 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 came into effect from O I .O4 .2021 , the respondents, while proceeding under Section 148 of the Act, were required to issue notice under Section l48A and provide an opportunity of hearing to the 2 PSK,J & NTR,J W.P.No.3727 oJ 2O24 assessee. As per the amended provision of law, the proceedings to be drawn are also in a faceless manner 3. Whereas, learned 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 bv this verv Bench in WP.No.25903 of 2022 & batch, dated 14.O9 .2023 wherein this Court disposed of the batch of u.rlt petitions to the limited extent 4. On the other hand, learned Standing Counsel for the respondent- Department does not dispute that the said objection rvas decided in the aforesaid batch of Writ Petitions, Hou,ever, he further contended that apart from the aforesaid objection, there have been other various objections also rvhich the petitioner has raised in the writ petltton 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 & NTR,,T W.P.No.S727 oJ 2024 the same at paragraph Nos.37 & 38 which are reproduced herein under: \"37. The preliminary objection raised by *E petitioner is sustained and all these urit petitions st@nds alloued. on this uery jurisdictional i.ssue. Sine the impugned notices and orders are geXing quashed on tle point of juri.sdiction, uE are not inclined to pro@ed further and decide the other rssues rai.sed bg the petitioner uthich stands reserued to be raised and contended in an op pro p riate p roeeding s.' \"38. Since the Hon'ble Supreme Court had, in the case of Ashtsh Aganaa| supra, as a one'time measure exercising the powers under Article 142 of the Constitution of India, permitted tle Reuenue to proceed under the substituted prouisions, and this Court allotuing tle petitions onlg on tLe procedural flau, ttLe nght confened on the Reuenue tuould rernain reserued to proceed further if they so uant from the stoge of the order of the Supreme Court in tle case of Ashish AganuaL supra.\" 6. In view' of the same, we are inclined to allow the present w'rit 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 i i 4 To, PSK,J & NTR,J W.P.No.3727 of 2O24 envisaged at paragraph 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/- T. JAYASREE ASSISTANT REGISTRAR //TRUE COPY' SECTION OFFICER 1. The lncome Tax Officer - Ward 14(1), Hyderabad, Aayakar Bhawan, Opp. LB Stadium, Basheerbagh, Hyderabad - 500 004, Telangana 2. The Principal Commissioner of lncome Tax - 1, Hyderabad, lT Towers, 10-2- 3, A.C. Guards, [ /asab Tank, Hyderabad - 500 004, Telangana 3. The Assessment Unit, lncome Tax Department, National e-Assessment Center, New Delhi, Room No. 401, 2nd Floor, E-Ramp, Jawaharlal Nehru Stadium, New Delhi - 110 003 4. The Assessment Unit, lncome Tax Department, National e-Assessment Center, New Delhi, Room No. 40'l , 2nd Floor, E-Ramp, Jawaharlal Nehru Stadium, New Delhi - 1 10 003 5. One CC to SRI A. V. A. SIVA KARTIKEYA. Advocate [OPUC] 6. One CC to SRI J. V. PRASAD ,(SC FOR lNCOtuE TAX) [OPUC] 7. Two CD Copies BM GJP s I HIGH COURT DATED:0810212024 ORDER WP.No.3121 of 2024 HE STAT6 0g t.tm zut : o r) (; t oESPAl ALLOWING THE WRITPETITION WITHOUT COSTS O'\"\"s 1 t "