Munuvar Basha V. The Union of India, Through the Secretary, Ministry of Finance, Department of Revenue, New Delhi and The Commissioner of Income Tax, National Faceless Assessment Centre, Delhi, India and The Income Tax Officer, Ward 1(1) Trichy, Trichy

WP(MD)/23871/2024

AI Insights

The case involves Munuvar Basha, the petitioner, challenging an assessment order dated 16.01.2024, which subjected the sale consideration of immovable property and a motor vehicle to capital gains tax. The petitioner argued that the order was contrary to the facts on record and suffered from several infirmities. The respondents, including the Union of India and the Income Tax Department, contended that the petitioner had been given several opportunities to present his case but did not avail himself of these opportunities. The court found no reason to interfere with the assessment order due to the petitioner's lack of vigilance and the availability of an effective alternative remedy by way of appeal.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 800208 (HC-MISC)
• Appeal Type: Others
• Pronouncement Date: 14-10-2024
• Assessment Year: misc
• Laws Referred To: Article 226 of the Constitution of India, Income Tax Act
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: P SUBBIAH; N DILIP KUMAR
• Assessee Lawyers: J SIVARAM
• Keywords: Appeal; Capital Gains; Effective alternative remedy; Impugned assessment order; Writ of Certiorari
• Section: 148; 142(1); 144B

Judgement Text

"W.P.(MD).No.23871 of 2024 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 14.10.2024 CORAM THE HONOURABLE MR. JUSTICE MOHAMMED SHAFFIQ W.P.(MD).No.23871 of 2024 and W.M.P.(MD).Nos.20202 and 20205 of 2024 Munuvar Basha ... Petitioner Vs. 1.The Union of India, Through the Secretary, Ministry of Finance, Department of Revenue, New Delhi. 2.The Commissioner of Income Tax, National Faceless Assessment Centre, Delhi, India. 3.The Income Tax Officer, Ward 1(1) Trichy, Trichy. ...Respondents Prayer : Writ Petition filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Certiorari, to call for the records pertaining to the impugned assessment order passed by the 2nd respondent dated 16.01.2024 and quash the same as unconstitutional. 1/6 https://www.mhc.tn.gov.in/judis W.P.(MD).No.23871 of 2024 For Petitioner : Mr.J.Sivaram For R-1 : Mr.P.Subbiah Central Government Standing Counsel For R-2 & R-3 : Mr.N.Dilipkumar Senior Standing Counsel ORDER The present Writ Petition is filed challenging the impugned order dated 16.01.2024, whereby, the sale consideration received towards sale of immovable property and a motor vehicle was subjected to capital gains. 2. It is submitted by the learned counsel for the petitioner that the impugned order suffers from several infirmities including some, which are factual. It is submitted that the impugned order of assessment requires to be reconsidered as it is contrary to the facts on record. 3. To the contrary, it was submitted by the learned Senior Standing Counsel for the second and third respondents that though several opportunities were granted to the petitioner to put forth his case, he has not availed any of the opportunities. The petitioner having not been vigilant, the Writ Petition ought not to be entertained, more so, when there is an effective alternative remedy by way of appeal. 2/6 https://www.mhc.tn.gov.in/judis W.P.(MD).No.23871 of 2024 4. This Court finds that the impugned order itself records the details of the opportunities, which have been provided to the petitioner, as evident from the Table below: 3.Details of opportunities given Type of notice/ communication Date of notice/ communication Date of compliance given Response of the assessee received/ not received Date of response if received Response type (Full/part/ adjourn - ment) Remarks if any Notice U/s.148 of the Act 06/04/2022 Within 30 days Not Received NA NA Served Intimation letter for procedure of Section 144B of Income Tax Act 21/01/2023 Not Received NA NA Intimation to assessee that assessment will be conducted as per procedure of section 144B. Served Notice u/s. 142(1) of the Act 07/06/2023 13/06/2023 Not Received NA NA Served on Email Notice U/s. 142(1) of the Act 02/08/2023 09/08/2023 Not Received NA NA Served on Email Reminder letter 04/09/2023 5 days Not Received NA NA AU-1 Reminder for compliance to notice u/s. 142(1). Served on Email Centralized communication 18/09/2023 - Not Received NA NA Sent through 3/6 https://www.mhc.tn.gov.in/judis W.P.(MD).No.23871 of 2024 Sent by Speed Post No.JA2772494 70IN Speed Post No.JA2772 49470IN SCN for144 06/10/2023 11/10/2023 Not Received NA NA Served on Email SCN 05/01/2024 11/01/2024 Not Received NA NA Served on Email 5. In view thereof, this Court does not find any reason to interfere with the impugned order of assessment. 6. At this stage, the learned counsel for the petitioner would submit that subsequent to passing of impugned order of assessment, a sum of Rs.4.5 lakhs has been recovered from the petitioner and would request that the petitioner may be granted liberty to file an appeal, which was not objected to by the learned counsel for the respondents. 7. In view thereof, the Writ Petition stands disposed of granting liberty to the petitioner to file an appeal before the appropriate authority within a period of three (3) weeks from the date of receipt of a copy of this order. If any such appeal is filed within the above stipulated period, the same shall be entertained without reference to limitation subject to complying with all other conditions relating to filing of appeal and orders shall be passed in accordance with law 4/6 https://www.mhc.tn.gov.in/judis W.P.(MD).No.23871 of 2024 after affording a reasonable opportunity of hearing to the petitioner. It is also open to the petitioner to move an interim application for stay before the Appellate Authority or the Assessing Authority. If any such stay application is filed, while considering the same, the payment made by the petitioner subsequent to the order of assessment shall also be taken into account. There shall be no order as to costs. Consequently, connected miscellaneous petitions are closed. 14.10.2024 Index : Yes / No Internet : Yes/ No Lm To 1.The Secretary, The Union of India, Ministry of Finance, Department of Revenue, New Delhi. 2.The Commissioner of Income Tax, National Faceless Assessment Centre, Delhi, India. 3.The Income Tax Officer, Ward 1(1) Trichy, Trichy. 5/6 https://www.mhc.tn.gov.in/judis W.P.(MD).No.23871 of 2024 MOHAMMED SHAFFIQ , J. Lm W.P.(MD).No.23871 of 2024 14.10.2024 6/6 https://www.mhc.tn.gov.in/judis "