Rajaiah Tarigoppula V. Income Tax Officer, Assistant Commissioner Of Income Tax Circle 1, Karimnagar and The Principal Chief Commissioner of Income Tax AP and TS and The Assessment Unit, Income Tax Department, National Faceless Assessment Centre, Delhi

WP/3669/2024

AI Insights

The case involves Rajaiah Tarigoppula, the petitioner, challenging the orders and notices issued by the Income Tax Department for the Assessment Year 2016-17. The petitioner argued that the orders were issued without following the correct procedural requirements as stipulated by the amended Income Tax Act, which came into effect on April 1, 2021. Specifically, the petitioner contended that the notices should have been issued under Section 148A, providing an opportunity for a hearing, which was not done. The respondents included various officials from the Income Tax Department. The court's decision was influenced by a previous judgment on a similar issue, where it was held that the proceedings must comply with the amended provisions of the law.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 795774 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 13-02-2024
• Assessment Year: misc
• Other Referred Cases: WP.No.25903 of 2022 & batch, dated 14.O9.2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: SUNDARI PISUPATI
• Assessee Lawyers: THANNERU KUMAR
• Keywords: Faceless assessment; Income Tax; Jurisdictional issue; Natural Justice; Writ of Mandamus
• Section: 147; 148; 144; 144B; 148A; 226

Judgement Text

"[ 337e ] HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) TUESDAY, THE THIRTEENTH 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:3669 OF 2024 Between: Rajaiah Tarigoppula, S/o. Veeriah Tarigoppula, aged 65 years, Ft/o. House No. 8-1-470, Kattarampur, Karimnagar, 505'10'l , Andhra Pradesh Assessment Year.2016-17 ...PETITIONER AND 1. lncome Tax Officer, Assistant Commissioner Of lncome Tax Circle 1, Karimnagar. 2. The Principal Chief Commissioner of lncome Tax AP and TS, '1Oth Floor, C- Block, l.T. Towers, 10-2-3, A.C- Guards, Hyderabad-500004. 3. The Assessment Unit, lncome Tax Depa(ment, National Faceless Assessment Centre, Delhi, Ministry of Finance, Room No. 4O1 ,2nd Floor, E- Ramp, Jawaharlal Nehru Stadium, Delhi-'l 10003 ...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 an appropriate writ, order or direction more particularly one in the nature of Writ of Mandamus, declaring the impugned order for A.Y 2016-17 passed u/s 147 r.w.s 144 read with section 1448 of the lncome{ax Act vide ITBA/AS f lSl147l2023 -2411060047975(1)dt.24-01-2024andtheconsequential notice u/s 148 dt. 30.O3.2O23 vide DIN No. ITBA/AST/S/148 112022- 231105'1686650('1 ) issued by the JAO(1st respondent) instead of FAO(3rd respondent), as void, illegal, and contrary to the provisions of lncome-tax Act and contrary to the Principles of Natural Justice. lA NO: 1 OF 2024 Petition under section 15i 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 pursuant to the notice u/s 14g dt. 27 .03.2023 vidt DIN No. lrBA/AST/s/148 112022-231i0516s6650(j) issued by the 1.t Respondent(JAo) for A.Y. 2016-17 instead of 3rd respondent(FAO). Counsel for the Petitioner: SRI THANNERU CHAITANYA KUMAR Counsel for the Respondents: SRI SUNDARI R plSUpATl, Sr SC for lncome Tax Dept The Court made the following: ORDER THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND TTIE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION No.3669 OF 2024 ORDER:lper Hon'ble Si Justice P.SAM KOSHY) The instant Writ Petition has been frled by the petitioner under Article 226 of the Constitution of India seeking for the following relief: '...to issue an appropriate writ, order, or direction more particularly one in the nature of Writ of Mandamus declaring the impugned order for A.Y.2O|6-17 passed under Section 147 read with Section 144 read with section l44B of the Income Tax Act, 196l vide ITBA/AST/S/ I47 12023 241 1060047975(ll, dated 24.Or.2O24 and the consequential notice under Section 148, dated 30.O3.2023 vide DIN.No.ITBA/AST/S/ 148-1 12022- 2311051686650(1) issued by the JAO (lst respondent) instead of FAO (3'd respondent) as void, illegai ald contraq/ to the provisions of Income Tax Act, and contraqr to the Principles of Natural Justice and pass such other orders.\" 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 carne 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 -v7 '\"/ t-- 2 .2- PSK,J & MTR,J W.P.No.3669 of 2024 assessee. As per the amended provision of law, the proceedings to be drawn are a_lso 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 Ofhcer. 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 aJoresaid batch of Writ Petitions. However, he further contended that apart from the aforesajd 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 3 t' I I PSK,J& MTR,J W.P.No.3669 oJ 2024 the same at paragraph Nos.37 & 38 which are reproduced herein under: \"37. The preliminary objection roised by tle petittoner is sustained and alt these uit petitions stands alloued on this uery juisdictional issue. Since the impugned notices and orders are getting quo.shed on the point of juisdiction, u)e are not inclined to proceed further and decide the other issues raised bg the petitioner u-thich stands reserved to be raised and contended in an ap propiate pro ce e ding s. \" \"38. Since the Hon'ble Supreme Court had, in the case of Ashish Agaru.tal, supra, as a one-time medsure exercising the pouters under Article 142 of the Constihttion of India, pennitted the Reuenue to proceed under the substituted prouisions, and this Court allotuing tle petitions only on the procedural flaut' the right conferred on the Reuenue uould remain resented ti proceed further if theg so utont from the stage of the order of the Supreme Court in tle case of Ashish Aga naal, 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 allowed on the objection of the petitioner that the proceedings have not been drawn in accordance with the arnended 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 4 PSK,J & MTR,J W.P.No.3669 oJ 2O24 envisaged at paragraph Nos.37 & 38 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. 1-) //TRUE COPY// SD/. G. SIREESHA ASSISTANT REGISTRAR 11 -- SECTIdN OFFICER To 1 2 lncome Tax Officer, Assistant Commissioner Of lncome Tax Circle 1, Karimnaga r. The Principal Chief Commissioner of lncome Tax Ap and TS, 1Oth Floor, C- Block, I T. Towers, '10-2-3, A.C. Guards, Hyderabad-500004. The Assessment Unit, lncome Tax Department, National Faceless Assessment Centre, Delhi, Ir/inistry of Finance, Room No. 4O1 , 2nd Floor, E- Ramp, Jawaharlal Nehru Stadium, Delhi-1 10003 One CC to SRI THANNERII 9.tlAlIAllYA KUMAR, Advocate tOpUCl One CC to SRI SUNDARI R PISUPATI, Sr SC for lncome Tax'Dept tOpUCl Two CD Copies 4 ^ 6 PSK- GJP 6 HlGH COURT DATED:1310212024 ORDER WP.No.3669 of 2024 ALLOWING THE WRIT PETITION WITHOUT COSTS. R 1HE S14 ( ,o4i r;i-t'i-i' -;:::-' 7o ?', 30 Hn, lyt @ c\"1tu Av- w "