Ravish Rastogi V. Union Of India Thru. Secy. Ministry Of Finance New Delhi And 3 Others

WTAX/359/2024

AI Insights

The case involves Ravish Rastogi, the petitioner, challenging notices issued under Sections 148, 148A(b), and 148A(d) of the Income Tax Act, 1961, by the Union of India through the Secretary, Ministry of Finance, and others, as respondents. The core legal issue revolved around the applicability of the Finance (No.2) Act, 2024, which introduced changes affecting the issuance and validity of such notices. The petitioner argued that the notices were invalid post the enactment of the Finance (No.2) Act, 2024, particularly citing the new provisions under Section 152(4) of the Income Tax Act, 1961. The respondents, upon review, conceded to the petitioner's arguments, leading to the quashing of the notices.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 800006 (HC-LUCKNOW)
• Appeal Type: Others
• Pronouncement Date: 16-01-2025
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961, Finance (No.2) Act, 2024, General Clause Act, 1897
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: A S G I; KUSHAGRA DIKSHIT
• Assessee Lawyers: AAKASH PRASAD; HIMANSHU SINGH
• Keywords: Assessment; Income Tax; Legal provisions; Notice; Reassessment; Recomputation; Writ Tax; Saving Clause
• Section: 147; 148; 6; 151; 148A(b); 148A(d); 152

Judgement Text

"Neutral Citation No. - 2025:AHC-LKO:2852-DB Court No. - 2 Case :- WRIT TAX No. - 359 of 2024 Petitioner :- Ravish Rastogi Respondent :- Union Of India Thru. Secy. Ministry Of Finance New Delhi And 3 Others Counsel for Petitioner :- Aakash Prasad,Himanshu Singh Counsel for Respondent :- A.S.G.I.,Kushagra Dikshit Hon'ble Rajan Roy,J. Hon'ble Brij Raj Singh,J. 1. Heard learned counsel for the petitioner and Shri Kushagra Dikshit, learned counsel for the opposite parties no. 2 and 4. 2. On 19.12.2024 we had passed the following order:- \"Heard. List this case on 03.01.2025 as fresh to enable Sri Neerav Chitravanshi for the Revenue to respond to the question as to how the proceedings under Section 148A(b) initiated prior to 01.09.2024, if at all, would be saved after coming into force of the Finance (No.2) Act, 2024 w.e.f. 01.09.2024 especially in view of reliance placed by petitioner's counsel on sub-Section-(4) of Section 152 of the Income Tax Act, 1961 which has been inserted by the said Finance (No.2) Act, 2024 as it is the contention of petitioner's counsel that only such cases where notice under Section 148 had been issued or an order under clause (d) of sub-Section-148A had been issued prior to the first day of September, 2024 which is the date of coming into force of the Finance (No.2) Act, 2024 , the assessment, reassessment or recomputation in such case shall be governed as per the provisions of Sections 147 to 151, as they stood immediately before the commencement of Finance (No.2) Act, 2024 in view of Section 152, , meaning thereby, if the aforesaid eventualities are not satisfied then the earlier provisions be inoperative and will not apply and any action could be taken only under the substituted or new provisions which have come into effect from 01.09.2024 and as there is specific saving clause in the Finance (No.2) Act, 2024, the contention is that Section 6 of General Clause Act, 1897 will not apply because the intention in the specific saving clause contained under the Finance (No.2) Act, 2024 is different. Till the next date of listing, the impugned proceedings shall remained deferred.\" 3. Shri Kushagra Dikshit, learned counsel for the opposite parties no. 2 and 4 has received written instructions to say that all notices impugned herein, which were issued under Section 148, 148A(b) and 148A(d), have wrongly been issued and the contention of the petitioner as recorded in the earlier order and as averred in the writ petition is correct, therefore, the same may be se-aside. 4. Written instructions dated 15.01.2025 are taken on record. 5. We are satisfied with the pleas raised by the petitioner's counsel, especially, in view of the written instructions provided by the Assistant Commissioner of Income- Tax, Central Circle- 1, Lucknow and the statement of Shri Kushagra Dikshit made thereon and as there remains nothing to be adjudicated in view of the stand taken by the revenue, therefore, we quash all the impugned orders/ notices. Consequences to follow accordingly as per law. 6. If it is permissible to issue notice under any other provision of the Income Tax Act, 1961 or any other statute, then, the opposite parties may proceed to do so, but, strictly in accordance with law. 7. Subject to above, the writ petition is allowed. . (Brij Raj Singh,J.) (Rajan Roy,J.) Order Date :- 16.1.2025 R.K.P. Digitally signed by :- RAJ KUMAR PATEL High Court of Judicature at Allahabad, Lucknow Bench "