Shri Chikkashamappa Ramesha V. National Faceless Assessment Centre Delhi and Deputy Commissioner of Income Tax Circle 4(2)(1)

WP/20020/2024

AI Insights

The case involves a writ petition filed by Shri Chikkashamappa Ramesha against the National Faceless Assessment Centre and the Deputy Commissioner of Income Tax, challenging various assessment orders, computation sheets, and penalty orders issued against him. The petitioner contended that he did not receive a crucial notice under Section 148A(b) of the Income Tax Act, 1961, which led to his inability to respond and submit necessary documents, thereby affecting the subsequent assessments and penalties. The respondents argued that the petition lacked merit. The court, after hearing both parties, decided to set aside the impugned orders and notices, remanding the case for fresh consideration, thereby providing the petitioner another opportunity to present his case.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 799424 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 20-08-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: SUSHAL TIWARI
• Assessee Lawyers: RAGHAVENDRA
• Keywords: Assessment Order; Certiorari; Certiorari; Faceless assessment; Income Tax; Mandamus; Notice; Penalty; Writ petition
• Section: 148; 271(1)(c); 271(1)(b); 271F; 148A(b); 148A(d); 226; 227

Judgement Text

" - 1 - NC: 2024:KHC:33320 WP No. 20020 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 20TH DAY OF AUGUST, 2024 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 20020 OF 2024 (T-IT) BETWEEN: 1. SHRI. CHIKKASHAMAPPA RAMESHA H.No.106, SEGAHALLI VILLAGE KANNAMANGALA POST BANGALORE - 560 067. [AGED ABOUT 49 YEARS S/O CHIKKAMUNISHAMAPPA]. …PETITIONER (BY SRI RAGHAVENDRA C.R, ADVOCATE) AND: 1. NATIONAL FACELESS ASSESSMENT CENTRE DELHI, BMTC BUILDING 80 FEET ROAD, 6TH BLOCK NEAR KHB GAMES VILLAGE KORMANGALA BANGALORE - 560 095. (REPRESENTED BY ITS PRINCIPAL COMMISSIONER OF INCOME TAX-4) 2. DEPUTY COMMISSIONER OF INCOME TAX CIRCLE 4(2)(1) BMTC BUILDING, 80 FEET ROAD 6TH BLOCK, NEAR KHB GAMES VILLAGE KORAMANGALA , BENGALURU KARNATAKA - 560 095. …RESPONDENTS (BY SRI SUSHAL TIWARI, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE IMPUGNED ASSESSMENT ORDER DATED 12.12.2023 BEARING DIN Digitally signed by REKHA R Location: High Court of Karnataka - 2 - NC: 2024:KHC:33320 WP No. 20020 of 2024 ITBA/AST/S/147/2023-24/1058683547(1), ENCLOSED AS ANNEXURE A1, PASSED BY RESPONDENT NO. 1, FOR THE REASONS STATED IN THE GROUNDS. (B) QUASH THE IMPUGNED COMPUTATION SHEET BEARING ITBA/AST/S/114/2023-24/1058683617(1) DIN DATED 12.12.2023, ENCLOSED AS ANNEXURE A-2, ISSUED BY RESPONDENT No.2, FOR THE REASONS STATED IN THE GROUNDS AND ETC. THIS PETITION COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks the following reliefs: (A) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned assessment order dated 12.12.2023 bearing DIN ITBA/AST/S/147/2023- 24/1058683547(1), enclosed as Annexure A1, passed by Respondent No. 1, for the reasons stated in the grounds. (B) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned Computation Sheet bearing ITBA/AST/S/114/2023-24/1058683617(1) DIN dated 12.12.2023, enclosed as Annexure A2, issued by Respondent No. 2, for the reasons stated in the grounds. (C) Quash and direct the Respondent by an appropriate writ or order in the nature of Mandamus or otherwise, not to proceed with the recovery of the amounts proposed in the demand notice ITBA/AST/S/156/2023-24/1058683611(1) bearing dated 12.12.2023 issued by Respondent No. 1, enclosed as Annexure A3. (D) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned penalty order dated 06.05.2024 passed under Section 271(1)(b) bearing DIN ITBA /PNL/F/271(1)(b)/2024 25/1064673400(1) passed by Respondent No.1 enclosed as Annexure A4. (E) Writ or direction in the nature of a writ of certiorario any other writ or direction to quash the impugner penalty order - 3 - NC: 2024:KHC:33320 WP No. 20020 of 2024 dated 06.05.2024 passed under Section 271F bearing DIN ITBA/PNL/F/271F/2024. 25/1064638845(1) passed by Respondent No.1, enclosed as Annexure A5. (F) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned penalty order dated 16.05.2024 passed under Section 271(1)(C) bearing DIN ITBA /PNL/F/271(1)(c)/2024- 25/1064912754(1) passed by Respondent No.1, enclosed as Annexure A6. G) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned notice issued under section 148A(b) of the Income Tax Act, 1961 by Respondent No. 2 bearing DIN ITBA/AST/F/148A(SCN)/2022-23/1050115919 (1) dated 24.02.2023, enclosed as Annexure A7. (H) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned order passed under section 148A(d) of the Income Tax Act, 1961 by Respondent No.2 bearing DIN ITBA/AST/F/148A/2022- 23/1051049097(1) dated 21.03.2023, enclosed as Annexure A8. (I) Writ or direction in the nature of a writ of certiorari or any other writ or direction to quash the impugned Notice issued under section 148 of the Income Tax Act, 1961 by Respondent No. 2 bearing DIN ITBA/AST/S/148_1/2022- 23/1051179918(1) 23.03.2023, enclosed as Annexure A9. dated (J) Grant such other consequential reliefs, as this Honourable High Court may think fit including the cost of this writ petition. 2. Heard learned counsel for the petitioners and learned counsel for the respondents and perused the material on record. - 4 - NC: 2024:KHC:33320 WP No. 20020 of 2024 3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that notice issued by the respondents under Section 148A(b) of the Income Tax Act, 1961 (for short, ‘IT Act’), dated 24.02.2023 was not received by petitioner and he was not aware of the notice and consequently, petitioner could not submit its reply / response along with documents to the said notice. It is submitted that the inability and omission on the part of the petitioner to submit reply / response along with documents to the Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and as such, if one more opportunity is provided to the petitioner to do so by setting aside the impugned orders and notices, the petitioner would do so and respondents may be directed to proceed further in accordance with law. 4. Per contra, learned counsel for the respondents submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned order will indicate that it is an undisputed fact that petitioner has not submitted reply / - 5 - NC: 2024:KHC:33320 WP No. 20020 of 2024 response along with documents to Section 148A(b) notice. Under these circumstances, in view of the specific assertion on the part of the petitioner that his inability and omission to submit a reply along with documents to Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and if one more opportunity is granted, petitioner would submit reply along with documents, I deem it just and appropriate to set aside the impugned order at Annexure-A8 dated 21.03.2023 passed under Section 148A(d) of the IT Act and subsequent notice / orders, etc., and remit the matter back to respondent No.1 for reconsideration afresh from the stage of submitting of reply by the petitioner to Section 148A(b) notice and to proceed further in accordance with law. 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures A1, A2, A3, A4, A5, A6, B and B2 are hereby set aside. (iii) Matter is remitted back to respondent No.2 for reconsideration afresh in accordance with law from - 6 - NC: 2024:KHC:33320 WP No. 20020 of 2024 the stage of submitting of reply to the Show Cause Notice under Section 148A(b) of the IT Act at Annexure-A7 dated 24.02.2023. (iv) Liberty is reserved in favour of the petitioner to submit replies, responses, pleadings, documents, etc., to the respondent, who shall consider the same, provide sufficient and reasonable opportunity to the petitioner and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE MDS List No.: 1 Sl No.: 38 "