Shri Manohar Prasad Sarda V. Income Tax Officer, Ward 7(1), Hyderabad

WP/17218/2002

AI Insights

The case revolves around a writ petition filed by Shri Manohar Prasad Sarda challenging a notice issued by the Income Tax Officer, Ward 7(1), Hyderabad. The notice required the petitioner to produce certain books of accounts and documents allegedly taken from a premises during a survey operation under Section 133A of the Income Tax Act. The petitioner contested the jurisdiction of the Income Tax Officer, arguing that he was not the correct assessing officer for the petitioner. However, the court dismissed the petition, affirming the officer's jurisdiction and the validity of the summons issued under Section 131 of the Act.

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 796264 (HC-ANDHRA_PRADESH)
• Appeal Type: Others
• Pronouncement Date: 20-03-2014
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: HIGH COURT
• Keywords: Books of Accounts; Compliance notice; Jurisdiction; Summons; Survey operation
• Section: 131; 133A; 2(7A)

Judgement Text

"HON’BLE SRI JUSTICE G. CHANDRAIAH AND HON’BLE SRI JUSTICE CHALLA KODANDA RAM WRIT PETITION No.17218 OF 2002 ORDER:- (per Hon’ble Sri Justice G. Chandraiah) This writ petition is filed questioning the Notice dated 23.08.2002 issued by the respondent – Income Tax Officer, Ward 7(1), Hyderabad, on the ground the said respondent is not the Assessing Officer, within the meaning of Section 2 (7A) of the Income Tax Act (for short “the Act”), of the petitioner and in such view of the matter the respondent does not have the jurisdiction to issue summons under Section 131 of the Act, directing the petitioner to produce books of accounts etc., 2. A counter affidavit has been filed denying the allegations of the Writ petition. Impugned letter dated 23.08.2002, reads as under: Office of the Income-tax Officer, Ward-7(1), 12th Floor, Gagan Vihar, Opp: Gandhi Bhanvan, Nampally, Hyderabad. No.HYD/ITO,Wd-7(1)/2002-03. Dated:23rd August, 2002 To Shri Manohar Prasad Sarda, 21-3-140, Tagarikanaka, H Y D E R A B A D. Sir, Sub: Proceedings u/s. 133A of the I.T. Act, 1961 – Compliance to notice issued u/s 131 of the I.T. Act, 1961 – Regarding. Ref: This office notice u/s 131 dated 26.07.2002 served on you on 07.08.2002. * * * Please refer to the above. 2. You were required to attend my office on 19.08.2002 at 11.00 AM to give a statement and to produce the books of accounts etc., which were forcibly taken away by you and your people from the premises located at Sitarambagh, Hyderabad on 25.02.2002. You failed to attend the office on the plea that the jurisdiction of your case is with the office of the JCIT, Range-8, Hyderabad. The survey operation u/s 133A was codncuted at the premises located at Sitarambagh, Hyderabad, which falls within the jurisdiction of the ITO, Ward-7(1), Hyderabad, and notice u/s 131 was issued in connection with survey u/s 133A conducted on 25.02.2002. 3. A notice u/s 131 is enclosed to this letter for your compliance giving you a further opportunity. Please note that failure to comply to this notice issued u/s 131 of the I.T. Act, 1961 will be construed as a willful and deliberate attempt to avoid enquiry and your attendance will be enforced as per the provisions of Section 131 of the Income Tax Act by issuing a warrant against you. Yours faithfully, Encls: As above. Sd/-xxxx (B.S.R.V. PRASADA RAO) Income-tax Officer, Ward-7(1), Hyderabad. 3. A careful reading of the above would reveal that the petitioner is alleged to have taken away forcibly the books of accounts etc., from the premises located at Door No.1-1-939/5/B, Seetharambagh, Afzalsagar, Hyderabad. It is not in dispute that the said premises belongs to brother of the petitioner and there was a survey conducted on the said premises, at the time of survey the petitioner was either summoned there or was present. The allegation is that the petitioner with the help of 15 other people had prevented the officers from carrying on the survey and forcibly taken away certain books of accounts, computers etc., from the said premises and which in fact resulted in filing of criminal complaint for the offences under Sections 149, 353 and 506 I.P.C. In the background of said allegations which are admitted by the petitioner himself in the writ petition, the legal argument sought to be advanced has no basis and especially considering the fact what has been directed to be produced was only books of accounts etc., alleged to have been taken away by the petitioner on 25.02.2002, on the date of survey. A legal reply notice was issued on behalf of the petitioner, which does not deny that the petitioner had not taken away the books of accounts etc., from the said premises, but on the contrary what all has been stated in the reply is that the petitioner will not produce the documents etc., as demanded by the respondent-Income Tax Officer on the ground that the petitioner is a regular income tax assessee of Ward- 8(2) under GIR.No.M-1350. 4. In the facts of this case, we do not see any reason to interfere with the impugned letter dated 23.08.2002 directing the petitioner to produce the books of accounts etc., alleged to have been taken away as it is within the power of the said Assessing Officer, who was the jurisdictional assessing Officer in relation to Door No.11-1-939/5/B, Seetharambagh, Afzalsagar, Hyderabad. Summons to produce the accounts books etc., are in relation to assessment proceedings of the petitioner’s brother Sri Jagdeesh Prasad Sarda in relation to survey on the said premises from where admittedly the business is being carried on by the petitioner’s brother Sri Jagdeesh Prasad Sarda. Hence, we see no merit in the writ petition. 5. Accordingly, the writ petition is dismissed. No order as to costs. Miscellaneous petitions, if any pending, shall stand dismissed. ___________________________ JUSTICE G. CHANDRAIAH ___________​________________________ JUSTICE CHALLA KODANDA RAM Date: 20.03.2014 Ssv HON’BLE SRI JUSTICE G. CHANDRAIAH AND HON’BLE SRI JUSTICE CHALLA KODANDA RAM WRIT PETITION No.17218 of 2002 (per Hon’ble Sri Justice G. Chandraiah) Date: 20.03.2014. Ssv "