SHRI VISHWE TEXTILE MILLS V. INCOME TAX OFFICER AND OTHERS

CWP/10341/2025

AI Insights

The case involves Shri Vishwe Textile Mills challenging several notices and an assessment order issued under various sections of the Income Tax Act, 1961, for the assessment year 2016-2017. The challenges were based on a CBDT circular dated 29.03.2022, which specified that only the National Faceless Assessment Centre (NFAC) has the authority to issue such notices. The petitioner referenced similar cases where the writ petitions were allowed, leading to the directive for the Appellate Authority to decide the ongoing appeal in light of these precedents.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 672337 (HC-MISC)
• Appeal Type: Others
• Pronouncement Date: 09-04-2025
• Assessment Year: misc
• Other Referred Cases: Jatinder Singh Bhangu vs. Union of India and others, Jasjit Singh vs. Union of India and others
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: SAURABH KAPOOR; MUSKAN GUPTA
• Assessee Lawyers: B M MONGA; ROHIT KAURA; RAJIV SHARMA
• Keywords: Appeal Pending; Assessment Order; CBDT Circular; Income Tax; Notice
• Section: 147; 148; 144B; 156

Judgement Text

"CWP-10341-2025 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 153 CWP-10341-2025 Date of Decision:-09.04.2025 SHRI VISHWE TEXTILE MILLS ....Petitioner Vs. INCOME TAX OFFICER, WARD 4, AMBALA & OTHERS ...Respondents CORAM: HON'BLE MR. JUSTICE ARUN PALLI HON'BLE MRS. JUSTICE SUDEEPTI SHARMA Present: Mr. B.M. Monga, Mr. Rohit Kaura and Mr. Rajiv Sharma, Advocates, for the petitioner. Mr. Saurabh Kapoor, Sr. Standing counsel with Ms. Muskan Gupta, Advocate, for the respondent. *** SUDEEPTI SHARMA, J. 1. Challenge in the present petition is to notice dated 30.03.2023 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961”); impugned assessment order dated 15.01.2024 issued under Section 147 read with Section 144B of the Act, 1961; notice of demand dated 15.01.2024 issued under Section 156 of the Act, 1961 and all consequential actions, for AY 2016- 2017. 2. Learned counsel for the petitioner contends that the issue involved in the above writ petition is covered by the judgment passed by a Co-ordinate Bench of this Court in the cases of Jatinder Singh Bhangu vs. Union of India and others, passed in CWP No. 15745-2024 and connected matter, decided on 19.07.2024 and Jasjit Singh vs. Union of India and others (CWP No. 21509- 2023 and other connected matters), decided on 29.07.2024. Learned counsel for the petitioner has further submitted that the petitioner has preferred an appeal and the same is pending before the Appellate Authority. 3. Learned counsel appearing for Union of India has also not Gaurav Arora 2025.04.10 16:08 I attest to the accuracy and integrity of this document CWP-10341-2025 2 disputed the same. 4. We have heard learned counsel for the parties and perused the whole records of the case. 5. The petitioner has challenged the notice dated 30.03.2023 issued under Section 148 of the Act, 1961; impugned assessment order dated 15.01.2024 issued under Section 147 read with Section 144B of the Act, 1961; notice of demand dated 15.01.2024 issued under Section 156 of the Act, 1961 and all consequential actions, for AY 2016-2017, in view of the circular/notification dated 29.03.2022 of the CBDT, wherein, it has been specifically enumerated that the NFAC has exclusive power to issue the notice under Section 148 of the Act, 1961. 6. A Co-ordinate Bench of this Court in Jatinder Singh Bhangu’s case (supra) and Jasjit Singh’s case (supra), allowed the writ petitions on the same issue, as raised in the present writ petition, by granting liberty to the revenue to follow the procedure as laid down under the Act, 1961 and proceed accordingly, if so advised. 7. Since in the present case, the appeal is pending before the Appellate Authority, the writ petition is disposed of with a direction to the Appellate Authority to decide the appeal of the petitioner, in terms of the judgments mentioned above. 8. All the pending applications, if any, also stand disposed of. (ARUN PALLI) (SUDEEPTI SHARMA) JUDGE JUDGE 09.04.2025 Gaurav Arora Whether speaking/reasoned : Yes/No Whether reportable : Yes/No Gaurav Arora 2025.04.10 16:08 I attest to the accuracy and integrity of this document "