Smt. Hema Jayashekar V. Income Tax Officer, Ward International Taxation 1(2), BLR and Income Tax Officer, Ward International Taxation 1(1), BLR and Commissioner of Income Tax, (International Taxation), Bengaluru

WP/18126/2024

AI Insights

The case involves Smt. Hema Jayashekar, the petitioner, who challenged the assessment order and subsequent notices issued by the Income Tax Department for the assessment year 2019-20. The petitioner argued that all communications were incorrectly sent to an email address not belonging to her, resulting in her non-participation in the proceedings. The court noted the procedural error and decided to set aside all related orders and notices, remanding the case for re-assessment from the notice stage under Section 148A(b) of the Income Tax Act.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 808107 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 09-07-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: E I SANMATHI
• Assessee Lawyers: ANNAMALAI
• Keywords: Assessment Order; Ex parte order; Income Tax; Notice; Reassessment
• Section: 147; 148; 144; 148A(b); 148A(d); 226; 227

Judgement Text

" - 1 - NC: 2024:KHC:26177 WP No. 18126 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9TH DAY OF JULY, 2024 BEFORE THE HON'BLE MR JUSTICE S SUNIL DUTT YADAV WRIT PETITION NO. 18126 OF 2024 (T-IT) BETWEEN: SMT. HEMA JAYASHEKAR, AGED ABOUT 47 YEARS, WIFE OF SRI. BANGARU JAYASHEKAR, SHANTHA NILAYA, 2ND MAIN ROAD, VIDYARANYAPURAM, MYSURU - 570 008, PAN: ATZPH6971R. …PETITIONER (BY SRI. ANNAMALAI S., ADVOCATE) AND: 1. INCOME TAX OFFICER, WARD INTERNATIONAL TAXATION 1(2), BLR, BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, NEAR KHB GAMES VILLAGE, KORAMANGALA, BENGALURU, KARNATAKA - 560 095. 2. INCOME TAX OFFICER, WARD INTERNATIONAL TAXATION 1(1), BLR BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, NEAR KHB GAMES VILLAGE, KORAMANGALA, BENGALURU, KARNATAKA - 560 095. 3. COMMISSIONER OF INCOME TAX, (INTERNATIONAL TAXATION), BENGALURU, Digitally signed by YAMUNA K L Location: High Court of Karnataka - 2 - NC: 2024:KHC:26177 WP No. 18126 of 2024 BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, NEAR KHB GAMES VILLAGE, KORAMANGALA, BENGALURU, KARNATAKA - 560 095. …RESPONDENTS (BY SRI. E.I. SANMATHI, ADVOCATE) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ASSESSMENT ORDER PASSED UNDER SECTION 147 READ WITH SECTION 144 OF THE ACT DATED 29.01.2024 BEARING DIN NO. ITBA/AST/S/147/2023-24/1060203033(1) ISSUED BY THE R-1 FOR THE AY 2019-20 HEREIN MARKED AS ANNEXURE- A1 AND ETC., THIS PETITION, COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING: ORDER Learned counsel Sri. E.I. Sanmathi accepts notice for the respondents. 2. The petitioner has called in question the correctness of the assessment order under Section 147 read with Section 144 of the Income Tax Act, 1961 (for short 'the Act') at Annexure-'A1' as well as the demand notice at Annexure-'A3', draft order at Annexure-'A4', penalty notices at Annexures-'A5' and 'A6', notices under Section 148A(b) of the Act at Annexures-'B1' and 'B2', - 3 - NC: 2024:KHC:26177 WP No. 18126 of 2024 order under Section 148A(d) of the Act at Annexure-'B3' and notice under Section 148 of the Act at Annexure-'B4'. 3. The case of the petitioner is that in terms of the information available in the portal pertaining to the petitioner, email ID is [e-mail], however all of the proceedings beginning from the notice under Section 148A(b) of the Act have been addressed to [e-mail]. Accordingly, it is submitted that none of the proceedings were communicated to the petitioner and accordingly, petitioner has not participated in any of the proceedings that have culminated. Specific reference is made to the bank statement of the petitioner at Annexure-'J1' and to the credit entries and it is pointed out that such remittance which is the subject matter of reassessment are credit entries by virtue of the payment made by the husband whose bank statement is also produced at Annexure-'J2'. 4. Accordingly, it is submitted that proceedings initiated could be dropped if the petitioner is given an - 4 - NC: 2024:KHC:26177 WP No. 18126 of 2024 opportunity to demonstrate that much of the remittance taken note of are remittance from the petitioner's husband. 5. Taking note of the stand as made out by the petitioner and that the proceedings culminated in the absence of petitioner, wherein ex-parte order was passed, it would be appropriate to keep all the contentions open and relegate the matter to the stage of notice under Section 148A(b) of the Act. 6. Accordingly, the order at Annexure-'A1', computation sheet at Annexure-'A2', demand notices at Annexure-'A3', draft order at Annexure-'A4', penalty notices at Annexures-'A5' and 'A6', notices under Section 148A(b) of the Act at Annexure-'B1' and 'B2', order under Section 148A(d) of the Act at Annexure-'B3' and notice under Section 148 of the Act at 'B4' are set aside. Matter is relegated to the stage of reply to the notice under Section 148A(b) of the Act. The petitioner to appear before respondent No.1 on 22.07.2024. - 5 - NC: 2024:KHC:26177 WP No. 18126 of 2024 7. I.A.No.1/2024 is allowed. The production of original or certified copy of Annexures-A1 to A6 and B1 to B4 is dispensed with. 8. Accordingly, petition is disposed off. Sd/- JUDGE MCR "