RUPASHRI NEELKANT BIRADAR V. INCOME TAX OFFICER AND ANR

WP/202086/2024

AI Insights

The case involves Smt. Rupashri Neelkant Biradar, the petitioner, who sought to quash multiple show cause notices and an ex-parte order issued by the Income Tax Department for the Assessment Year 2010-11. The petitioner contended that due to the COVID-19 pandemic, she was unable to respond to the notices and was unaware of the proceedings until she received a subsequent notice in January 2024. The respondents argued that the petition lacked merit. The court, considering the circumstances of the pandemic and the petitioner's lack of awareness, decided to quash the ex-parte order and remit the case for fresh consideration.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 761606 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 29-11-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: THIRUMALESH
• Assessee Lawyers: PRATIBHA
• Keywords: Assessment Year 2010-11; Ex parte order; Income Tax; Show cause notice; Writ of Certiorari
• Section: 144; 142(1); 254; 144B

Judgement Text

" - 1 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 IN THE HIGH COURT OF KARNATAKA, KALABURAGI BENCH DATED THIS THE 29TH DAY OF NOVEMBER, 2024 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO.202086 OF 2024 (T-IT) BETWEEN: SMT. RUPASHRI NEELKANT BIRADAR W/O NEELKANT BIRADAR, AGED ABOUT 49 YEARS, RAMLINGESHWAR INDUSTRIES R/PLOT NO.184,, KAPNOOR INDUSTRIAL AREA, 2ND STAGE, GULBARGA. – 585 104. …PETITIONER (BY SMT. PRATIBHA.R, ADVOCATE) AND: 1. THE INCOME TAX OFFICER THE WARD NO.2, AAYAKAR BHAVAN SEDAM ROAD, KALABURAGI – 585 105. 2. ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/INCOME TAX OFFICER NATIONAL FACELESS ASSESSMENT CENTRE DELHI – 110 001. …RESPONDENTS (BY SRI. THIRUMALESH, ADVOCATE FOR R1 & R2) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI OR A DIRECTION IN THE NATURE OF WRIT OF CERTIORARI QUASHING THE SHOW CAUSE NOTICE ISSUED U/S 142(1) OF THE ACT DATED 08-04-2021 IN NO. ITBA/AST/F/17/2021- 22/1032294875(1) BY THE 2ND RESPONDENT FOR THE AY YEAR 2010-11 (ANNEXURE-D) AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: Digitally signed by SUMITRA SHERIGAR Location: HIGH COURT OF KARNATAKA - 2 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER (PER: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR) In this petition, petitioner seeks the following reliefs: “(a) Issue a Writ of Certiorari or a direction in the nature of Writ of Certiorari Quashing the show cause notice issued U/s.142(1) of the Act dated 08.04.2021 in No.ITBA/AST/F/17/2021-22/10322294875(1) by the 2nd Respondent for the AY year 2010-11(Annexure-‘D’); (b) Issue a Writ of Certiorari or a direction in the nature of Writ of Certiorari quashing the show Cause notice dated: 03.09.2021 in No.ITBA/AST/F/17/2021- 22/1035282360(1) by the 2nd Respondent for the AY year 2010-11 (ANNEXURE-‘D1’); (C) Issue a Writ of Certiorari or a direction in the nature of Writ of Certiorari quashing the show Cause notice issued U/s. 142(1) of the Act dated 31.01.2022 in No.ITBA/AST/F/142(1) /2021-22/1039243080 (1) by the 2nd Respondent for the AY year 2010-11 (ANNEXURE-‘D2’); (d) Issue a Writ of Certiorari or a direction in the nature of Writ of Certiorari quashing order passed u/s. 144 rws 254 rws 144B of the Act in No. ITBA/AST/S/144/2021- 22/1035772306 (1) dated 21.09.2021 by the Respondent for the assessment year 2010-11 (ANNEXURE-‘E’); - 3 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 (e) Pass such other order, direction or writ as this Hon’ble Court deems fit, and (f) direct the Respondent to award the costs of this Writ Petition.” 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. In addition to reiterating the various contentions urged in the petition and referring to the material on record, learned counsel for the petitioner submitted that pursuant to the order dated 28.01.2020 passed by the Income Tax Appellate Tribunal and ITAT allowing the appeal filed by the petitioner in relation to the Assessment year 2010-11 and remitting the matter back to respondent No.1 – Assessing Officer, the respondent issued notice dated 04.03.2021 followed by letters dated 08.04.2021 and 03.09.2021, to which the petitioner could not submit any reply nor contest the proceedings on account of the prevailing Covid-19 pandemic. It was submitted that the petitioner was not aware of the said proceedings since the petitioner did not receive the said notice and came to know about the same subsequently in January 2024 when she received the notice dated at Annexure – F dated 16.12.2023 and learnt that the impugned ex-parte order dated - 4 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 21.09.2021 vide Annexure – E had been passed against the petitioner. 4. It is submitted that the inability and omission on the part of the petitioner to submit a reply to the aforesaid notice and contest the proceedings was on account of prevailing Covid – 19 pandemic, bonafide reasons, unavoidable circumstances and sufficient cause and as such, it is necessary to set aside the impugned order and remit the matter back to the respondents for reconsideration afresh, in accordance with law. 5. 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. 6. A perusal of the impugned order will indicate that it is an undisputed fact and matter of record that the petitioner did not submit her reply either to the notice dated 04.03.2021 issued under Section 142(1) of the Income tax Act nor to the letters dated 08.04.2021 and 03.09.2021 and as such, the impugned order is clearly an ex-parte order passed against the petitioner. In this context, it is relevant to state that in the light of the specific contention / assertion on the part of the petitioner that her inability - 5 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 and omission to submit reply to the notice dated 04.03.2021 was on account of prevailing Covid – 19 pandemic and bonafide reasons, unavoidable circumstances and sufficient cause coupled with the specific contention that the petitioner was unaware of the proceedings and came to know about the impugned order only when she received letter / notice at Annexure – F dated 29.12.2023, which was received on 10.01.2024, I deem it just and appropriate to set aside the impugned order & remit the matter back to the respondent no.1 for reconsideration afresh in accordance with law. 7. In the result, I pass the following: ORDER (i) The impugned order at Annexure – E dated 21.09.2021 is hereby quashed. (ii) Matter is remitted back to the respondent No.1 for reconsideration afresh in accordance with law from the stage of the petitioner submitting reply to the Notice under Section 142(1) of the IT Act at Annexure – E dated 21.09.2021and to proceed further in accordance with law. - 6 - NC: 2024:KHC-K:9080 WP No. 202086 of 2024 (iii) Petitioner is reserved liberty to file reply / response along with documents, pursuant to which, respondent No.1 shall provide sufficient and reasonable opportunity to the petitioner and hear her and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE SV List No.: 1 Sl No.: 22 "