Sree Vani Sanku, Wo Sanku Krishna V. The Income Tax Officer, Ward-4(1), Hyderabad and The Principal Chief Commissioner of Income Tax, Telangana and A.P, Hyderabad and The Central Board of Direct Taxes, Represented by its Chairman and The National Faceless Assessment Center, Income Tax Department, New Delhi and The Union of India, Represented by its Secretary to Government, Department of Revenue, Ministry of Finance

WP/3282/2024

AI Insights

The case involves Sree Vani Sanku, the petitioner, challenging the order passed by the Income Tax Authorities for the assessment year 2016-17. The petitioner argued that the assessment was conducted by the Jurisdictional Assessing Officer instead of a Faceless Assessing Officer, as required by the amended provisions of the Income Tax Act, 1961. The petitioner sought a writ of mandamus under Article 226 of the Constitution of India, claiming that the order was arbitrary, illegal, and violative of various constitutional provisions and the Income Tax Act itself. The court's decision was influenced by a similar judgment in a batch of writ petitions, where it was held that the proceedings not conducted in accordance with the amended provisions were unsustainable.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 795776 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 08-02-2024
• Assessment Year: misc
• Other Referred Cases: Ashish Agan vs. Revenue
• Laws Referred To: Constitution of India, Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: J V PRASAD; GADI KUMAR
• Assessee Lawyers: THANNERU KUMAR
• Keywords: Faceless assessment; Income Tax; Jurisdiction; Natural Justice; Writ of Mandamus
• Section: 147; 148; 148A; 265; 144(b); 226

Judgement Text

"HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD (Special Original Jurisdiction) [ 337e I THURSDAY, THE EIGHTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY FOUR PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHY AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI WRIT PETITION NO: 3282 OF 2024 Between: Sree Vani Sanku, Wo Sanku Krishna aged about 67 years, Occ: Homemaker, R/o. MIG-ll BLOCK-9 FLAT-2, Baghlingampally, Hyderabad 50004, Telangana, lndia PAN CVDPS1587E Assessment Year 2016-17 ...PETITIONER AND 1. The lncome Tax Officer, Ward-4(1), Hyderabad Telangana State. 2. The Principal Chief Commissioner of lncome Tax, Telangana and A.P, Hyderabad. lT Towers, AC Guards, Masab Tank, Hyderabad 500 028, Telangana. 3. The Central Board of Direct Taxes, Represented by its Chairman, Department of Revenue, Ministry of Finance, Government of lndia, Secretariat Buildings, New Delhi - 1 10 001 4. The National Faceless Assessment Center, lncome Tax Department, New Delhi. 5. The Union of lndia, Represented by its Secretary to Government, Department of Revenue, Ministry of Finance, New Delhi - 110 001 ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ of Mandamus or any other appropriate Writ, Order, or Drrection, declaring the order passed by the lncome Tax Authorities (National Faceless E-Assessment Centre completed the assessment U/S 147 rlw Section 144-B of the lncome Tax Act, 1961 vide DIN and Notice No.dated 221O912023 in ITBA/AST/S/14712023 - 2411059192765(1 ) for the assessment year 2016-17 determinrng the total income of Rs.61 ,10,733^. issued by Jurisdictional Assessing officer, ward-4(1), Hyderabad instead of Faceless Assessing officer, as arbitrary, illegal, bad in law, without jurisdiction, void-ab-initio, violative of the principles of natural justice apart frcm being violative of Articles 14, 19(1)(g) and 265 of the Constitution of lndia and Sec. 148A of the lncome Tax Act, 1961, and consequently set aside the same in the interests of justice. lA NO: 1 OF 2024 Petition under section 151 cpc praying that in the circumstances stated in the affidavit.filed in support of the petition, the High court may be pleased to suspend the order Under section 147 rlw 144-B of the lncome Tax Act, 1961 vide DIN and Notice No.dated 22logt2o23 in trBA/AST/s t14il2o23- 24t1osg1g276s(1) under order and Demand notice u/s 156 of the lncome Tax act 1961, vide DIN and Notice No. lrBA/AST/s/l56r2o23-24t1os9192r84(1) Dt: 2911212023 for the assessment year 2016-17 notice Under section 14s A(d) Dt: 27to3t2023 in |rBA/AST/F/148At2022-23t1o5i358465 (1) and notice issued u/s .l48 Dt. 2710312023 in lrBA/AST/s1148 1tzo22-23t1os1418s17(i) for the Assessmenr Yeat 2016-17 issued by Jurisdictionar Assessing officer, ward-4(1), Hyderabad instead of Faceless Assessing officer, pending disposal of the above wrlt petition. Counsel for the Petitioner: SRI THANNERU CHAITANYA KUMAR Counsel for the Respondent Nos.1 & 2: SRI J.V.PRASAD, Sr. SC FOR INCOME TAX Counsel for the Respondent Nos.3 TO 5: SRt GADI PRAVEEN KUMAR, Dy. SOLICITOR GENERAL OF INDIA The Court made the following: ORDER I : I ! t i ! i I t I I i t i i I j I I I THE HONOURABLE SRI JUSTICE P.SAM KOSIfi AND THE HONOURABLE SRI JUSTICE N.TI,XARAII,IJI WRIT PETITION No.3282 OF 2o24 ORDER: (per Hon'ble Si Justice P.SAM KOSHY) The instant Writ Petition has been filed by the petitioner under Article 226 of tJle Constitution of India seeking for the following reliefi \". . .to issue a Wit of Mandamus or ang other appropiate Wit Order or Direction declaing tle order passed bg the Income Tax Authoities (National Faceless E-Assessmenf Centre ampleted the assessmen, U/s 147 r/u Section 144-8 of tLe Income Tax Act, 1961, uide DIN & Notice No. dated 22.09.2023 in ITBA/ AST/ S/ 147/2023-24/ 1059192765(1), for the assessment gear 2016-17 determinirLg the total income of Rs.61,1O,733/- issued bg Jurisdictional Assessing Officer, Ward-4(1) Hgderabad instead of Faceless Assessing Officer, as arbitrary, tllegal, bad in law, without juisdiction, uoi.d-ab-initio, uiolatiue of the pinciples oJ natural justice aport from being uiolatiue of Articles la, 19(1)(9) and 265 of the Constitution of India & Sec. 148A of tLe Income Tax Act, 1961, and consequentlg set aside the same in tLe interests of justice; and pass such otLer orders as thi.s Hon'ble Court mag deemfit and proper\". 2. One of the contentions that the petitioner has raised in the present Writ Petition is that under the amended provisions of the Act which carne into effect from OI.O4.2O2l the resnondents, while proceeding under 2 PS.K,J & iYrR,J W.P.No.3282 oJ 2O24 Section 148 of the Act, were required to issue notice under Section l48A and provide an opportunity of hearing to the assessee. As per the amended provision of law, the proceedings to be drawn are also in a faceless manner. 3. Whereas, learned counsel for the petitioner contended that, in the instant case, reopening has been initiated by the Jurisdictiona-l Assessing Officer. In support of his contention, he relied upon the recent judgment rendered by this very Bench in Wp.No.2S903 of 2022 e batch, dated 14.O9.2023 wherein this Court disposed of .r_tre batch of writ petitions to the limited extent. 4. On the other hand, Iearned Standing Counsel for the respondent-Department does not d.ispute that the said objection was decided in the aforesaid batch of Writ Petitions. However, he further contended that apart from the aforesaid objection, there have been other various objections also w.hich the petitioner has raised in the writ petition. 5. So far as this contention of the learned counsel for the respondent-Department is concerned, this Bench, while 3 PSK,J & NTR,J W.P.No.3282 o;f 2024 disposing of said batch of writ petitions, had taken note of the same at paragraph Nos.37 & 38 which a-re reproduced herein under: ':37. TtLe preliminary objection raised bg tle ptitioner is sustaiied and oll tlese tuit petitions stands alloued on this uery iurisdictional issue- Since the impugned notices and ord'ers are getting qtashed on tle point of juisd.iction, u)e are not inclined to proceed further and decide tLe other issues raised by tlw petitioner uhich stand.s reserued to be raised and contended in an ap p ropiate p roceeding s. \" 1 { \"38. Since tle Hon'ble Supreme Court lwd, in tLte case of Ashish Aga ru.tol, supra, as a one-time meosure ixercising the pouers under Article 142 of the Constitrtiion of India, permitted the Reuenue to proceed under the substituted proui.sions, and this Court allouing the petitions onlg on the procedural flottt, the ight confened on the Reuenue utould remain resented ti proceia Turtter if theg so want from the stage of the orier of tie Supreme Court in ttte case of Ashish Agantal, supra.\" 6. In view of the same, we are inclined to allow the present writ petition also on similar terms. Accordingly, the present Writ Petition stands allowed on the objection of the petitioner that the proceedings have not been drawn in accordance with the amended provision but under the un-amended provision which is otherwise not sustainable' 4 PSr(,J & JyrR,J W.P.No.3282 of 2O24 7 . As has been held by this Bench in the a-foresaid batch matters, the rights of the parties would stald reserved as is envisaged at paragraph Nos.37 & 38 of the said order passed in the batch of writ petitions. No order as to costs. Consequently, miscellaneous petitions pending, if any, shall stand closed. //TRUE COPY// SD/. G. SIREESHA ASSISTANTYSTRAR SECTION OFFICER To 1 . The lncome Tax Officer, Ward-4(1 ) Hyderabld Telanoana State' 2. The Principal Chiet cortnilionliti iiio'\" i'*' relSngana 9!g Al' ' il;;;ij;5. lr-i;;eii' nC c,i'os, It/lasab rank' Hvderabad 500 028' Telanqana. 3. fi;'iHffian, Central Board of Direct Taxes' Department of Revenue' \" rviii'i.i.v di'ri\"i\"\"\", Gor;;\";t of india, Secretariat Buildings, New Delhi - 110 001 +. in6 Niiionul Faceless Assessmenl Center' lncome Tax Department' New Delhi. S. fn'\"'5\"\"t\"trry to Government, Union-o-f lndia' Department of Revenue' -' Ministrv of Finance, New Delhi - 110 001 6. il;\"db i;'s iiI'i tlAN N i Ru Cnntrn ru va Kqlry .Br{dvoqqtg.tp^f ucl ;. il; cc i\" 5nr J.v.PRASAb Sr SC FoR LNCgy.q rAX IoPUCI 6: 5;; d6 i;siii 6nbr pnlilEer.r (uNann Dv SolrcrroR GENERAL oF _9. PSK. CJP tNDIA [oPUC] Two CD CoPies o HIGH COURT DATED:0810212024 ORDER WP.No.3282 ot 2024 ALLOWING THE WRIT PETITION WITHOUT COSTS. s &q. k\"v i ( T S A T E € t I 7 I ,l 02I J o o 1 I llAfl DEsPAlC c0 "