Water and Land ManagementTraining And Research Institute (WALAMTARI) V. Union of India

WP/32748/2023

AI Insights

The case involves the Water and Land Management Training And Research Institute (WALAMTARI), which challenged the legality of an order and notice issued by the Union of India, Ministry of Finance, and associated income tax authorities. The petitioner argued that the proceedings initiated under the unamended provisions of the Income Tax Act, 1961, were not in accordance with the law as amended on 01.04.2021, which mandates faceless assessments and specific procedural requirements. The court referenced a batch of similar cases (W.P.No.25903 of 2022 and W.P.No.30153 of 2023) where it had previously allowed petitions on similar grounds, emphasizing the importance of adhering to the procedural norms set by the amended law.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 743383 (HC-TELANGANA)
• Appeal Type: Others
• Pronouncement Date: 01-12-2023
• Assessment Year: misc
• Other Referred Cases: W.P.No.25903 of 2022, W.P.No.30153 of 2023
• Laws Referred To: Income Tax Act, 1961, Constitution of India
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: G KUMAR
• Assessee Lawyers: P REDDY
• Keywords: Faceless assessment; Income Tax; Jurisdiction; Procedural Flaw; Writ of Mandamus
• Section: 148; 148A(d); 226

Judgement Text

"a [ 33e4 ] HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAO (Special Original Jurisdiction) FRIDAY, THE FIRST DAY OF DECEMBER TWO THOUSAND AND TWENTY THREE PRESENT THE HONOURABLE SRI JUSTICE ABHINAND KUMAR SHAVILI AND THE HONOURABLE SMT. JUSTICE JUWADI SRIDEVI WRIT PETITION NO: 32748 OF 2023 Between: Water and Land Management Training And Research lnstitute (WALAMTARI), a society registered under the Telangana Societies Registration Act, 2001 PAN. AAAAW4397B 1-8-12113, Himavat Sagar, Rajendranagar, Hyderabad - 500030, Telangana, Represented By. Vemisetty Ramesh Director General of the society ...pETrroNER AND 1. Union of lndia, Ministry of Finance Rep. By its Secretary 166-8 North Block, New Delhi- 110001 2. The AssistanUDeputy Commissioner of lncome Tax, Exemption Circle 1(1), Aayakar Bhawan, Opp. LB Stadium,'BasheerBagh, Hyderabad, Telangana, 500004 3. The Commissioner of lncome Tax(Exemptions), Aayakar Bhawan, Opp. LB Stadium, BasheerBagh, Hyderabad, Telangana, 500004 4. National Faceless Assessment Centre lncome Tax Department, Ministry of Finance, Government of lndia, New Delhi. ...RESPONDENTS Petition under Article 226 ol the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to i. lssue a Writ, Order or Direction more particularly, one, in the nature of Writ of Mandamus, declaring the Order passed by the Respondent No.1 dated 31-03-2023 u/s 148A(d) of the lncome Tax Act, 1961 and the notice issued by the Respondent No-1u/s. 148 of the lncome Tax Act, 1961 dated 31-03-2023 as illegal, bad in law, void ab initio, being violative of the provisions of lncome Tax Act 1961 and Articles 14,19 and 265 of the constitution of lndia and consequently ii. Set aside the Order passed by Respondent No.1 u/s. 148A(d) and the Notice issued u/s. 148 of the lncome Tax Act, 196'1 dated 31-03-2023 calling for the I I .l a return of income of the petitioner for Ay. 2017_1g and as lacking in jurisd iction. any consefuent proceedings Counsel for the petitioner: SRI p SOMA SHEKAR REDDY Counset for the Respondent No.1: snl ceoipdeveeru xUfrian, Oy. counser ror the Respondent Nos.2 i3li,i,]3i,lrih3[it?3rr, ,c FoR rr The.Court made the following: ORDER l i l / 11 HON'BI_E Sr{RI JUSI'ICD ABEilNAND KtiNlAR SFIAvII.r ANt) HON'BLF] SMT JUS'IICI' .IUVVADI SRII)E ,'I W.P.No.32 748 of2023 ORDER: /)er Ho n'b/e Sn lutie ,4bbinatd Ktnar .lhauili) 'hcn thc nrarter is taken up for hcaring, learnetl counscl l', respondcnt has passcci ordcr unclcr Sccrion l-18(. )(l)) ol- rhc appcaflng tor rhe pcritioncr had c()nrended rhar thc ! lnc( )r-nc l ar , ct, 'l99.i rnd also Lhc cr.rrscgucrrtial llSSCSSIIICI] I darccl .30. 10.2023 and thc said rvrit pcrrtion rvrs allor.'u'ccl. In vrcs l0ll(-11.1) R rsc i ordcr undcr Scction 148 of rhe Incomc 'I ax r cr artd rhc ISSLIC raiscd in this writ petition is squarely covered bi, thc ordcr dercd 1.+.09.2023 passed in W.P.No.25903 ol 2022 and barch Lcarned Standrng (};unsel appearing for thc rcsporrdcnrs ekrcs not disputc thc saicl Fact pcrusal of thc rccord cliscloscs that bv firllorvins thc lau Iaid down b), the Apcx (.ourt in (lniln o/'India anri Or3 us. ,l.rbi.r/t ,4garual, thrs Court allowed W.P.No.25903 of 2022 and batch uide order dated 1,4.09.2023 and the said order rvas also sr,rbscqucnrll, follorvcd by this Oourr in V,.P.No.301-i3 o[ 2()23, i I I ',I.. 6 ()t thc srlnrc. thc prcscnr rrrit pcutiorr is also dcscncd r,r I-., r allos cil lirllr,,,,\",inu thc ordcr darcd j0 10.2023 passcd ln '.P.No.301.r1 ()f 2()23 and [<;r r('as()rls ahkc. rhis !'rit Pcririon is: also allowed. No costs Miscellaneous p<: ririons, iF any, pending shall stand closccl I AssrsrAr,ilDlfttJ1*i* //rRUE COPY// v SECTION OFFICER 1. The Secretary, Union of lndia, Ministry of Finance .166_8 North Block, New Delhi- 1 '10001 2. The AssistanuDeputy commissioner of lncome Tax, Exemption circle 1(1). l^ay?fqr Bhawan, Opp. LB Stadium, BasheerBagh, Hyderdbad, tetanga'n6, 500004 3. The Commissioner of lncome Tax(Exemptions), Aayakar Bhawan, Opp. LB . S.tadium, BasheerElagh, Hyderabad, tetdngana, 506004 4. National Faceless Assessment centre rnco-me fax Department, Ministry of Finance, Government of lndia, New Delhi. 9. 9ne CC to SRI P.SOMA SHEKAR REDDY, Advocate IOpUCt 6. One CC ro SRt GAD| PRAVEEN KUMAR, Oy. SOltdtton cEru. or truotn loPUCl 7. One CC to lr//s. B.SWAPNA REDDY, SC FOR tT [OPUC] B. Two CD Copies (fl^olS wittr a copy of the Order dt:30.10.2023, passed in Wp.No.30153 of 20231 To PSK GJ tdt l/ L HIGH COURT DATED:01 11212023 ORDER WP.No.32748 of 2023 ALLOWING THE WRIT PETITION WITHOUT COSTS. 2 1il{zr .' .$' $ +' H + F I r., -,.i, ,e + o LL F- d. I -/ ,n THE HON'BLE SRI WSTTCP P.SAM KOSITY AND THE HON'BLE SRI JUSTICE IIUTlIVII NARAYANA ALISHETTY W.P. No. 3Ol53 of2023 ORI)ER: per ao n bte Si Justice P.s,A.M KOs,Hr) Heard Mr. A.V.A_ Siva Kartikeya, leamed counsel for the petitioner and Ms. B. Sapna Reddy, learned Junior Standing Counsel for Income Tax appearing for the respondents. perused the entire record. 2. The instant petition has been frled challenging the Assessment Order passed by respondent No.1 under section 14gA{d) of the Income Tax Act, 1961 (hereinafter referred to as \"the Act,,) dated 2S_O4.2O22 for the Assessment Year 2Ol8-19. 3. One of the contentions that the petitioner has raised in the present writ petition is that under the amended provisions of the Act which came into effect from 0l .O4.202 l, the respondents while proceeding under Section l4g of the Act were required to issue notice under Section 148A, and pro ride an opportunit5z of hearing to the assessee. As per the amended provision of law, the proceedings to be drawn a-re also in a faceless manner. Whereas, it has been contended by the petitioner that in the instant case, reopening has been initiated by the Juridictional Assessing offrcer. In respect of trre said objection that the petitioner had raised, he relied upon the recent batch of writ I () )dA-- -+ disposing of of the same in 2 petitions decided by this very Bench on 14.09.2023 vide W.P.No.25903 of 2022 and batch to the limited extent. 4. Learned counsel for the Department would not dispute of having decided the said objection in the aforesaid batch matters. However, learned counsel submits that apart from the aforesaid objection, there have been other various objections also which the petitioner has raised in the writ petition. 5. So far as this contention of the learned counsel for the Department W.P.No.25903 rs concerned, this Bench, while paragraph Nos.37 & 38 which is reproduced herein under: \"37. \"fb.e preliminary objection raised by the petitioner is sustained and all these writ petitions stands allowed on this very jurisdictional issue. Since t.Ile impugned notices and orders are getting quashed on the point ofjurisdiction, we are not inclined to proceed further and decide the other issues raised by the petitioner which stards reserved to be raised and contended in an appropriate proceedin gs. \" 38. Since the Honble Supreme Court had, in the case of Ashish Agarwal, supra, as a one-time measure exercising t].e powers under Article 142 of t}j.e Constitution of Indid, permitted the Revenue to proceed under t}Ie substituted provisions, and this Court allowing the petitions only on the procedural flaw, the right conferred on the Revenue would remain reserved to proceed further if they so want from the stage of the order of the Supreme Court in the case of Ashish Agarwal, 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 unamended provision which is otherwise not sustainable. of 2022 and batch had taken note I I I I E-. r.- I ')- 4s 2r tl I o 3 As has been held by this Bench in the aforesaid batch matters, the right of the respondents would stand reseryed as is envisaged in paragraph Nos.37 & 38 ofthe said batch. No order as to costs. 7 . Consequently, miscellaneous petitions pending, if any, shall stand closed. P.S/IM KOSHY, J LI XMI NARAYANA ALISHETTI, J Dated:3O. 10.2O23 aqs "