WAVE DISTILLERIES AND BREWERIES LIMITED V. UNION OF INDIA AND 3 OTHERS

WTAX/482/2022

AI Insights

Wave Distilleries And Breweries Limited filed multiple writ petitions against the Union of India and others, challenging the notices issued under Section 148 of the Income Tax Act, 1961, for the assessment years 2013-14 to 2017-18. The petitions were heard by Hon'ble Surya Prakash Kesarwani and Hon'ble Jayant Banerji. The court examined the reasons recorded by the Assessing Authority and the approval by the Principal Commissioner of Income Tax, Bareilly, and found sufficient prima facie material indicating that income had escaped assessment. Consequently, the court dismissed the petitions, allowing the petitioners to appeal against the reassessment orders.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 684447 (HC-ALLAHABAD)
• Appeal Type: Others
• Pronouncement Date: 01-04-2022
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: HIGH COURT
• Department Lawyers: GAURAV MAHAJAN; ANAND KUMAR TIWARI
• Assessee Lawyers: ABHINAV MEHROTRA; G C SRIVASTAVA
• Keywords: Income Escapement; Jurisdiction; Notices; Reassessment; Writ Tax
• Section: 148; 246A

Judgement Text

"Court No. - 3 1. Case :- WRIT TAX No. - 482 of 2022 Petitioner :- Wave Distilleries And Breweries Limited Respondent :- Union Of India And 3 Others Counsel for Petitioner :- Abhinav Mehrotra Counsel for Respondent :- A.S.G.I.,Gaurav Mahajan WITH 2. Case :- WRIT TAX No. - 483 of 2022 Petitioner :- Wave Distilleries And Breweries Limited Respondent :- Union Of India And 3 Others Counsel for Petitioner :- Abhinav Mehrotra Counsel for Respondent :- A.S.G.I.,Gaurav Mahajan 3. Case :- WRIT TAX No. - 486 of 2022 Petitioner :- Wave Distilleries And Breweries Limited Respondent :- Union Of India And 3 Others Counsel for Petitioner :- Abhinav Mehrotra Counsel for Respondent :- A.S.G.I.,Gaurav Mahajan 4. Case :- WRIT TAX No. - 495 of 2022 Petitioner :- Wave Distilleries And Breweries Limited Respondent :- Union Of India And 3 Others Counsel for Petitioner :- Abhinav Mehrotra Counsel for Respondent :- A.S.G.I.,Gaurav Mahajan 5. Case :- WRIT TAX No. - 496 of 2022 Petitioner :- Wave Distilleries And Breweries Limited Respondent :- Union Of India And 3 Others Counsel for Petitioner :- Abhinav Mehrotra Counsel for Respondent :- A.S.G.I.,Gaurav Mahajan Hon'ble Surya Prakash Kesarwani,J. Hon'ble Jayant Banerji,J. Heard Sri G.C. Srivastava along with Sri Abhinav Mehrotra, learned counsel for the petitioners, Sri Gaurav Mahajan, learned counsel for the respondent - Income Tax Department and Sri Anand Kumar Tiwari, learned counsel for the respondent No.1. In all these writ petitions, the notices under Section 148 of the Income Tax Act, 1961 (hereinafter referred to as 'the Act, 1961') relating to Assessment Years 2013-14 (WRIT TAX No. - 496 of 2022), 2014-15 (WRIT TAX No. - 482 of 2022), 2015-16 (WRIT TAX No. - 483 of 2022), 2016-17 (WRIT TAX No. - 495 of 2022) and 2017-18 (WRIT TAX No. - 486 of 2022), have been challenged. Perusal of the reasons recorded by the Assessing Authority and approval granted by the Principal Commissioner of Income Tax, Bareilly dated 30.03.2021, more precisely paragraphs 2, 4.1 and 4.2 thereof reveals that prima facie there was some relevant material available in the hands of the Assessing Authority, which prima facie indicated escapement of income to tax. Therefore, neither the impugned notices under Section 148 of the Act can be said to be without jurisdiction nor the proceedings can be said to be bad. It has been stated before us jointly by learned counsels for the parties that reassessment orders have already been passed by the competent authority. Reassessment order has already been passed against which the petitioners have the remedy of appeal under Section 246A of the Act, 1961. The reassessment orders passed by the Income Tax Authority are not subject matter of challenge in the present writ petitions. For all the reasons afore-stated, we do not find any good reasons to interfere with the notices. Therefore, all the writ petitions are dismissed leaving it open for the petitioners to challenge the reassessment orders in appeal, if so advised. It is made clear that any of the observations made in the body of this order shall not come in the way of the petitioners to challenge the reassessment orders in appeal. The petitioners shall be at liberty to raise all objections to the reassessment orders, as may be available to them under law. Order Date :- 1.4.2022 NLY Digitally signed by NAND LAL YADAV Date: 2022.04.04 10:01:19 IST Reason: Location: High Court of Judicature at Allahabad "