Ashok Kumar v. The Assistant Commissioner Ofincome Tax And Anr

Meena AND WRIT PETITION NO. 186 OF 2022 SUNIL OMPRAKASH GARG VersusTHE ASSISTANT COMMISSIONER OFINCOME TAX AND ANR ...Petitioner … Respondents AND ASHOK KUMAR Versus WRIT PETITION NO. 183 OF 2022 ...Petitioner THE ASSISTANT COMMISSIONER OFINCOME TAX AND ANR … Respondents AND WRIT PETITION NO. 188 OF 2022 SAHANU SPONGE AND POWER PRIVATELIMITED, REP. BY ITS DIRECTOR, SUNILOMPRAKASH GARG Versus ...Petitioner THE ASSISTANT COMMISSIONER OFINCOME TAX AND ANR … Respondents AND WRIT PETITION NO. 189 OF 2022 SAHANU SPONGE AND POWER PRIVATELIMITED, REP. BY ITS DIRECTOR, SUNILOMPRAKASH GARG Versus ...Petitioner THE ASSISTANT COMMISSIONER OFINCOME TAX AND ANR … Respondents AND WRIT PETITION NO. 187 OF 2022 TUSHAR SUNIL GARG ...Petitioner VersusTHE ASSISTANT COMMISSIONER OF… RespondentsINCOME TAX AND ANR AND WRIT PETITION NO. 190 OF 2022 RAJAT MUKESH GULATI Versus ...Petitioner THE ASSISTANT COMMISSIONER OF… RespondentsINCOME TAX AND ANR Mr Parag Rao with Ms Sowmya Drago, Advocates for the petitioners. Ms S. Linhares, Central Government Standing Counsel for respondent No.1. Mr Raviraj Chodankar, Central Government Standing Counsel for respondentNo.2. CORAM:M. S. SONAK & BHARAT P. DESHPANDE, JJ.DATED: 3[rd] JANUARY,2023. P.C.: Heard Mr Parag Rao with Ms S. Drago, learned Counsel for thepetitioners, Ms S. Linhare, learned Standing Counsel for respondent No.1and Mr Chodankar, learned Standing Counsel for respondent No.2. 2.The learned Counsel submit in unionism that the issues raised inthese petitions are substantially covered by the decision by the Supreme 1, and therefore,, and therefore, Court in Union of India and others v/s. Ashish Agarwal1, and therefore,, and therefore,these petitions may be disposed of in the light of the directions inparagraphs 26 and 27 of the Judgment. 3.Paragraphs 26 and 27 of Ashish Agarwal (supra) reads as follows: 26. In view of the above and for the reasons stated above, thepresent Appeals are ALLOWED IN PART. The impugnedcommon judgments and orders passed by the High Court ofJudicature at Allahabad in W.T. No. 524/2021 and otherallied tax appeals/petitions, is/are hereby modified andsubstituted as under: (i) The impugned section 148 notices issued to therespective assessees which were issued underunamended section 148 of the IT Act, which werethe subject matter of writ petitions before thevarious respective High Courts shall be deemed tohave been issued under section 148A of the IT Actas substituted by the Finance Act, 2021 andconstrued or treated to be show cause notices interms of section 148A(b). The assessing officershall, within thirty days from today provide to therespective assessees information and material reliedupon by the Revenue, so that the assesees can replyto the show cause notices within two weeksthereafter; (ii) The requirement of conducting any enquiry, ifrequired, with the prior approval of specifiedauthority under section 148A(a) is herebydispensed with as a one time measure vis à vis thosenotices which have been issued under section 148of the unamended Act from 01.04.2021 till date,including those which have been quashed by the High Courts. Even otherwise as observedhereinabove holding any enquiry with the priorapproval of specified authority is not mandatorybut it is for the concerned Assessing Officers tohold any enquiry, if required; (iii) The assessing officers shall thereafter passorders in terms of section 148A(d) in respect ofeach of the concerned assessees; Thereafter afterfollowing the procedure as required under section148A may issue notice under section 148 (assubstituted); (ii) The requirement of conducting any enquiry, ifrequired, with the prior approval of specifiedauthority under section 148A(a) is herebydispensed with as a one time measure vis à vis thosenotices which have been issued under section 148of the unamended Act from 01.04.2021 till date,including those which have been quashed by the High Courts. Even otherwise as observedhereinabove holding any enquiry with the priorapproval of specified authority is not mandatorybut it is for the concerned Assessing Officers tohold any enquiry, if required; (iii) The assessing officers shall thereafter passorders in terms of section 148A(d) in respect ofeach of the concerned assessees; Thereafter afterfollowing the procedure as required under section148A may issue notice under section 148 (assubstituted); (iv) All defences which may be available to theassesses including those available under section 149of the IT Act and all rights and contentions whichmay be available to the concerned assessees andRevenue under the Finance Act, 2021 and in lawshall continue to be available. 27. The present order shall be applicable PAN INDIA and alljudgments and orders passed by different High Courts on theissue and under which similar notices which were issued after01.04.2021 issued under section 148 of the Act are set asideand shall be governed by the present order and shall standmodified to the aforesaid extent. The present order is passedin exercise of powers under Article 142 of the Constitution ofIndia so as to avoid any further appeals by the Revenue on thevery issue by challenging similar judgments and orders, with aview not to burden this Court with approximately 9000appeals. We also observe that present order shall also governthe pending writ petitions, pending before various HighCourts in which similar notices under Section 148 of the Actissued after 01.04.2021 are under challenge. 4.Accordingly, even these petitions are disposed of by treating theimpugned notices as Show Cause Notices in terms of Section 148 A (b) ofthe Income Tax Act. 5.Ms. Linhares states that the respective Assessing Officers shallwithin 30 days from today provide to the respective Assessees theinformation and material collected by the Revenue, so that the Assesseescan reply to the Show Cause Notices within two weeks after that. 5. 6.Based on the decision in Ashish Agarwal (supra) and the aforesaidstatement, we dispose of these petitions. 7.There shall be no order for costs. 8.All concerned to act on the basis of an authenticated copy of thisorder. BHARAT P. DESHPANDE, J. M. S. SONAK, J. MEENA Digitally signed by MEENA VISHAL BHOIR VISHAL BHOIRDate: 2023.01.03 16:32:21 +05'30'