Cwjc/4815/2025 Of Navin Kumar Motani v. Principal Commissioner Of Income Tax- 1

3 IN THE HIGH COURT OF JUDICATURE AT PATNACivil Writ Jurisdiction Case No.4815 of 2025 ====================================================== Navin Kumar Motani Son of Bajrang Lal Motani Permanent resident of FlatNo.- 204, Jagtarni Tower, Jamal Road, P.O.- G.P.O., P.S.- Kotwali, Patna,District- Patna, 800001 presently residing at S-71, First Floor, S Block,Panchsheel Park, South Delhi, Delhi- 110017. ... ... Petitioner Versus 1.Principal Commissioner of Income Tax- 1 having its office at CentralRevenue Building, Income Tax Department, Bir Chand Patel Marg, Patna-800001.Revenue Building, Income Tax Department, Bir Chand Patel Marg, Patna-800001. 2.The Commissioner of Appeal, National Faceless Appeal Centre (NFAC),Income Tax Department, having its office at 6th Floor, Mayur Bhawan,Connaught Lane, Barakhambha, New Delhi- 110001.Income Tax Department, having its office at 6th Floor, Mayur Bhawan,Connaught Lane, Barakhambha, New Delhi- 110001. 3.The Commissioner of Income Tax (Appeals), Income Tax Department, BeerChand Patel Path, Patna.Chand Patel Path, Patna. 4.The Assistant Commissioner of Income Tax, DC/AC, Circle-1, Income TaxDepartment, Lok Nayak Bhawan, Dak Bunglow Crossing, Patna.Department, Lok Nayak Bhawan, Dak Bunglow Crossing, Patna. ... ... Respondents ======================================================Appearance :For the Petitioner/s: Mr.Bijay Kumar Gupta, Advocate Mr. Manish Kumar, Advocate Mr. Sunil Saraf, AdvocateFor the Respondent/s: Mr.Archana Sinha @ Archana Shahi ====================================================== CORAM: HONOURABLE MR. JUSTICE P. B. BAJANTHRI and HONOURABLE MR. JUSTICE S. B. PD. SINGHORAL ORDERORAL ORDER (Per: HONOURABLE MR. JUSTICE P. B. BAJANTHRI) 10-07-2025 In the instant petition, the petitioner has prayed for the following relief(s):- “(i). For issuance of a writ ofcertiorari or any other appropriate writ(s),order(s) or direction(s) quashing the orderissued vide DIN ITBA/NFAC/S/250/2024-25/1071729983(1) dated 31.12.2024 passed byRespondent No-2 (Annex- P-9A) under Section 250 of the Income Tax Act, 1961 ("the Act") bywhich addition of Rs. 1,58,27,126/ to the incomeof the Petitioner for the assessment year("A.Y."") 2017-18 was done by Respondent No-4has been confirmed by Respondent No.02without considering the reply filed by thepetitioner and without sending it back to the"Valuation Officer" for correct valuation ofcapital gain as per requirement of section50C(2) of Income Tax Act, 1961 despite specificcontention advanced by the Petitioner andwithout granting "Personal Hearing" to thepetitioner before passing the Impugned orderand without granting opportunity of being heardin contravention of Principles of Natural Justiceand addition confirmed by the Respondent No-2of Rs. 1,58,27,126/- to the income of thePetinoner for the assessment year ("A.Y.") 2017-18 be deleted. (ii). For issuance of a writ ofcertiorari or any other appropriate writ(s),order(s) or direction(s) quashing the AssessmentOrder dated 10.12.2019 issued vide Order No.ITBA/AST/S/143(3)/2019-20/1022044720(1) (Annex- P-3B) Passed under Section 143(3) ofIncome Tax Act, 1961 and consequent Notice ofDemand dated 10.12.2019 vide issued NoticeNo. ITBA/AST/S/156/2019 20/1022044924(under section 156 of the Income-Tax Act, 1961)and as the Assessing Officer failed to dischargehis statutory duty by not referring the matter toDVO in terms of Section 50C(2) of Income tax Act, 1961, the addition made by AssessingOfficer as per order dated 10.12.2019 by whichaddition of Rs. 1,58,27,126/-to the income of thePetitioner for the Assessment Year ("A.Y.")2017-18 was made, be deleted. iii) For issuance of any otherappropriate writ, order or direction which YourLordships may deem fit and proper in the factsand circumstances of the case.” 2. One of the ground in support of the aforementioned (Annex- P-3B) Passed under Section 143(3) ofIncome Tax Act, 1961 and consequent Notice ofDemand dated 10.12.2019 vide issued NoticeNo. ITBA/AST/S/156/2019 20/1022044924(under section 156 of the Income-Tax Act, 1961)and as the Assessing Officer failed to dischargehis statutory duty by not referring the matter toDVO in terms of Section 50C(2) of Income tax Act, 1961, the addition made by AssessingOfficer as per order dated 10.12.2019 by whichaddition of Rs. 1,58,27,126/-to the income of thePetitioner for the Assessment Year ("A.Y.")2017-18 was made, be deleted. iii) For issuance of any otherappropriate writ, order or direction which YourLordships may deem fit and proper in the factsand circumstances of the case.” 2. One of the ground in support of the aforementioned relief is that the petitioner has not been providedpersonal/virtual hearing despite his request. The appellateauthority proceeded to pass order on 31.12.2024. Section 144VII of Income Tax Act, 1965 provides for oral hearing onrequest. Taking note of the aforementioned provision read withthe petitioner’s request on 08.05.2024, the appellate authorityhas failed to provide oral/virtual hearing, therefore on this shortground, the petitioner has made out a case so as to interfere withthe impugned order dated 31.12.2024 (Annexure-P-9A series) isset aside. 3. The matter is remanded to the appellate authority toproceed afresh, after providing oral hearing to the petitioner interms of his request dated 08.05.2024. Thereafter, proceed topass speaking order after due consideration of each of the Ankit Kumar/- U contention to be raised by the petitioner. The appellate authorityis requested to strictly take note of the principle laid down bythe Hon’ble Supreme Court decision in the case of OryxFisheries Private Ltd. vs. Union of India & Ors. reported in(2010) 13 SCC 427 and complete the proceedings within aperiod of four months from the date of receipt of this order. Thepetitioner shall cooperate with the respondent authorities. 4. Accordingly, the present CWJC No. 4815 of 2025stands allowed. (P. B. Bajanthri, J) ( S. B. Pd. Singh, J)