Dr.d.john Ponnudurai Educational Trust v. The Assistant Commissioner Of Income Tax, National E-Assessment Centre, Delhi, E-Ramp, Jawaharlal Nehru Stadium, Delhi-110 003

IN THE HIGH COURT OF JUDICATURE AT MADRAS THE HON'BLE MR.JUSTICE C.SARAVANAN (THROUGH VIDEO CONFERENCING) Dr.D.John Ponnudurai Educational Trust,Represented by its Trust, Mr.Vinodh Dirvaviraj,25A, St.John Matriculation Higher Secondary School,New Colony, Alwarthirunagar,Chennai-600 087. ... Petitioner Vs. 1. The Assistant Commissioner of Income Tax, National e-Assessment Centre, Delhi, E-Ramp, Jawaharlal Nehru Stadium, Delhi-110 003. 2. The Income Tax Officer, Ward-3, Chennai Income Tax Department, 121, Nungambakkam High Road, Nungambakkam, Chennai-600 034. 3. The Commissioner of Income Tax,(Exemptions), Income Tax Department, 121, Nungambakkam High Road, Nungambakkam, Chennai-600 034. ... Respondents Prayer: Writ Petition filed under Article 226 of Constitution ofIndia, for issuance of a Writ of Certiorarified Mandamus callingfor the records of the Writ Petitioner Company on the file ofthe First Respondent to quash the impugned order dated25.09.2021 passed u/s 143(3)/254 r.w.s 144B of the Act for theAssessmentYear2009-2010inITBA/AST/S/143(3)2021-2022/1035896898(1) and consequently direct the First Respondentto complete the fresh assessment for the assessment year 2009-2010 after granting reasonable/ sufficient opportunity ofhearing. For Petitioner For Respondents : Mr.A.S.Sriraman : Mrs.Hema Muralikrishnan Senior Standing Counsel ORDER Heard the learned counsel for the petitioner and the learnedSenior Standing Counsel for the respondents. 2. The petitioner has challenged the Impugned AssessmentOrder dated 25.09.2021 passed by the first respondent for theAssessment Year 2009-2010 pursuant to a demand order dated07.08.2020 of the Income Tax Appellate Tribunal in ITANo.367/Chny/2020. 3. It is the specific case of the petitioner that theImpugned Order has been passed without giving adequateopportunity to the petitioner to upload the information calledfor as to whether the petitioner is entitled for exemption underthe Income Tax Act, 1961. 4. The learned counsel for the petitioner submits that theIncome Tax Web Portal was experiencing difficulties andtherefore the petitioner was unable to upload the information tosubstantiate the exemption for which the case was remanded backby the Tribunal by its order dated 07.08.2020. 5. The learned counsel for the petitioner submits that evenon 14.09.2021, the petitioner had sent a representation to DIT(Systems) registering the inability of the petitioner toregister the DSC in the Income Tax Portal by attaching thescreen shot of the query of the petitioner. 6. It is submitted that the petitioner received a Show CauseNotice together a Draft Assessment Order on 17.09.2021, whichcalled upon the petitioner to reply and upload the requiredinformation by 20.09.2021. 7. It is submitted that the petitioner got only two daysopportunity to upload the information and that by the replydated 19.09.2021, the petitioner undertook to upload theinformation by 23.09.2021. 8. It is submitted that all through the period the IncomeTax Web Portal was experiencing technical glitches as a resultof which the petitioner was unable to upload the information. 9. It is therefore submitted that the Impugned AssessmentOrder passed on 25.09.2021 for the Assessment Year 2009-2010 isliable to be quashed and the case may be remitted back to therespondent to pass a fresh order after giving an opportunity tothe petitioner to upload the information which the petitionerundertook to justify the claim of exemption. 10. Appearing on behalf of the respondent, the learnedSenior Standing Counsel submits that the technical problemoccurred only during the month of July and August 2021 andthereafter it was resolved and therefore it is submitted thatthe objection of the petitioner, as the petitioner was unable toupload the information cannot be countenanced. 9. It is therefore submitted that the Impugned AssessmentOrder passed on 25.09.2021 for the Assessment Year 2009-2010 isliable to be quashed and the case may be remitted back to therespondent to pass a fresh order after giving an opportunity tothe petitioner to upload the information which the petitionerundertook to justify the claim of exemption. 10. Appearing on behalf of the respondent, the learnedSenior Standing Counsel submits that the technical problemoccurred only during the month of July and August 2021 andthereafter it was resolved and therefore it is submitted thatthe objection of the petitioner, as the petitioner was unable toupload the information cannot be countenanced. 11. It is further submitted that even in the affidavit filedin support of the present writ petition, the petitioner has notstated that the petitioner was unable to upload the information.The only grievance of the petitioner appears to be that theorder has been passed in a hurry without giving adequateopportunity to the petitioner. 12. The learned Senior Standing Counsel for the respondentsfurther drew attention to notice issued under Section 142(1) ofthe Income Tax Act, 1961 on 20.02.2021 and another reminderissued to the petitioner on 17.08.2021 asking the petitioner tofurnish the required information. It is therefore submitted thatthe petitioner cannot state that there has been a Violation ofPrinciples of Natural Justice. 13. It is further submitted that the dispute pertains to theAssessment Year 2009-2010 and therefore on this count also thewrit petition is liable to be dismissed. 14. The learned Senior Standing Counsel for the respondentsfurther submits that the petitioner has an alternate remedywhich is more efficacious and therefore on this count also thiswrit petition is liable to be dismissed. 15. Heard the learned counsel for the petitioner and thelearned Senior Standing Counsel for the respondents. 16. The dispute pertains to the Assessment Year 2009-2010.The Tribunal had remanded the case back by its order dated07.08.2020. As per the aforesaid order, the petitioner wasrequired to pass all contemporaneous, primary and secondaryevidence in support of his claim before the Assessing Officer topass Appropriate Orders after giving adequate opportunity to the assessee. The appeal filed by the petitioner was treated aspartly allowed for statistical purposes. 17. The order dated 07.08.2020 makes it clear that it is forthe petitioner to file all the required documents. If suchdocuments were filed by the petitioner in time, the respondentwould have been required to consider the same and passappropriate orders. Instead the petitioner has waited for therespondents to issue a Draft Assessment Order and the Show CauseNotice dated 17.09.2021. Though the Income Tax Web Portal wasexperiencing technical glitches and is stated to be thepetitioner's inability to upload the information, there are norecords to substantiate the same. 18. The impugned order has been passed after the informationcalled for by the respondent vide notice dated 20.02.2021 andthe reminder notice dated 17.08.2021 were not fully complied. 19. Though these notices were issued, nothing precluded thepetitioner earlier from sending the information pursuant to thedirection of the Tribunal dated 07.08.2021. 20. Considering the above, I do not find any merits in thisWrit Petition. Therefore this writ petition is liable to bedismissed. Liberty is however given to the petitioner to file aStatutory Appeal before the Appellate Commissioner under Section246 A of the Income Tax Act, 1961 within a period of thirty days(30) from the date of receipt of a copy of this order. If suchappeal is filed by the petitioner, the Appellate Commissionershall entertain and dispose the same in accordance with law andon merits within a period of three months from the date ofreceipt of a copy of this order. 19. Though these notices were issued, nothing precluded thepetitioner earlier from sending the information pursuant to thedirection of the Tribunal dated 07.08.2021. 20. Considering the above, I do not find any merits in thisWrit Petition. Therefore this writ petition is liable to bedismissed. Liberty is however given to the petitioner to file aStatutory Appeal before the Appellate Commissioner under Section246 A of the Income Tax Act, 1961 within a period of thirty days(30) from the date of receipt of a copy of this order. If suchappeal is filed by the petitioner, the Appellate Commissionershall entertain and dispose the same in accordance with law andon merits within a period of three months from the date ofreceipt of a copy of this order. 21. The petitioner is also given liberty to file appropriateapplication before the respondent under Section 220(6) of theIncome Tax Act, 1961 for staying the recovery of theproceedings. If indeed the petitioner had no opportunity toupload the information earlier immediately after the Tribunalpassed its order dated 07.08.2020 in the system, the respondentshall consider the same while passing appropriate orders to bepassed under the proposed application to be filed under Section220(6) of the Income Tax Act, 1961 and considered the decisionof the Hon'ble Supreme Court in L.G.Electronics Incorportion,South Korea Vs. Assistant Director of Income Tax and others, (2018) 18 SCC 447. No costs. Consequently, connected WritMiscellaneous Petitions are closed. Sd/- Assistant Registrar(CS-VII) //True Copy// Sub Assistant Registrar rgm To1. The Assistant Commissioner of Income Tax, National e-Assessment Centre, Delhi, E-Ramp, Jawaharlal Nehru Stadium, Delhi-110 003.2. The Income Tax Officer, Ward-3, Chennai Income Tax Department, 121, Nungambakkam High Road, Nungambakkam, Chennai-600 034.3. The Commissioner of Income Tax,(Exemptions), Income Tax Department, 121, Nungambakkam High Road, Nungambakkam. +1cc to Mrs.Hema Muralikrishnan, Advocate, S.R.No.6607 W.P.No.23746 of 2021 and W.M.P.Nos.25002, 25003 & 25004 of 2021 MT(CO)RLP(09/03/2022)