Wp/12685/2023 Of Narender Reddy Racharla v. The Income Tax Officer

HIGH COURT FOR THE STATE OF TELANGANAAT HYDERABAD(Special Original Jurisdiction) FRIDAY, THE THIRD DAY OF NOVEMBERTWO THOUSAND AND TWENTY THREE PRESENT THE HONOURABLE SRI JUSTICE P.SAM KOSHYANDTHE HONOURABLE SRI JUSTICE N.TUKARAMJIWRIT PETITION NO: 12685 OF 2023 Between: Narender Reddy Racharla, S/o. R. Mahiyal Reddy, Age 53 years, H.No.C1213, C Block, SBSV lnfra Avatar, R.C. Puram, Hyderabad - 5O2O32. ...PETITIONER AND 1. The lncome Tax Officer, Ward 1, Veerabhadra Nagar, New Bus Stand,Sangareddy, Telangana.Sangareddy, Telangana. 2. The Principal Chief Commissioner of lncome Tax, AP and TS, 1Oth Floor, C-Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004.Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004. ...RESPONDENTS Petition under Article 226 of the Constitution of lndia praying that in thecircumstances stated in the affidavit filed therewith, the High Court may be may bepleased to amend to issue a writ, order or direction, more particularly one in thenature of Writ of Mandamus, declaring the impugned Order U/s. 148A (d) of theAct, dated 30.03.2023, passed by the 1st respondent for A.Y. 2016-17, videDocument ldentification No. (DlN) ITBA/AST/F/148N2O22-231'1O51684767(1), aswell as lhe notice issued U/s. 148 of the Act, vide Document ldentification No.(DlN) ITBA/ASTlsl148_112022-2311051685123(1), as void, illegal, and contrary tothe Provisions of lncome-tax Act and contrary to the Principles of Natural Justice,and consequently set-aside/quash the same. (Prayer is amended as per Court Order dated 03.11.2023 Vide lA.No.2 of 2O23 inWP.No.12685 oI 2023\ IA NO: 1 0F 2023 Petition under section [151 ] [praying ][that ][an ][the ][circumstances ][stated ][in]the affidavit [filed ][in ][support ][of ][the ][petition, ][the ][High ][court ][may ][be ][pleased to ][stay]all further [proceedings ][pursuant to ][the ][impugned ][order ][u/s ][14BA(d) ][of ][the ][Act, dt.]30.03.2023, [passed ][by ][the ][1st ][respondent ][for ][A'Y' ][2016-17, ][vide ][Document]tdentification No.(DlN) [ITBA/AST/F/148A12022-2311O51684767(1), ][and may ][pass]such other orde(s) [as ][the ][Hon'ble ][court ][deems ][fit ][and ][proper ][in the ][irlterests ][of]substantial .iustice, [as ][otherwise the ][Petitioner would ][be ][put ][to irreparable ][loss ][and]severe rnlury lA NO: 3 OF 2023 Between: 1. The lncome Tax Officer, [Ward ][1, ][Veerabhadra Nagar, ][New ][Bus Stand,]Sangareddy, Telangana.Sangareddy, Telangana. Sangareddy, Telangana.r - - irtpFrincin'jl Chief-Commissioner of lncome iOtt fboilC-Block, Chief-Commissioner of lncome l.T. Towers, [[Tax, ] [and ][TS, ][Hyderabad]] r - - irtpFrincin'jl Chief-Commissioner of lncome iOtt fboilC-Block, Chief-Commissioner of lncome l.T. Towers, 10-2-3, A.C. lncome [[Tax, ] [and ][TS, ][Hyderabad]]Guards' [ [and ][TS, ][Hyderabad]][[and ][TS, ][Hyderabad]]Hyderabad-tioo0o4'[[TS, ][Hyderabad]][[Hyderabad]] ...PETITIONERS/RESPONDENTS [1 ][& ][2] AND Narender Reddy [Racharla, ][S/o. ] [Mahiyal ][Redd.y, ][Agq ][5-3 ][ye'ars' H'No']CniC, c Block, SBSV [lnfra ][Avatar, R.C. Puram, Hyderabad - ][502ct32'] ...RESPONDENT/WRIT [PETITlONER] Petition under section [151 ] [praying ][that in ][the circumslances ][stated in]the affidavit filed [in ][support ][of ][the ][petition, ][the High ][court ][may be ][pleased ][to]vacate the interim [order ][passed ][in ][w.P. ][No. ][12685 ][of ][2023, ][dated ][28.04.2023 ][and]dismiss the writ [petition ][filed ][by ][the ][writ ][Petitioner in ][the ][interest of Justice.] Counsel for the Petitioner: counsel forthe Respondents: [M/s. SUNDARI ] [PISUPATI, SR.SC FOR ] TAX OEPARTMENT The Court made the [following: ] THE HON'BLE [P'SAM ] AND THE [HON,BLE ] [JI'STICE ][N'TUKARAMJI] ...RESPONDENT/WRIT [PETITlONER] Petition under section [151 ] [praying ][that in ][the circumslances ][stated in]the affidavit filed [in ][support ][of ][the ][petition, ][the High ][court ][may be ][pleased ][to]vacate the interim [order ][passed ][in ][w.P. ][No. ][12685 ][of ][2023, ][dated ][28.04.2023 ][and]dismiss the writ [petition ][filed ][by ][the ][writ ][Petitioner in ][the ][interest of Justice.] Counsel for the Petitioner: counsel forthe Respondents: [M/s. SUNDARI ] [PISUPATI, SR.SC FOR ] TAX OEPARTMENT The Court made the [following: ] THE HON'BLE [P'SAM ] AND THE [HON,BLE ] [JI'STICE ][N'TUKARAMJI] W.P. N[o. ] [685][ of][ 2023] ORDER:1pet [ao ][n'ble ][Si ][Justrce ][P'sAlI ][KosElI)] FleardMr.DunduManmohan,learnedcounselforthepetitionerand [Ms. ][Sundari ][R' ][Pisupathi' learned ][Senior Standing Counsel ][for]Income [Tax ][appearing ][for ][the respondents' ][Perused ][the ][entire ][record']2. The instant [petition ][has ][been ][hled ][challenging ][the Assessment]Order [passed by ][respondent ][No'1 ][under ][section ][148A(d) ][of ][the ][Income]Tax Act, [1961 (hereinafter ][referred ][to ][as ]["the ][Act") dated 30 ]['O3 ]['2023]for the [Assessment ][Year 2016'17 ]['] One of of [the ][contentions ][that ][the ][petitioner has ][raised ][in ][the] 3. One of of present [writ ][petition ][is that ][under the ][amended ][provisions ][of ][the ][Act]which [came ][into ][effect ][from ][01'04'2021' ][the ][respondents ][while]148 of [the ][Act were required ][to ][issue ][notice]proceeding [under ][Section]provide [an ][opportunity of hearing ][to ][the]under [Secdon ][148A and]nded [provision of ][law, ][the ][proceedings ][to ][be]assessee. [As ]Per [the ][ame]drawn [are ][also ][in ][a ][faceless ][manner' ][Whereas' ][it ][has been contended]the [petitioner that ][in ][the ][instant ][case' ][reopening ][has ][been ][initiated]by the [Juridictional ][Assessing ][Offrcer' ][In ][respect ][of ][the ][said ][objection]by that the [petitioner had raised' ][he ][relied ][upon ][the recent ][batch ][of ][writ]14.O9.2Cl23 [vide]very [Bench ][on]petitions [decided ][bY ][this]tch to [the ][limited ][extent]W.P.No.259O3 [of][ 202][2an] i I 4Learned counsel for the [Departmcnt ][u'ould ][not ][disl:ute ][of]having decided the said objection in thc [aforesaid ][batch ][rnatters-]However, Iearnecl counsel submits [that ][apart ][from ][the ][albresaid]objection, there have been other [various ][objections ][also ][which ][the]peLitioner has raised in the writ petition.having decided the said objection in thc [aforesaid ][batch ][rnatters-]However, Iearnecl counsel submits [that ][apart ][from ][the ][albresaid]objection, there have been other [various ][objections ][also ][which ][the]peLitioner has raised in the writ petition. 5. So far as this contention of the learned counsel for [the]Department is concerned, this Bench, while disposing [of]W.P.No.259O3 of 2022 and batch had taken note of the siame [in]paragraph Nos.37 & 38 which is reproduced herein under: "37. The preliminary objection raised by the Petitioner [is]sustained and all these writ [petrtions stands allowed ]on this [very]jurisdictiorurl issue. Since the impugned notices and orders aregetting quashed on the point o[jurisdiction, we are not inclined toproceed further and decide the other issucs raised by thepetitioner which stands reserved to be raised and contended in anappropriate proceedings." 5. So far as this contention of the learned counsel for [the]Department is concerned, this Bench, while disposing [of]W.P.No.259O3 of 2022 and batch had taken note of the siame [in]paragraph Nos.37 & 38 which is reproduced herein under: "37. The preliminary objection raised by the Petitioner [is]sustained and all these writ [petrtions stands allowed ]on this [very]jurisdictiorurl issue. Since the impugned notices and orders aregetting quashed on the point o[jurisdiction, we are not inclined toproceed further and decide the other issucs raised by thepetitioner which stands reserved to be raised and contended in anappropriate proceedings." 38. Since the Honble Supreme Court [had, ]in [the case ]of [Ashish]Agarwal, supral as a one-time measure exercising the [powers]under Article 142 of lhe Constitution of India, [permitted ][the]Revenue to proceed under the substituted provisions, and this,Court allowrng the petitions only on the [procedural ]flaw, the righlconferred on the Revenue ilould remain resened to [proceed]further if they so n'ant from the stage of tlle order of the Supremt'Court in lhc case of Ashish Agaru,al, supra. 6. In view of the same, we are inclined to allow the present writpetition also on similar terms. Accordingly, the present Writ Petitionstands allowed on the objection of the petitioner that the pror:eedingshave not been drawn in accordance with the amended provi:;ion butunder the unamended provision which is otherwise not susl.ainable [.]As has been held by this Bench in the aloresaid batch [matr]ers, ][the] right of the respondcnts would stand reserved as is envisaged inparagraph Nos.3T & 38 ol thc said batch, No order as to costs. 7. Consequently, miscellaneous petitions pending, if any, shall stand closed. SD/.MOHD.SANAULLAH ANFARI ./ASSISTANT REGITRAR /.rY'SECTION OFFICER //TRUE COPYT, To 1.The lncome Tax Officer, Ward 1, Veerabhadra Nagar, New Bus Stand,Sangareddy, Telangana.Sangareddy, Telangana.2.The Principal Chief Commissioner of lncome Tax, AP and TS, 1Oth Floor, C-Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004.Block, l.T. Towers, 10-2-3, A.C. Guards, Hyderabad-500004.3.One CC to SRI DUNDU AiIANMOHAN, Advocale IOPUCI4.One CC to M/s. SUNDARI R PISUPATI, SR.SC FOR INCOME TAXDEPARTMENT 4.One CC to M/s. SUNDARI R PISUPATI, SR.SC FOR INCOME TAXDEPARTMENT 5.Two CD CopiesPSK.BSBS a5 HIGH COURT DATED:0311112023 ORDERWP.No.12685 of [2023] ALLOWING THE WRIT WITHOUT COSTS. .\ttrp(sA.v 1[\46 ][srA][ 16,](eJvco0 6 [I]E[ ][2023]o*Og s p41CB[s$][ *]