Wp/15191/2023 Of Shri Chinnaiah v. Income-Tax Officer

Digitally signedby VIDYA G RLocation: HighCourt ofKarnataka -1- NC: 2023:KHC:26006WP No. 15191 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURUDATED THIS THE 26 DAY OF JULY, 20235 BEFORETHE HON'BLE MR JUSTICE S SUNIL DUTT YADAV'WRIT PETITION NO. 15191 OF 2023 (TIT) BETWEEN: SHRI. CHINNAIABH,S/O. BADAKAPPA,AGED ABOUT 53 YEARS,|OCCUPATION: AGRICULTURE, R/O 78, BELTHUR NEAR SBI BANK,RADUGODI POST,|BENGALURU EAST,|BENGALURU - 560 O6/.PAN: APRPC/190KPETITIONER (BY SRI, BALACHANDRAN B.S., ADVOCATE) AND: 1.INCOME-TAX OFFICER,WARD 6(3)(1),BMTC BUILDING,80 FI. ROAD,|KORAMANGALA,BENGALURU - 560 O95. 2.THE PRINCIPAL COMMISSIONER OF INCOME TAX, BENGALURU - 6,BMTC BUILDING,8O FI. ROAD,|KORAMANGALA, -).- NC: 2023:KHC:26006WP No. 15191 of 2023 BENGALURU - 560 095.. (BY SRI. M. DILIP, ADVOCATE)| RESPONDENTS THIS W.P IS FILED UNDER ARTICLES 22726 AND 2277 THE CONSTITUTION OF INDIA PRAYING TO-QUASH_ THEFOLLOWING ANNEXURE-L - IMPUGNED ASSESSMENT ORDER|DATED 30/03/2023 PASSED BY THE R-1 U/S 147 R/W SEC 144OF THE IT ACT FOR THE AY 2015-16 IN DIN AND ORDER NO.ITBA/AST/S/147/2022-23/1051624929(1)ANNEXURE-L1-IMPUGNED COMPUTATION SHEET DATED 30/03/2023 PASSED|BY THE R-1 U/S 14/7 R/W SEC 144 OF THE IT ACT FOR THE AY2015-16 IN DIN AND DOCUMENT NO. ITBA/AST/S/114/2022-23/1051624954(1) AND ETC., THIS PETITION, COMING ON FOR ORDERS, THIS DAY,THE COURT MADE THE FOLLOWING: ORDER The petitioner has challenged the assessment order|al Annexure-L|passedbyrespondent.No.1|dated30.03.2023, the computation sheet at Annexure-Ll1,impugned demand notice at Annexure-L2 and penalty|notice at Annexure-L3. 2. Learned counsel for the petitioner submits that,|the notice under 148A(b) of the Income Tax Act, 1961 -3- NC: 2023:KHC:26006WP No. 15191 of 2023 (for short ‘the Act) at Annexure-A suffers from legalinfirmity insofar as notice was issued on 23.02.2022calling upon the petitioner to reply by 29.03.2022. It issubmitted that the time of six days granted is contrary tothe|mandateunder|Section148A(b)OF the|Act.Accordingly, it is submitted that the notice being defective,all consequential proceedings are required to be set aside. 3. Heard the learned counsel for the petitioner and|the learned counsel for the respondents. 4. Section 148A(b) of the Act reads as follows: “L48A,The Assessing Officer snall, |before issuing any notice under section148,-. (a) XXX. (Db) provide an opportunity of.being heard to the assessee, 69/***/ byserving upon nim a notice to snow cause.witnin sucn time, as may be specified inthe notice, being not less than seven.days and but not exceeding thirty daysfrom tne date on whicn sucn notice Is -4.- NC: 2023:KHC:26006WP No. 15191 of 2023 issued, or such time, as may beextended by him on the basis of anapplication in tnis behalf, as to wny anotice under section 148 should not beissued on the basis of information whichsuggests that income chargeable to taxnas escaped assessment in his case forthe relevant assessment year and resultsof enguiry conducted, if any, as perclause(a). | 5. The statutory mandate is that notice cannot be.less than seven days and that is clear from the provisions|itself. In the present case, Annexure-A on the pase of itnas to be set aside only on the ground that, the time|granted for replying to the notice issued under Section148A(b) was four days as notice is dated 21.03.2022 and|the reply was to be made out by 25.03.2022. 6. In light of the same, as a defective notice would|vitiate the entirety of the proceedings though subsequentproceedings have culminated in passing of an assessment.order, the notice issued under Section 148A(b) of the Actis however preserved while directing that the respondent -5- 5. The statutory mandate is that notice cannot be.less than seven days and that is clear from the provisions|itself. In the present case, Annexure-A on the pase of itnas to be set aside only on the ground that, the time|granted for replying to the notice issued under Section148A(b) was four days as notice is dated 21.03.2022 and|the reply was to be made out by 25.03.2022. 6. In light of the same, as a defective notice would|vitiate the entirety of the proceedings though subsequentproceedings have culminated in passing of an assessment.order, the notice issued under Section 148A(b) of the Actis however preserved while directing that the respondent -5- give an extended time period for its reply. Considering thetime spent before this court, it could be taken that thepetitioner is now in a position to make out a reply to the.notice issued under Section 148A(b) of the Act by fixing|the appropriate date in that regard. | 7. Accordingly, the petition is.disposed off. 8.The|ordersal Annexure-L, Annexure-L1,Annexure-L2 and Annexure-L3 are set aside. The matterIsrelegated to the stage of reply to the notice under Section|148A(b). The petitioner to make out a reply to the notice|under Section 148A(b) within a period of four weeks from.the date of receipt of certified copy of this order. 9. All contentions are kept open. Sd/-|JUDGE| CH|List No.: 1 SI No.: 32CT: THK