Wp/20936/2021 Of Sri G Satish Kumar v. The Principal Commissioner Of Income Tax

IN THE HIGH COURT OF KARNATAKA, BENGALURU DATED THIS THE 2 DAY OF DECEMBER, 2021 BEFORE THE HON'BLE MR.JUSTICE S.R.KRISHNA KUMAR);WRIT PETITION No.20936 OF 2021 (TIT) BETWEEN: SRI. G. SATISH KUMAR_SON OF GANGADHAR M.N.,AGED ABOUT 47 YEARS,RESIDINT AT NO.13, 1 CROSS,PREMME GOWDA BLOCK,J.C. NAGAR, BENGALURU-560 O06. _ PETITIONER (BY SRI GAUTAM S. BHARADW AJ,ADVOCATE) AND: 1. THE PRINCIPAL COMMISSIONER OF INCOME TAX,3 FLOOR, CENTRAL REVENUE BUILDING,QUEENS ROAD, BENGALURU-560 0071. 2. THE DEPUTY COMMISSIONER OF INCOME TAX,CENTRAL CIRCLE-2(1), BENGALURU-560 001.. RESPONDENTS (BY SRI K.V.ARAVIND, ADVOCATE) | THIS W.P. IS. FILED UNDER ARTICLES 226 AND 227.OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THEIMPUGNED ORDER DATED 27.09.2021 PASSED BY THEDEPUTY COMMISSIONER OF INCOME TAX CENTRALCIRCLE.ANNEXED.AS|ANNEXURE-AAND,THECONSEQUENTIAL DEMAND NOTICE DATED 27.09.2021|PRODUCED AS ANNEXURE-B AND NOTICES DATED2?/.09.2021 PRODUCED AS ANNEXURE-C AND NOTICEDATED 28.09.2021 PRODUCED AS ANNEXURE-D. | THIS W.P. COMING ON FOR PRELIMINARY HEARING.IN B GROUP, THIS DAY, THE COURT MADE THEFOLLOWING:- ORDER In this petition, the petitioner seeks quashing of theimpugned order at Annexure-A dated 27.09.2021 and the|consequential demand notice atAnnexure-B~ dated2/09.2021 and notices at Annexures-C and D aated.2/.09.2021 and 28.09.2021, respectively. |Heard learned counsel for the petitioner,learned counsel for the respondent and perused the!material on record. 3.|In.aadaitiontoreiteratingtnevariouscontentions urged in the petition and referring to the|documents produced by the petitioner, learned counsel for|the petitioner invites my attention to the notice Issued by|respondent No.2 under Section 142(1) of the Income Tax|Act, 1961 dated 09.09.2021 in order to contend that onaccount of the serious tIIhesses and ailments viz., liver andbrain tumor of his wife, wno was undergoing treatment for|tnesald|ailments,thepetitionerappearedbeforerespondent No.2 and requested him to grant reasonable|time of 30 days to submit the books of accounts and other| documents in answer to the aforesaid notice. It Is the.grievance of the petitioner that his inability and omission to produce the documents, books of accounts etc., in|response to the aforesaid notice dated 09.09.2021 was on|account of bonafide reasons, unavoidable circumstances|and sufficient cause and consequently, he was not In a|position to produce the said documents prior to 27.09.2021,on which day respondent No.2 proceeded to pass the|impugnedorderandissued|consequential|notice,aggrieved by which the petitioner is before this Court by|way of the present petition. It Is also submitted that If an|opportunity is granted, even on the merits of nis claim, the|petitioner will place sufficient material and also produce|adaitional material to substantiate nis claim/detence before|respondent No.2, if an opportunity is given to the petitioner|to produce the same by setting aside the orders and_notices and remit the matter back to respondent No.2. A |Per.contra,learnedcounsel|for.tnerespondents submitted that sufficient opportunity had|already been granted in favour of the petitioner, who did not| avail the same and as sucn, there is no merit in the petitionand the same Its liable to be dismissed. A |Per.contra,learnedcounsel|for.tnerespondents submitted that sufficient opportunity had|already been granted in favour of the petitioner, who did not| avail the same and as sucn, there is no merit in the petitionand the same Its liable to be dismissed. 5 |Though several contentions nave been urged|by the petitioner on merits and on the ground of violation of|principles of natural justice, it is relevant to state that at|paragraph 5 of the Memorandum of Petition, the petitioner|has specifically stated that his wife is suffering from liver|and brain tumor and was undergoing treatment and|consequently, pursuant to the notice dated 09.09.2021|passed under Section 142(1) of the IIT Act, the petitionerappeared before respondent No.2 and requested granting|of 30 days time to submit the books of accounts and other|documents. In view of the specific assertion of the|petitioner, | am of the considered opinion that in the interest|of justice, it is just and proper to set aside the impugned|order and notices and remit the matter back to respondent|No.1 by providing one more opportunity to the petitioner to produce the books of accounts and other documents in|support of his claims/defences. Under these circumstances,without expressing any opinion on the merits of the claim of| the petitioner, | deem it just and proper to set aside the|impugned order and notices and remit the matter back to|respondent No.2 for re-consideration afresh, in accordance|with law. 6.In the result, | pass the following: ORDER (i)The petition is hereby|allowed (il)Tneimpugnedorderbearing| No.ITBA/AS T/M/153A/2021-22/103594111(1) dated 2/.09.2021 at Annexure-A and the consequentialdemand notice bearing No.ITBA/AS T/M/153A/202122/1035944151(1) dated 27.09.2021 at Annexure-Band notices bearing Nos.IlTBA/PNL/S/271-F/202122/1035946/56(1)andITBA/PNL/S/271-(1)(C )/2021-22/1035961861(1) at Annexures-C and Ddated 27.09.2021 and 28.09.2021 respectively,passed by respondent No.2 are hereby set aside. (lil)The matter is remitted back to respondent No.2 forreconsideration afresh after providing one moreopportunitytO the.petitioner{Oofilenisreconsideration afresh after providing one moreopportunitytO the.petitioner{Oofilenis defence/objectionsand|{fosubstantiatenis claim/defence by producing the books of accounts,documents etc., before respondent No.z. (Iv)The!petitionerundertakesto|AaAPPEabeforerespondent No.2 on 10.01.2022 without awaitingfurther notice from respondent No.zZ.respondent No.2 on 10.01.2022 without awaitingfurther notice from respondent No.zZ. (Vv)All rival contentions on merits/demerits are kept open and no opinion is expressed on the same. SD/- JUDGE BmMm