Wp/2245/2025 Of Srs Shelters v. Income Tax Officer

Digitally signedbyMARIGANGAIAHPREMAKUMARILocation: HIGHCOURT OFKARNATAKA IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 5 DAY OF FEBRUARY, 2025 BEFORE THE HON'BLE MR JUSTICE S.G.PANDIT -WRIT PETITION NO. 2245 OF 2025 (TIT) C/W -WRIT PETITION NO. 2367 OF 2025 (TIT) IN WP No. 2245/2025 BETWEEN: S R S SHELTERS, A PARTNERSHIP FIRM REGISTERED UNDER INDIAN PARTNERSHIP ACT 1932, NO.5/6 AND 5/7, HALEHALLI VILLAGE, KITHAGANNUR ROAD, BIDARAHALLI HOBLI, BANGALORE EAST-560 049, PAN. . REPRESENTED BY ITS PARTNER, SRI. VUPPALA SRINIVAS REDDY, AGED 59 YEARS, S/O V VENKAT REDDY, NO.5/6 AND 5/7, HALEHALLI VILLAGE, KITHAGANNUR ROAD, BIDARAHALLI HOBLI, BANGALORE EAST-560 049 …PETITIONER (BY SRI. RAVI SHANKAR S.V., ADVOCATE) AND: 1. INCOME TAX OFFICER, WARD - 4(2)(1), BANGALORE - 560 095. WARD - 4(2)(1), BANGALORE - 560 095. 2. NATIONAL FACELESS ASSESSMENT CENTRE, ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/ INCOME TAX OFFICER, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE, ROOM NO. 401, 2 FLOOR, E-RAMP, JAWAHARLAL NEHRU STADIUM, DELHI 110 003. 3. THE PRINCIPAL COMMISSIONER OF INCOME TAX - 2,THE OFFICE OF THE PRINCIPAL COMMISSIONER OF INCOME TAX - 2, BMTC BUILDING, KORAMANGALA BANGALORE - 560 095 …RESPONDENTS (BY SRI. E.I. SANMATHI AND SRI. M. DILIP, ADVOCATES) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE NOTICE UNDER SECTION 148A(b) OF THE ACT, DATED. 04.03.2023 BEARING DIN NO. ITBA/AST/F/148A(SCN)/2022-23/1050411478(1) ISSUED BY THE R-1 FOR THE ASSESSMENT YEAR 2019-20 HEREIN MARKED AS ANNEXURE-A AND ETC. IN WP NO. 2367/2025 BETWEEN: 1. S R S SHELTERS, A PARTNERSHIP FIRM REGISTERED UNDER INDIAN PARTNERSHIP ACT 1932, NO.5/6 AND 5/7, HALEHALLI VILLAGE, KITHAGANNUR ROAD, BIDARAHALLI HOBLI, BANGALORE EAST-560 049, PAN. . REPRESENTED BY ITS PARTNER, SRI. VUPPALA SRINIVAS REDDY, AGED 59 YEARS, S/O V VENKAT REDDY, NO.5/6 AND 5/7, HALEHALLI VILLAGE, KITHAGANNUR ROAD, BIDARAHALLI HOBLI, BANGALORE EAST-560 049 ...PETITIONER (BY SRI. RAVI SHANKAR S V, ADVOCATE) AND: 1. INCOME T AX OFFICER WARD 4(2)(1), BANGALORE - 560 095 WARD 4(2)(1), BANGALORE - 560 095 2. INCOME TAX OFFICER, WARD 4(3)(3), BANGALORE 560 095 WARD 4(3)(3), BANGALORE 560 095 3. NATIONAL FACELESS ASSESSMENT CENTRE, ADDITIONAL/JOINT/DEPUTY/ASSISTANT ADDITIONAL/JOINT/DEPUTY/ASSISTANT NC: 2025:KHC:5299 COMMISSIONER OF INCOME TAX/ INCOME TAX OFFICER, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE, ROOM NO. 401, 2 FLOOR, E-RAMP, JAWAHARLAL NEHRU STADIUM, DELHI - 10 003. 4. THE PRINCIPAL COMMISSIONER OF INCOME TAX - 2, THE OFFICE OF THE PRINCIPAL COMMISSIONER OF INCOME TAX - 2, BMTC BUILDING, KORAMANGALA BANGALORE - 560 095 THE OFFICE OF THE PRINCIPAL COMMISSIONER OF INCOME TAX - 2, BMTC BUILDING, KORAMANGALA BANGALORE - 560 095 ...RESPONDENTS (BY SRI. E.I. SANMATHI AND SRI. M. DILIP, ADVOCATES) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO I) QUASH THE NOTICE UNDER SECTION 148A(B) OF THE ACT, DATED 17/03/2022 BEARING DIN NO.ITBA/AST/F/148A(SCN)/2021-22/1040977536(1), ISSUED BY THE RESPONDENT NO.2 FOR THE ASSESSMENT YEAR 2018-19 HEREIN MARKED AS ANNEXURE - A AND ETC. THESE PETITIONS, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.G.PANDIT NC: 2025:KHC:5299WP No. 2245 of 2025C/W WP No. 2367 of 2025 COMMON ORAL ORDER 1. Both the above petitions relate to the same petitioner and for assessment years 2018-2019 and 2019-2020 respectively. Both the petitions are taken up together and disposed of by this common order. (BY SRI. E.I. SANMATHI AND SRI. M. DILIP, ADVOCATES) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO I) QUASH THE NOTICE UNDER SECTION 148A(B) OF THE ACT, DATED 17/03/2022 BEARING DIN NO.ITBA/AST/F/148A(SCN)/2021-22/1040977536(1), ISSUED BY THE RESPONDENT NO.2 FOR THE ASSESSMENT YEAR 2018-19 HEREIN MARKED AS ANNEXURE - A AND ETC. THESE PETITIONS, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.G.PANDIT NC: 2025:KHC:5299WP No. 2245 of 2025C/W WP No. 2367 of 2025 COMMON ORAL ORDER 1. Both the above petitions relate to the same petitioner and for assessment years 2018-2019 and 2019-2020 respectively. Both the petitions are taken up together and disposed of by this common order. 2. Petitioner a partnership firm is before this Court under Article 226 of the Constitution of India, questioning the order passed under Section 148A(b) of the Income Tax Act, 1961 (for short 'the Act') and notice issued under Section 148 of the Act and also the order passed under Sections 147 r/w 144, 144B of the Act along with the order of penalty. 3. Heard learned counsel Sri Ravi Shankar S.V. for the petitioner and learned counsel Sri E.I. Sanmathi, for the respondents/revenue. 4. Learned counsel for the petitioner would submit that the petitioner/Partnership firm consists of three partners and one of the partner is before this Court praying for an opportunity to participate in the proceedings initiated by NC: 2025:KHC:5299WP No. 2245 of 2025C/W WP No. 2367 of 2025 issuance of notice under Section 148A(b) of the Act. Learned counsel would submit that the petitioner/firm could not participate in the proceedings on issuance of notice under Section 148A(b) of the Act, due to internal dispute of the partners. However, he submits that the firm through the partner, who is before this Court intends to clear the liability and the partner, who is before this Court undertakes to participate in assessment proceedings and also undertakes to file documents on behalf of the firm. Learned counsel would submit that in that regard, the affidavit of one of the Partners i.e.,Sri Vuppala Srinivas Reddy is filed. Learned counsel would submit that the order passed under Section 148A(d) and subsequent penalty order is ex-parte order as the petitioner had no opportunity, in view of their default. It is prayed for an opportunity to participate in the proceedings and thereafter, it is prayed to pass an order in accordance with law. 5. On the other hand, Learned counsel for the respondent/revenue would submit that this is not a case of NC: 2025:KHC:5299WP No. 2245 of 2025C/W WP No. 2367 of 2025 not receiving notices, but they could not participate in the proceedings due to their internal dispute. Learned counsel Sri Sanmathi, would further submit that though the order is an ex-parte order, the petitioner cannot be given an opportunity without their being any condition. Thus he prays for passing appropriate order in the matter. 6. Having heard the learned counsels for the parties and on perusal of the entire writ petition papers, I am of the view, that the petitioner/firm represented by one of the partner Sri Vuppala Srinivas Reddy ought to be given an opportunity to file objection to notice issued under Section 148A(b) of the Act and to participate in the proceedings. No doubt the notices issued by the respondent/authority under Section 148A(b) of the Act was served on the firm and firm failed to appear before the respondent/authority, for their non-appearance, the partners of the firm themselves are responsible. Since substantial right of the petitioner is involved and the order passed against the firm is exparte order, I deem it appropriate to provide an opportunity to the petitioner-Sri Vuppala Srinivas Reddy to file objection and participate in the proceedings. Hence the following :- ORDER a. Both the above writ petitions are allowed in part. file objection and participate in the proceedings. Hence the following :- ORDER a. Both the above writ petitions are allowed in part. b. Annexures A1 to A5 in both the above petitions are quashed and the matters are remanded to the stage of filing objection to Annexure-A Notice issued under clause (b) of Section 148A of the Act. c. Three weeks time granted to the petitioner to file objection to the notice at Annexure-B dated 04.03.2023. d. The petitioner shall appear before the 1[st] respondent on 06.03.2025 and the respondent shall proceed in accordance with law. Sd/- (S.G.PANDIT) JUDGE NG List No.: 1 Sl No.: 42 CT:SNN