Wp/35753/2024 Of Shaik Karimunnisa v. The Principal Chief Commissioner Of Income Tax

[ [34461] HIGH COURT FOR THE STATE OF TELANGANAAT HYDERABAD(Speciat Original Jurisdiction) MONDAY, THE TWENTY SEVENTH DAY OF JANUARYTWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE THE ACTING CHIEF JUSTICE SUJOY PAULAND THE HONOURABLE SMT JUSTICE RENUKA YARA WRIT PETITION NO:35 753 0F 2024 Between: 9lrg![5gr!!,]"nisa, [D/o. gattar, ][Aged ][about. ]4t [years, ]Occ. [private, ]R/o.H.No.8_2_3031IB2|N435A, Ptot No.374, Jubir6e Hiils, noao.rio.i,-snjt pet, HvJ"ra!"J0. [''-'] .....PETITIONER AND t. The Pring]Oal Chief Commislioner of lncome Tax, Ap and TS, 1Oth Floor, CBlock lT Towers, 1023, AC Guards, Hyderabad, ietingJna.-'Block lT Towers, 1023, AC Guards, Hyderabad, ietingJna.-' 2. Tax Recovery Officer-1 , O/o pClT-.l, Hyderabad. 3. The Assistant Commissioner of lncome Tax, Circle 6 (1), Hyderabad,Telangana.The Assistant Commissioner of lncome Tax, Circle 6 (1), Hyderabad,Telangana. 4. The Assistant Commissioner of lncome Tax, Circle 14 (,1 ), Hyderabad,Telangana.The Assistant Commissioner of lncome Tax, Circle 14 (,1 ), Hyderabad,Telangana. .....RESPONDENTS Petition Under Article 226 of rhe constitution of lndia praying that in thecircumstances stated in the affidavit filed therewith, the High court may bepleased to issue appropriate writ, direction order or orders, more particularly onein the nature of writ of Mandamus declaring the action of Respondent.No.2 inissuing the impugned Notice issued uts 226(3) on d1.05.03.2024 directing theBank Manager, Central Bank of lndia to pay an amount of Rs.1,74,34 ,8221_ andseizing multiple bank accounts of the petitioner and subsequent order ofattachment of Petitioners immovable property in FoRM.No.l.T.c.p.16 ond1.26.11.2024 prohibiting and restraining the petitioner from performing. any l transactions pertaining to the property of the petitioner without providing therelevant documents necessary rerating to the impugned orders inspite ofrelevant documents necessary rerating to the impugned orders inspite ofPetitioners representation dt.10.12.2024 submitted to Respondent.No.2 & 3,without following due process of raw contemprated under provisions of secondSchedule of lncome-TaxAct 1 96 1 as well as lncome Tax (CertificateProceed in g s )Ru les, 1962and different provisions pertaining to recoverwithout following due process of raw contemprated under provisions of secondSchedule of lncome-TaxAct 1 96 1 as well as lncome Tax (CertificateProceed in g s )Ru les, 1962and different provisions pertaining to recoverproceedings contemplatedunder lncome-Tax Act 1961 as illegal, arbitrary,against principres of naturar justice and in violation of petitioners right guaranteedagainst principres of naturar justice and in violation of petitioners right guaranteedunder Art 14, 19 and 265 of the Constitution of lndia and consequenfly set asidethe same and consequenfly set asidethe same l.A.NO:1 OF 2024 Petition Under Section 151 cpc praying that in the circumstances stated inthe affidavit filed in support of the petition, the High Court may be pleased tosuspend the impugned Notice issued uts 226(3) on d1.05.03.2024 directing theBank Manager, Central Bank of lndia to pay an amount of Rs.1,74,34 ,822t_ andorders seizing murtipre bank accounts of the petitioner and subsequent order ofattachment of [petitioners ]immovable property in FORM.NO. I.T.C.p.16 ondt.26.11.2024 pending disposal of the main writ petition. Counsel for the [petitioner ]: SRI SIRIPURAM KESHAVA 91yf:Lf:lltr. [Respondents ][: ][Ms. ][B.SApNA ][REDDY, ]JUNTOR STANDTNGCOUNSEL FOR INCOME TAX DEPARTMEU TONENI J.V.PRASAD, SEN,OR SCFOR INCOME TAX DEPARTMENT The Court made the following ORDER THE HON'BLE THE ACTING CHIEF JUSTICE SUJOY PAULAND THE HON'BLE SMT. JUSTICE RENUKA YARAItrRIT PETITION No.35753 of 2024 ORDER (Per the Hon'ble the Acttng Chief Justice Sujog Paul) Counsel for the [petitioner ]: SRI SIRIPURAM KESHAVA 91yf:Lf:lltr. [Respondents ][: ][Ms. ][B.SApNA ][REDDY, ]JUNTOR STANDTNGCOUNSEL FOR INCOME TAX DEPARTMEU TONENI J.V.PRASAD, SEN,OR SCFOR INCOME TAX DEPARTMENT The Court made the following ORDER THE HON'BLE THE ACTING CHIEF JUSTICE SUJOY PAULAND THE HON'BLE SMT. JUSTICE RENUKA YARAItrRIT PETITION No.35753 of 2024 ORDER (Per the Hon'ble the Acttng Chief Justice Sujog Paul) Sri Siripuram Keshava, Iearned counsel for the petitionerand Ms.B.Sapna Reddy, learned Junior Standing Counsel forIncome Tax Department appears for Sri J.V.Prasad, learnedSenior Standing Counsel for Income Tax Department, forrespondents. 2. With the consent, finally heard 3. During the course of hearing, it is pointed out that theForm No.l.T.C.P. 16, dated 26.11.2024,IS cryptic and notinconsonance with Rules 2 and 3 of the Second Schedule ofProcedure for Recovery of Tax under the Income Tax Act, 1961(for short "the Act"). Similarly, learned counsel for the petitionerplaced reliance on the document dated 13.O3.2024,(Annexure P.2), wherein it is mentioned that notices servedthrough speed post have been unserved and returned. Thus, itis submitted that statutory certificate under Form ITCP- 1 isdefective and cryptic in nature and therefore, even assumingthat there was any service through E-mail will not serve any purpose and the respondents [may ]be directed to furnish [a]proper Form [1 ][and ][proceed ][in ][accordance ][with ][law.] 4. karned Junior [Standing Counsel ]for [Income ][Tax]Department [opposed ][the ][prayer ][and ][submits ][that ][although,]in the Form [ITCP.No.1 ][dated 26.10.2022 (Annexure ][P.8), ][the]certificate [number ][is ][not ][mentioned, ][it ][can ][be ][gathered ][from ][the]document in [Form ][No.I.T.C.P. ][16, ][dated ][26.1I.2024 ][(Annexure]P.1). 5. We have [heard the parties ]at length on this aspect. 6. Rules 2 and 3 of the [procedure ]mentioned in the SecondSchedule [of ][Procedure ][for ][Recovery of ][Tax ]under [the ]Act [makes]it clear about the manner in which the certificate is to bedrawn-up. [If ][the ][certifrcate ]is [tested ]on the anvil of statutoryRules 2 and 3 [of the ][procedure ]for [Recovery ]of Tax a-foresaid, itwill be clear that [learned ]counsel for the petitioner has rightlypointed out that it does not contain necessary informationincluding the period, certificate number, date and description oftax recovery officer, etc. 7. The subsequent proceedings founded upon the aforesaidForm, dated 26.10.2022, cannot sustain judicial scrutiny. 8. Resultantly, the impugned order dated 26.11.2024 is setaside. Liberty is reserved to the respondents to proceed againstthe petitioner, in accordance with iaw. The petitioner shallappear before respondent No.2 on 10.04.2025, for which, noseparate notice will be required to be issued. The said authoritysha1l proceed therefrom in accordance with law. 9. Accordingly, the Writ Petition is disposed of. No order as tocosts. Miscellaneous petitions pending, if any, shall stand closed. SD/. A. SRINIVASA REDDYASSISTANT REGISTRAR //TRUE COPY// \SECTN OFFICERTo1. The Principal Chief Commissioner of lncome Tax, AP and TS, 1Oth Floor, CBlock lT Towers, 1023, AC Guards, Hyderabad, Telangana.2. The Tax Recovery Officer-1, O/o PCIT-1, Hyderabad.3. The Assistant Commissioner of lncome Tax, Circle 6(1),Hyderabad,Telangana.4. The Assistant Commissioner of lncome Tax, Circle 14(1), Hyderabad,Telangana.5. One CC to SRI SIRIPURAM KESHAVA, Advocate 6. One CC to SRI J.V.PRASAD (Sr. SC FOR INCOIUE TAX) Advocate 7 . Two CD CopiesSA/BNw SECTN OFFICER HIGH COURTDATED:27 tO1t2O2S ORDER WP.No.35753 of 2024 DISPOSING OF THE W.PWITHOUT COSTS. 06 W 1 (Iz)11F[,t 2025**sPatc I