Wp/6346/2024 Of Palle Veeranjaneya Swamy v. Office Of The Income Tax Officer

HIGH COURT FOR AT HYDERABAD(Special Original Jurisdiction) TUESDAY ,THE TWELFTH TWO THOUSAND AND PRESENT THE HONOURABLE [JUSTICE P.SAM ] ANDTHE HONOURABLE [JUSTICE N.TUKARAMJI] WRIT PET]TION NO: 6346 Between: Palle VeeranjaneYa [SwamY,]S/o. Palle Ranqaiah [Aged About ][53 ][Years]5-6-133 Fcl X Road, [Ntpc Jyothi ][Nagar]Occupation. Business, [Rl/O.]Ramagundam, [Karimanagr,]Telangana, lndia PAN. [ ]Assessment Year. [201 5- ][16] ...PETITIONER AND Z. 1. ifrJ office [principal ]of The [lncome ][Chief ][Tax ][Commissioner ][officer, w ][ard-Z ][Of ][Karimnagar, Telangana State. ][lncome ][Tax ][Telangana ]41d . ^1P'^- iii"rrriilllr lo*"rt, AC Guards, Masab Tank, Hvderabad - 500 028'Telanoana.- iii"rrriilllr lo*"rt, AC Guards, Masab Tank, Hvderabad - 500 028'Telanoana. Telanoana.3. -' il; L;"ial [Board ]of [Direct ][Taxes' ][Represented ]PY .lts [Chairman']DeDartment of Revenue, Ministry of F, Government ol lndla, secrelanalBuildinqs, New [Delhi]DeDartment of Revenue, Ministry of F, Government ol lndla, secrelanalBuildinqs, New [Delhi] +. T[ir-r.rjt,i,"al [Faceless ][Assessment ][Center, lncome ][Tax ][Department' ][New]DelhiDelhi Delhi" S. if''" Union Of [lndia, ][Represented ][By lts ][Secretary- ][To ][The ][Government']Oepartrent Of Revenue' itlinistry of Finance, New DelhiOepartrent Of Revenue' itlinistry of Finance, New Delhi ...RESPONDENTS Petition under [Article ][226 ][of ][the ][constitution ][of ][lndia ][praying ][that ][in ][the]circumstancesstatedintheaffidavitfiledtherewith,theHlghCourtmaybepleased to issue an [appropriate ][writ, ][order ][or ][direction more particularly ][one ][in]the nature [of ][writ ][of ][Mandamus declaring the ][order ][passed by ][the ][lncome Tax]Authorities [(National Faceless E-Assessment ][centre ][completed the ][assessment]UtS147r/wSection144-8olthelncomeTaxAct'lg6lvideDlNandNoticeNo'dated 17-02-2024 [in ][ITBtuAST/Si147t2O23-2411061076574(1) ][for ][the]assessment [year ][2015-16 ][determining ][the ][total ][income ][of ][Rs' ][53'29'850/- ][as]arbitrary,illegal,badinlaw,withoutjurisdiction,Void-ab.initio,violativeofthenatural [justice apart from ][being ][violative ][of ][Articles ][14, ][19(1Xg) ][and]principles of 265 of the Constitution of lndia and Sec. ['l4BA ]of the lncome Tax Act, .1 961, andconsequently set aside the same in the interests of justiceconsequently set aside the same in the interests of justice Counsel for the Petitioner: SRl. THANNERU CHA|TANYA KUMAR Counsel forthe Respondent Nos. 1to4: M/s. SUNDARI R plSUpATl(Sr SC for lncome Tax Dept)(Sr SC for lncome Tax Dept) counse! for the Respondent No.5: SRI cADl PRAVEEN KUMAR,DY. SOLILCITOR GENERAL OF INDIA The Court made the following: ORDER THE HONOURABLE SRI JUSTICE [P.SAM ] ANDTHE HONOURABLE SRI JUSTICE N.TUI{ARAMJI UIRIT PETITION No.6346 OF 2o24 ORDER:(per Hon'ble Si Justice [P.SAM ][KOSHY)] Heard Mr. T. Chaitanya Kumar, learned [counsel ][for]the petitioner and Ms. Sundari [K.Pisupati, ][learned]for Income [Tax ][appearing ][for ][the]Standing Counsel respondents. Perused [the entire ][record.] 2. The instant Writ Petition has been [filed ][challenging]the Assessment Order [passed ][by the ][Income ][Tax]Authorities under Section 147 [read ][with ][Section ][144-8 ][of]the Income Tax Act, [196 ][1 ][(hereinafter referred ][to ][as 'the]Act") dated 17.O2.2O24 for [the Assessment Year ][2015-16.] 3. One of the contentions that [the ][petitioner has ][raised]in the present Writ Petition is [that ][under ][the ][amended]provisions of the Act which [carne ][into ][effect ][from]Ol.O4.2O2l, the respondents, [while ][proceeding ][under]Section 148 of the Act, [were ][required ][to issue notice ][under]Section 148A and [provide ][an ][opportunity ][of hearing ][to ][the]assessee. As per the [amended ][provisiurr-'of ][law, ][the] 2. The instant Writ Petition has been [filed ][challenging]the Assessment Order [passed ][by the ][Income ][Tax]Authorities under Section 147 [read ][with ][Section ][144-8 ][of]the Income Tax Act, [196 ][1 ][(hereinafter referred ][to ][as 'the]Act") dated 17.O2.2O24 for [the Assessment Year ][2015-16.] 3. One of the contentions that [the ][petitioner has ][raised]in the present Writ Petition is [that ][under ][the ][amended]provisions of the Act which [carne ][into ][effect ][from]Ol.O4.2O2l, the respondents, [while ][proceeding ][under]Section 148 of the Act, [were ][required ][to issue notice ][under]Section 148A and [provide ][an ][opportunity ][of hearing ][to ][the]assessee. As per the [amended ][provisiurr-'of ][law, ][the] proceedings to be drawn are also in a faceless manner.Whereas, it has been contended by the petitioner that inthe instant case, reopening has been initiated by theJurisdictional Assessing Officer. In respect of the saidobjection that the petitioner had raised, he relied upon therecent batch ofwrit petitions decided by this very Bench onL4.O9.2O23 vide W.P.No.2S9O3 of 2022 and batch to thelimited extent. 4. l,earned counsel for the Department for the Department the Department Department would notnotdispute of having decided the said objection in theaforesaid batch matters. However, learned counselsubmits that apart from the aforesaid objection, there havebeen other various objections also which the petitioner hasraised in the writ petition. l,earned counsel for the Department for the Department the Department Department would notnot 5. So far as this contention of the learned counsel forthe respondent-Department is concerned, this Bench, whiledisposing of said batch of writ petitions, had taken note ofttre same at paragraph Nos.37 & 3g which are reproducedherein under: II 37. The [preliminary ][obiection ratsed ][bA the ][petitioner]is sustoined and oll [these ]wit [petitions stands allowed]on this uery [juisdictional ][issue. ][Since ][the ][impugned]noties and orders are [getting quashed ][on ][the ][point ][of]juisdiction, we are not inclined to proceed further anddecide the [other ][issues ][raised ][by ][th.e ][petitioner ][uhich]stands reserued to be [raised ][and urxended ][in ][an]appropiote [pro ]ceeding [s. ]["] o38. Sine the Hon'bl,e Supreme Court had, in the caseof Ashish Agarutal, supro, as a [one-time ][measure]exercising tte [pouers ][under ][Article 142 ][of ][the]Constittttion of India, [permitted ][the ][Reuenue ][to ][proeed]under tle substituted [prouisions, ][and this ][Court]altowing tle [petitions ]only [on ][the ][proedural ]flau, [tLe]ight confened on the Reuenue [would ][remoin ][reserued]of Ashish Agarutal, supro, as a [one-time ][measure]exercising tte [pouers ][under ][Article 142 ][of ][the]Constittttion of India, [permitted ][the ][Reuenue ][to ][proeed]under tle substituted [prouisions, ][and this ][Court]altowing tle [petitions ]only [on ][the ][proedural ]flau, [tLe]ight confened on the Reuenue [would ][remoin ][reserued]to proceed furtler if theg so [utant ]from [the stage of ][tLrc]order of the Supreme [Court ][in ][tle ][case ][of ][Ashish]Agarutal, supra."order of the Supreme [Court ][in ][tle ][case ][of ][Ashish]Agarutal, supra." 6. In view of the sarn€, we are [inclined ][to ][allow ][the]present writ petition also on similar [terms. Accordingly, ][the]present Writ Petition stands allowed [on ][the ][objection of ][the]petitioner ttrat the proceedings have not been [drawn ][in]accordarce with the amended [provision ][but ][under ][the]un-amended provision which [is ][otherwise ][not ][sustainable.]As has been held by this Bench [in ][the ][aforesaid ][batch]matters, the rights of the [parties ][would ][stand ][reserved ][as ][is]envisaged at paragraph Nos.37 & [38 of the ][said ][order]passed in the said batch of wr--it petitions. [No ][order as ][to]? t To, costs. Consequently, miscellaneous petitions [pending, ]if shall stand closed.any, SD/- C. PRAVEEN ASSISTANT ^t)C+1"'- t To, costs. Consequently, miscellaneous petitions [pending, ]if shall stand closed.any, SD/- C. PRAVEEN ASSISTANT ^t)C+1"'- //TRUE COPY// SECTION OFFICER 1. The Office [of ][The lncome ][Tax ][Officer, ][ward-2{arimnagar, ][Telangana ][state.]- i. iil; nvidrlui[, Fiin"ipi rrlo*.t., [cnlei ][Commissioner ]AC Guards, [of ]Masab [lncome ]Tank, [Tax.relansana ]Hyderabad - {9^{p.^500 028'Telanoana.- i. iil; nvidrlui[, Fiin"ipi rrlo*.t., [cnlei ][Commissioner ]AC Guards, [of ]Masab [lncome ]Tank, [Tax.relansana ]Hyderabad - {9^{p.^500 028'Telanoana. Telanoana.3. -.DeoartmentofRevenue,MinistryofF,Governmentoflndla,Secretarlatil;C6i;l Board of Direct [Taxes, ][Represented By ][lts.Chairman: ]. -,-.Buildinqs, [[New Delhi]]Buildinqs, [[New Delhi]] Buildinqs, [[New Delhi]]4. i[; N;ik;"ai [Faceless ][Assessment ][center, ][lncome ][Tax ][Department, New]DelhiDelhiS. ii"'b."r.tary [to ][the Government, ][Union ][Of lndia, ][Department Of ][Revenue']lvtinistrv of Finance, [New Delhi]lvtinistrv of Finance, [New Delhi]6 6;; i6i;'sni.lnnrlr'leCu [cHntrRruvn ][KUMAR, AdvocSte t-oPUCJ^^. ].^;. 6n; cc io [rtrlt. ][suNDAi{ ] [PisupArt ][(s1 ][sc ]!o1 [lncome ][Tax ][Dept) ][[o^P-uc]]s. O;; CC io [SNI.ONOI ][PiAVEEN ][KUMAR, ][DY' ] rNDIA ;. 6n; cc io [rtrlt. ][suNDAi{ ] [PisupArt ][(s1 ][sc ]!o1 [lncome ][Tax ][Dept) ][[o^P-uc]]s. O;; CC io [SNI.ONOI ][PiAVEEN ][KUMAR, ][DY' ] rNDIA 9. Two CD CoPies BMKKSKKS a HIGH COURT DATED: 1 2 10312024 ORDER WP.No.6346 of 2024 ALLOWING THE WRITPETITIONWITHOUT COSTS v(." 1HE [S][ i ],t\l({(ofrco2 3 APB zoa.t** of .SPATCHpO