Wp/9142/2025 Of Narayan Pramod v. The Principal Commissioner Of Income Tax

Digitallysigned byMALATESHK CLocation:HIGHCOURT OFKARNATAKA IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17 DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR -WRIT PETITION No.9142 OF 2025 (TIT) BETWEEN: NARAYAN PRAMOD MIC 17 RAGHAVENDRA GAS AGENCIES, MARUTI TEMPLE ROAD, GANGORTHRI LAYOUT, MYSORE-570 009, KARNATAKA REPRESENTED BY ITS PROPRIETOR SRI. NAYARAN PRAMOD PAN No. . AGED ABOUT 57 YEARS …PETITIONER (BY SRI SRI MALLAHAR RAO, ADVOCATE) AND: 1. THE PRINCIPAL COMMISSIONER OF INCOME TAX BENGALURU -4, 5 FLOOR, BMTC BUILDING, 80 FEET ROAD, 6 BLOCK, KORAMANGALA, BENGALURU -560 095 BENGALURU -4, 5 FLOOR, BMTC BUILDING, 80 FEET ROAD, 6 BLOCK, KORAMANGALA, BENGALURU -560 095 2. THE ASSESSMENT UNIT INCOME TAX DEPARTMENT NEW DELHI-110001. NATIONAL E-ASSESSMENT CENTRE, INSIDE JAWAHARLAL NEHRU STADIUM, NEW DELHI – 110001. …RESPONDENTS (BY SRI M.THIRUMALESH AND SRI M.DILIP, ADVOCATES) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASHING THE IMPUGNED ASSESSMENT ORDER DATED 28.02.2025 PASSED BY THE 2 RESPONDENT VIDE DIN NO. ITBA/AST/S/147/2024-25/1073853959(1) ENCLOSED AND PRODUCED AS ANNX-G AND G1 REFRAIN FROM THE FURTHER PROCEEDINGS AND TAKE SUCH NECESSARY MEASURES/STEPS IN RESPECT OF THE IMPUGNED AO DATED 28.02.2025 PASSED BY THE R-2 VIDE DIN NO. ITBA/AST/S/147/2024-25 /1073853959(1) ALONG WITH DEMAND NOTICE VIDE DIN NO. ITBA/AST/S/156/2024-25/107385403(1) IS ENCLOSED AND PRODUCED AS ANNX-G AND G1 AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks the following reliefs: “(i) Issue Writ of Certiorari or in the like nature of Certiorari quashing the impugned assessment order dated 28.02.2025, passed by 2nd respondent vide DIN No. ITBA/AST/S/147/2024-25/1073853959(1) along with demand notice vide DIN No. ITBA/AST/S/156/2024-25/107385403(1) is enclosed and produced as ANNEXURE-G & G1; (ii) Issue Writ of Mandamus or writ of direction to the respondent authorities to refrain from further proceedings and take such necessary measures / steps in respect of the impugned assessment order dated 28.02.2025, passed by 2nd respondent vide DIN No. ITBA/AST/S/147/2024-25/1073853959(1) along with demand notice vide DIN No. ITBA/AST/S/156/2024-25/107385403(1) is enclosed and produced as ANNEXURE-G & G1; - 3 - (iii) Issue Writ of Prohibition, not to proceed further steps or measures or any such kind of initiatives pertaining to recovery(s) over the impugned demand made thereof; directing the respondent authorities to refrain from further coercive steps, in any manner of whatsoever in nature, in accordance to the impugned assessment order dated 28.02.2025, passed by 2nd respondent vide DIN No. ITBA/AST/S/147/2024-25/1073853959(1) along with demand notice vide DIN No. ITBA/AST/S/156/2024-25/107385403(1) enclosed and produced as ANNEXURE-G & G1.” 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that the respondents issued various notices under the Income Tax Act (for short ‘IT Act’) including notices under section 142(1) of the IT Act dated 24.10.2024 and 17.01.2025. In response to the notices issued by the respondents the Petitioner filed his replies dated 23.12.2024, 20.01.2025 and with respect to notice under section 142(1) of the IT Act dated - 4 - NC: 2025:KHC:15941 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that the respondents issued various notices under the Income Tax Act (for short ‘IT Act’) including notices under section 142(1) of the IT Act dated 24.10.2024 and 17.01.2025. In response to the notices issued by the respondents the Petitioner filed his replies dated 23.12.2024, 20.01.2025 and with respect to notice under section 142(1) of the IT Act dated - 4 - NC: 2025:KHC:15941 30.01.2025 the petitioner filed his reply in part dated 05.02.2025. It is submitted that the respondent no. 2 without providing an opportunity for the petitioner to complete his submissions and file supporting documents proceeded to pass the impugned order passed under section 147 r/w Section 144B of the Act at Annexure G, dated 28.02.2025. The counsel for the petitioner also submits that if one more opportunity is provided to the petitioner to reply to the notices along with supporting documents by setting aside the impugned orders and notices, the petitioner would do so, and respondents may be directed to proceed further in accordance with law after considering the replies filed by the petitioner. 4. Per contra, learned counsel for the respondents submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned order and the material on record will indicate that it is an undisputed fact that petitioner submitted reply/response in part to notice under Section 142(1) of the IT Act dated 30.01.2025 and the respondent no.2 without providing an opportunity for the petitioner to complete his submissions and file supporting documents proceeded to pass the impugned order under section 147 r/w Section 144B of the Act at Annexures-G and G1, dated 28.02.2025. Under these circumstances, I deem it just and appropriate to set aside the impugned order at Annexures–G and G1 dated 28.02.2025 and subsequent notice/orders, etc., and remit the matter back to respondent No.2 for reconsideration afresh from the stage of petitioner submitting of reply/response to notice under section 142(1) of the IT Act and in the event the petitioner files its reply/ response along with supporting documents, the respondent is directed to consider such reply/ response filed by the petitioner and to proceed further in accordance with law. 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures-G and G1 are hereby set aside. and G1 are hereby set aside. (iii) Matter is remitted back to respondent No.2 for reconsideration afresh in accordance with law from the stage of petitioner submitting of additional reply along with supporting documents to the Notice under Section 142(1) of the IT Act at Annexure – D dated 30.01.2025. (iv) Liberty is reserved in favour of the petitioner to submit additional pleadings, documents, etc., to the respondent, who shall consider the same and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE kcm List No.: 1 Sl No.: 18