Wp(C)/27808/2023 Of Premalatha Korottoliprasantham v. Income Tax Officer

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH THURSDAY, THE 23 DAY OF NOVEMBER 2023 / 2ND AGRAHAYANA, 1945WP(C) NO. 27808 OF 2023 PETITIONER: PREMALATHA KOROTTOLIPRASANTHAM, 1”PRASANTHAM”,KOROTHOLI, PUTHIYANGADI P. O., CALICUT, PIN – 673001. BY ADVS. SRI. P. RAGHUNATHAN SRI. PREMJIT NAGENDRAN SMT. M. SHYLAJA SRI. RISHAL K. RESPONDENTS: 1INCOME TAX OFFICER,WARD 1(1), AAYAKAR BHAVAN,NORTH BLOCK, NEW ANNEXURE BUILDING,MANANCHIRA, CALICUT, PIN – 673001.WARD 1(1), AAYAKAR BHAVAN,NORTH BLOCK, NEW ANNEXURE BUILDING,MANANCHIRA, CALICUT, PIN – 673001. 2ASSESSMENT UNIT,INCOME TAX DEPARTMENT,MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NEW DELHI, PIN – 110001.INCOME TAX DEPARTMENT,MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NEW DELHI, PIN – 110001. 3CENTRAL BOARD OF DIRECT TAXES,MINISTRY OF FINANCE, NORTH BLOCK, NEW DELHI, BY CHAIRMAN, PIN – 110001.MINISTRY OF FINANCE, NORTH BLOCK, NEW DELHI, BY CHAIRMAN, PIN – 110001. 4GOVERNMENT OF INDIA,MINISTRY OF FINANCE, CENTRAL SECRETARIAT, NORTH BLOCK, NEW DELHI BY SECRETARY, PIN – 110001. BY ADV. SRI. CHRISTOPHER ABRAHAM - SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23.11.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: DINESH KUMAR SINGH, J. -------------------------- W.P.(C) No.27808 of 2023 ------------------------- Dated this the 23[rd] day of November, 2023 JUDGMENT 1.The present writ petition has been filed impugning theassessment order in Exhibit P-1 dated 28.03.2023 under Section 147read with Section 144B of the Income Tax Act, 1961. The present writ petition has been filed impugning the 2.The petitioner did not file her regular return under Section139 of the Income Tax Act, 1961 (hereinafter referred to as “theAct” for short) for the assessment year 2018-19. The petitioner’scase was selected for scrutiny on the basis of the specificinformation by issuing notice under Section 148 of the Income TaxAct, 1961. The case of the assessee was reopened on the followingground; ‘the assessee has cash deposits including bearers chequeaggregating to Rs. 1,46,38,460/- in his bank account.’ Notices underSection 142 (1) of the Act dated 05.01.2023 and 28.02.2023 wereissued to the petitioner. The petitioner did not complied with thenotices. Further, communication dated 08.02.2023 fixing date ofcompliance 15.02.2023 was addressed to the petitioner requiringreply in respect of the said cash transactions in her bank account. The petitioner had failed to respond to the notices issued under Sections 148 and 142 (1) of the Act. In spite of several statutorynotices and communication letter, the assessee has failed to file herreturn of income in response to the notice under Section 148 anddid not responded to any of the notices. Therefore, a show causenotice dated 13.03.2023 was issued to the assessee fixing the dateof compliance on 20.03.2023. thereafter, the assessee/petitionerhas submitted her reply on 20.03.2023 and filed return of herincome on 18.03.2023 declaring total income of Rs. 6,06,800/-. 3.Considering the unexplained cash deposit to the extent of Rs.1,46,38,460/-, the said income was added to the income of thepetitioner as income from other sources under the provisions ofSection 69A of the Act. Accordingly the penalty proceedings wereinitiated for the unexplained cash deposit. 4.Instead of taking recourse to the appellate provision, thepetitioner has approached this Court against the impugnedassessment order. This Court does not find that the impugnedassessment order is without jurisdiction or violation of any statutoryprovision which provides for completing an assessment proceedingsfor the escaped income. Thus, this writ petition has no merit and the same is hereby dismissed. However, it would be open to the petitioner to file appeal against the said assessment order if she isso advised. Svn 4.Instead of taking recourse to the appellate provision, thepetitioner has approached this Court against the impugnedassessment order. This Court does not find that the impugnedassessment order is without jurisdiction or violation of any statutoryprovision which provides for completing an assessment proceedingsfor the escaped income. Thus, this writ petition has no merit and the same is hereby dismissed. However, it would be open to the petitioner to file appeal against the said assessment order if she isso advised. Svn Sd/-DINESH KUMAR SINGH JUDGE APPENDIX OF WP(C) 27808/2023 PETITIONER’S EXHIBITS EXHIBIT P-1ORDER OF ASSESSMENT DT. 28.03.2023 FOR AY2018.19 BY SECOND RESPONDENT2018.19 BY SECOND RESPONDENT EXHIBIT P-2PHOTOCOPY OF SHOW CAUSE NOTICE DT. 13.03.2023BY SECOND RESPONDENTBY SECOND RESPONDENT EXHIBIT P-3PHOTOCOPY OF ORDER U/S 148A[D] DT. 25.03.2022BY FIRST RESPONDENTBY FIRST RESPONDENT EXHIBIT P-4PHOTOCOPY OF NOTICE U/S 148 DT. 25.03.2022 BYFIRST RESPONDENTFIRST RESPONDENT EXHIBIT P-5PHOTOCOPY OF ITR ACKNOWLEDGEMENT DT.18.03.2023 AND TRADING /PROFIT & LOSS ACCOUNTAND BALANCE SHEET FOR FY 2017.1818.03.2023 AND TRADING /PROFIT & LOSS ACCOUNTAND BALANCE SHEET FOR FY 2017.18