V.CHANNANARASIMHAIAH RAJANNA AGED 66 YEARS AND S/o v. CHANNA NARASIMHAIAH RESIDING AT: SY. NO. 34, MAIN ROAD, KAMAKSHIPALYA, BANGALORE- 560 079
Case Details
- 1 - NC: 2025:KHC:17385 WP No. 11852 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 25TH DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 11852 OF 2025 (T-IT) BETWEEN: V.CHANNANARASIMHAIAH RAJANNA AGED 66 YEARS AND S/o V. CHANNA NARASIMHAIAH RESIDING AT: SY. NO. 34, MAIN ROAD, KAMAKSHIPALYA, BANGALORE- 560 079 …PETITIONER (BY SRI A.SHANKAR SR. COUNSEL APPEARING FOR SRI PREETHAM JUDE CORREA, ADVOCATE) AND: 1. ASSESSMENT UNIT Digitally signed by CHANDANA B M Location: High Court of Karnataka INCOME TAX DEPARTMENT, REP. BY: ADDITIONAL/JOINT/DEPUTY, ASSISTANT COMMISSIONER OF INCOME TAX, INCOME TAX OFFICER, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE, ROOM. NO. 401, 2ND FLOOR, E-RAMP, JAWAHARLAL NEHRU STADIUM, DELHI -110 003 2. INCOME TAX OFFICER, WARD 6(2)(1), BANGALORE, BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, KORAMANGALA, BANGALORE -560 095 3. THE PRINCIPAL COMMISSIONER OF INCOME TAX - 1, BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, KORAMANGALA, - 2 - NC: 2025:KHC:17385 WP No. 11852 of 2025 BANGALORE - 560 095
Legal Reasoning
(BY SRI M.DILIP, ADVOCATE FOR R1 TO R3) …RESPONDENTS THIS WRIT PETITION IS FILED UNDER ARTICLE 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE 29.03.2022 WITH DIN ASSESSMENT ORDER DTD. ITBA/AST/S/147/2021-22/1041992479(1) PASSED BY THE R-1 UNDER SECTION 147 R/W SECTION 144 R/W SECTION 144B OF THE INCOME TAX ACT 1961 (ACT) A COPY OF WHICH IS ANNEXURE-A1. THIS PETITION, COMING ON FOR ORDERS, 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: “WHEREFORE, it is prayed that this Hon’ble Court be pleased to issue a writ of Certiorari quashing the: i) Assessment order dated 29.03.2022 with DIN ITBA/AST/S/147/2021-22/1041992479(1) passed by the 1st Respondent under Section 147 r/w Section 144 r/w Section 144B of the Income Tax Act 1961 (“Act”), a copy of which is Annexure-A1. ii) iii) Computation Sheet dated 29.03.2022 with DIN ITBA/AST/S/213/2021-22/1041992627(1) issued by the 1st Respondent, a copy of which is Annexure-A2. Demand Notice dated 29.03.2022 with DIN ITBA/AST/S/156/2021-22/1041992655(1) issued by the 1st Respondent, a copy of which is Annexure-A3. - 3 - NC: 2025:KHC:17385 WP No. 11852 of 2025 iv) Penalty Order dated 25.08.2022 with DIN ITBA/PNL/F/271F/2022-23/1044943683(1) passed by the 2nd Respondent under Section 271F of the Act, a copy of which is Annexure-A4. v) Computation Sheet dated 25.08.2022 with DIN ITBA/PNL/S/271F/2021-22/1041997789(1) FOR THE penalty order under Section 271F issued by the 2nd respondent, a copy of which is Annexure-A5. vi) Demand Notice dated 25.08.2022 with DIN ITBA/PNL/S/156/2022-23/1044942850(1) for the penalty order under Section 271F, issued by the 2ND Respondent, a copy of which is Annexure-A6. vii) Penalty Order dated 12.09.2022 with DIN ITBA/PNL/F/271(1)(c)/2022- 23/1045411083(1)passed by the 1st Respondent under Section 271(1)(c) of the Act, a copy of which is Annexure-A7. viii) Computation Sheet dated 12.09.2022 with DIN ITBA/PNL/S/992/2022-23/1045379185(1) for the penalty order under section 271(1)(c) issued by the 1st Respondent, a copy of which is Annexure-A8. ix) Demand Notice dated 12.09.2022 with DIN ITBA/PNL/S/156/2022-23/1045410351(1) for the penalty order under Section 271(1)(c) issued by the 1st Respondent, a copy of which is Annexure-A9. x) Notice dated 28.03.2021 with DIN ITBA/AST/S/148/2020-21/1031861187(1) issued by the 2nd Respondent under Section 148 of the act, a copy of which is Annexure-B. - 4 - NC: 2025:KHC:17385 WP No. 11852 of 2025 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 notice issued by the respondents under Section 148A(b) of the Income Tax Act, 1961 (for short, ‘IT Act’), was not received by petitioner and he was not aware of the notice and consequently, petitioner could not submit his reply/response along with documents to the said notice. It is submitted that the inability and omission on the part of the petitioner to submit reply/response along with documents to the Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and as such, if one more opportunity is provided to the petitioner to do so 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. - 5 - NC: 2025:KHC:17385 WP No. 11852 of 2025 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 will indicate that it is an undisputed fact that petitioner has not submitted reply/response along with documents to Section 148A(b) notice. Under these circumstances, in view of the specific assertion on the part of the petitioner that his inability and omission to submit a reply along with documents to Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and if one more opportunity is granted, petitioner would submit reply along with documents, I deem it just and appropriate to set aside the impugned orders at Annexures–A1 dated 29.03.2022 passed under Section 147 r/w Section 144 r/w Section 144B of the Income Tax Act, 1961, Annexures-A2 and A3 dated 29.03.2022, Annexures-A4 to A6 dated 25.08.2022 passed under Section 271F of the Income Tax Act, 1961, Annexures-A7 to A9 dated 12.09.2022 passed under Section 271(1)(C) of the Income Tax Act, 1961, and Annexure-B dated 28.03.2021 passed under Section 148of the Income Tax Act, and subsequent notices - 6 - NC: 2025:KHC:17385 WP No. 11852 of 2025 /orders, etc., and remit the matter back to respondent No.1 for reconsideration afresh from the stage of submitting of reply by the petitioner to Section 148A(b) notice and to proceed further in accordance with law. 6.
Decision
In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices/orders at Annexures-A1 to A9 and B are hereby set aside. (iii) Matter is remitted back to respondent No.1 for reconsideration afresh in accordance with law from the stage of submitting of reply to the Show Cause Notice under Section 148 of the IT Act at Annexure-B dated 28.03.2021. (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.: 2 Sl No.: 14