Nitin Sharma vs. Principalcommissioner Of Income Tax (M. P. And C.G.)

PDF · subscribers
RP/1401/2023HC Madhya Pradesh16 January 2024Author: HON'BLE SHRI JUSTICE SHEEL NAGU3 pages
For Petitioner: Ayush Gupta
AI SummaryRemanded

What did the High Court hold?

The High Court held that the review petitioner, as an appellant before the Appellate Authority, should not be denied the right to raise any ground admissible in law and permissible under the relevant statute for filing an appeal. The Court acknowledged that the scope of interference under Article 226 of the Constitution differs from that available in an appeal. Therefore, the review petition was disposed of by granting liberty to the review petitioner to raise all possible and permissible contentions as per law under Section 246A of the Income Tax Act while assailing the assessment order dated 31.05.2023. The Court explicitly stated that it had declined to enter into the merits of the matter in the earlier order.

What were the facts?

The assessee, Nitin Sharma, filed a review petition before the High Court of Madhya Pradesh seeking liberty to raise all admissible contentions in an appeal filed against the final assessment order dated 31.05.2023. The review petition was filed against the High Court's earlier order dated 30.10.2023 in Writ Petition No. 14571/2023, which had declined to interfere on merits. The earlier writ petition had challenged an order passed under Section 148A(d) dated 19.07.2022, a consequential notice under Section 148 dated 22.07.2023, and the assessment order dated 31.05.2023. The revenue authorities were the Principal Commissioner of Income Tax and the Deputy/Assistant Commissioner of Income Tax.

What were the issues?

1. Whether the review petitioner, having filed an appeal against the final assessment order, should be granted liberty to raise all permissible contentions before the appellate authority, considering the High Court had declined to interfere on merits in the earlier writ petition. Assessee's contention: The assessee argued that since an appeal has been preferred against the final assessment order, liberty should be extended to raise all contentions admissible in law. The assessee highlighted that the scope of interference under Article 226 of the Constitution is different from that available in an appeal. Revenue's contention: The judgment records no specific contention from the revenue regarding the grant of liberty to raise contentions in appeal.

Which sections of the Income-tax Act were involved?

Section 148A,Section 148,Section 246A

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
IN THE HIGH COURT OF MADHYA PRADESH AT JABALPUR BEFORE HON'BLE SHRI JUSTICE SHEEL NAGU & HON'BLE SHRI JUSTICE AVANINDRA KUMAR SINGH ON THE 16th OF JANUARY, 2024 REVIEW PETITION No. 1401 of 2023 BETWEEN:- NITIN SHARMA S/O SHRI RAVINDRA KUMAR SHARMA, AGED ABOUT 49 YEARS, OCCUPATION: BUSINESS, R/O 765, NAPIER TOWN NEAR ANAND TALKIES, JABALPUR (MADHYA PRADESH) .....PETITIONER (BY SHRI SUMIT NEMA - SENIOR ADVOCATE WITH SHRI SAPAN USRETHE AND SHRI AYUSH GUPTA - ADVOCATS) AND 1. PRINCIPAL COMMISSIONER OF INCOME TAX (M. P. AND C.G.) AAYAKAR BHAWAN, OPPOSITE MAIDA MILL, HOSHANABAD ROAD, BHOPAL (MADHYA PRADESH) 2. DEPUTY / ASSISTANT COMMISSIONER OF INCOME TAX CIECLE 2 (1) JABALPUR, AAYAKAR BHAWAN, NAPIER TOWN JABALPUR (MADHYA PRADESH) 3. ASSESSMENT UNIT, INCOME TAX DEPARTMENT, NATIONAL FACELESS E ASSESSMENT CENTRE, CIVIC CENTRE MINTO ROAD, NEW DELHI 110001. .....RESPONDENTS (BY SHRI SIDDHARTH SHARMA - ADVOCATE) This petition coming on for admission this day, Justice Sheel Nagu passed the following:

ORDER This petition seeks review of final order dated 30.10.2023 passed in Writ 1 (SHEEL NAGU) JUDGE (AVANINDRA KUMAR SINGH) JUDGE Petition No.14571/2023 by which challenge was made to the order passed u/S.148A(d) dated 19.07.2022 (Annexure-P/3), the consequential notice issued u/S.148 dated 22.07.2023 (Annexure-P/4) and the assessment order dated 31.05.2023 (Annexure-P/10).

2.

The order under review was passed declining interference on merits.

3.

Review petitioner is before this Court with the assertion that liberty be extended to petitioner to raise all contentions admissible in law in appeal which has been preferred against the final assessment order dated 31.05.2023. 3. It is evident from the reading of order under review that this Court had declined to enter into merits of the matter especially the legality and validity of the assessment order dated 31.05.2023 against which an appeal has now been preferred.

3.

1 Accordingly, this Court is of the considered view that petitioner who is an appellant before the Appellate Authority cannot be denied to raise any ground admissible in law and which can otherwise be raised under the relevant statute permitting filing of appeal. Especially when the scope and nature of interference available u/Art.226 of Constitution is at variance to an appeal.

4.

Accordingly, this review petition stands disposed of with liberty to the review petitioner to raise all possible, permissible contentions as per law u/S.246A of the Income Tax Act while assailing the assessment order dated 31.05.2023. 6. With the aforesaid liberty and observations, the review petition stands disposed of. 2 Biswal

3

More judgments on Section 148A

All 3,543 judgments and leading authorities on Section 148A →

Recent GST High Court judgments

Search GST case law →