AVINASH SOGANI S/O JIWAN DHAR JAIN vs. INCOME TAX OFFICER

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CW/7814/2023HC RajasthanRJHC02037859202301 September 2025Author: K.R. SHRIRAM,MANEESH SHARMA2 pages
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What did the High Court hold?

The Tribunal quashed and set aside the notice dated April 12, 2023, issued under Section 148 of the Income Tax Act, 1961. The reasoning was based on the established precedent of the High Court in Shree Cement Limited, which followed Sharda Devi Chhajer and Hexaware Technologies Ltd., holding that notices issued by a JAO instead of an FAO are invalid. The Court acknowledged the Revenue's submission regarding the pending SLP in the Hexaware Technologies Ltd. case and granted liberty to the Revenue to revive the notice if the Apex Court's decision impacts the aforementioned judgments. The petitioner reserved the right to raise other grounds at an appropriate stage. Consequently, any re-assessment order passed pursuant to the quashed notice would also stand quashed and set aside. The petition was disposed of.

What were the facts?

The petitioner, Avinash Sogani, challenged a notice dated April 12, 2023, issued under Section 148 of the Income Tax Act, 1961. The challenge was based on the assertion that the notice was issued by a Jurisdictional Assessing Officer (JAO) and not a Faceless Assessing Officer (FAO). The respondent is the Income Tax Officer, Ward-2(2), Kota. The High Court of Judicature for Rajasthan, Bench at Jaipur, was hearing the writ petition. The respondent's counsel conceded that one of the grounds raised by the petitioner was covered by a previous judgment of the Court.

What were the issues?

1. Whether a notice dated April 12, 2023, issued under Section 148 of the Income Tax Act, 1961, by a Jurisdictional Assessing Officer (JAO) instead of a Faceless Assessing Officer (FAO) is bad in law and invalid? (Question of law) Assessee's Contentions: The petitioner argued that the notice under Section 148 was issued by a JAO, not an FAO, and therefore, it is invalid. The petitioner relied on the High Court's judgment in Shree Cement Limited Vs. Assistant Commissioner of Income-Tax & Others, which followed Sharda Devi Chhajer Vs. The Income Tax Officer & Another and Hexaware Technologies Ltd. Vs. Assistant Commissioner of Income-tax, Circle 15(1)(2), holding such notices to be bad. Revenue's Contentions: The respondent's counsel agreed that the ground raised by the petitioner was covered by the Court's judgment. However, the counsel mentioned that a Special Leave Petition (SLP) has been preferred by the Revenue in the Hexaware Technologies Ltd. case, and notice has been issued by the Apex Court. The Revenue sought liberty to revive the notice if the Apex Court were to interfere with the judgments in Hexaware Technologies Ltd., Sharda Devi Chhajer, or Shree Cement Limited.

Which sections of the Income-tax Act were involved?

Section 148

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances
[2025:RJ-JP:35135-DB] HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR D.B. Civil Writ Petition No. 7814/2023 Avinash Sogani S/o Jiwan Dhar Jain, Aged About 34 Years, R/o 848, Mahaveer Nagar, 1St Kota, Rajasthan-324005. ----Petitioner Versus Income Tax Officer, Ito Ward -2(2), Kota, Dainik Navjyoti, Rawat Bhata Road, Kota, Rajasthan- 324009. ----Respondent For Petitioner(s) : Mr. Sanjay Jhanwar, Senior Advocate assisted by Mr. Rajat Sharma, Mr. Shubhendra Singh & Mr. Saksham Pandey For Respondent(s) : Mr. Shantanu Sharma with Mr. Parth Vashishtha & Mr. Aditya Doda HON'BLE THE CHIEF JUSTICE MR. K.R. SHRIRAM HON'BLE MR. JUSTICE MANEESH SHARMA

Order 01/09/2025

1.

Mr. Sharma, who appears on advance copy, agrees with Mr. Jhanwar that one of the grounds raised certainly is covered by a judgment of this Court.

2.

Ground referred to is that the notice dated 12th April 2023 under Section 148 of the Income Tax Act, 1961 has been issued by a Juri ictional Assessing Officer (JAO) and not Faceless Assessing Offider (FAO) and this Court in the case of Shree Cement Limited Vs. Assistant Commissioner of Income-Tax & Others1 following Sharda Devi Chhajer Vs. The Income Tax Officer & Another2 and Hexaware Technologies Ltd. Vs. Assistant Commissioner of Income-tax, Circle 15(1)(2)3, has held that such a notice will be bad and not valid. 1 DB Civil Writ Petition No.10540/2024, dated 05.08.2025 at Jaipur Bench (unreported) 2 2025 SCCOnLine Raj 3386 3 [2024] 162 taxmann.com 225 (Bombay)

[2025:RJ-JP:35135-DB] (2 of 2) [CW-7814/2023]

3.

At the same time, Mr. Sharma states that in Hexaware Technologies Ltd. (supra), Revenue has preferred a Special Leave Petition and notice has been issued. Counsel states that in view of the law as it stands today, Court may grant the prayer of petitioner but in case the Apex Court interferes with judgment in Hexaware Technologies Ltd. (supra), Sharda Devi Chhajer (supra) or Shree Cement Limited (supra), then Revenue should be given liberty to revive the notice issued under Section 148 of the Act.

4.

Mr. Jhanwar states that in view of the above, for the present, petitioner will reserve his right to raise other grounds at an appropriate stage.

5.

Therefore, keeping open all rights and contentions of parties, we quash and set aside notice dated 12th April 2023 issued under Section 148 of the Act with liberty as prayed.

6.

Petition disposed.

7.

Consequently, all pending applications, if any, also stand disposed.

8.

In case, if any re-assessment order is passed, the same will also stand quashed and set aside. (MANEESH SHARMA),J (K.R. SHRIRAM),CJ N.GANDHI/RAJAT/47

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