INDUS PORTFOLIO PRIVATE LIMITED vs. PRINCIPAL COMMISSIONER OF INCOME TAX AND ORS

Now so far as the reliance placed upon the decisions of this Court by the learned Senior Advocate appearing on behalf of the respondent, referred to hereinabove, are concerned, the question is not about the maintainability of the writ petition under Article 226 of the Constitution, but the question is about the entertainability of the writ petition against the order of assessment by-passing the statutory remedy of appeal. There are serious disputes on facts as to whether the assessment order was passed on 20.03.2020 or 14.07.2020 (as alleged by the assessee). No valid reasons have been shown by the assessee to by-pass the statutory remedy of appeal. This Court has consistently taken the view that when there is an alternate remedy available, judicial prudence demands that the court refrains from exercising its jurisdiction under constitutional ANJU GOEL 2022.11.01 15:07 integrity of this document Chandigarh -4- provisions.

In view of the above and in the facts and circumstances of the case, the High Court has seriously erred in entertaining the writ petition against the assessment order. The High Court ought to have relegated the writ petitioner – assessee to avail the statutory remedy of appeal and thereafter to avail other remedies provided under the statute.

Under the circumstances, the impugned judgment and order passed by the High Court is hereby quashed and set aside. The writ petition filed before the High Court challenging the assessment order and consequential notice of demand of tax is hereby dismissed. The respondent – assessee is relegated to avail the statutory remedy of appeal and other remedies available under the MVAT Act and CST Act. It is directed that if such a remedy is availed within a period of four weeks from today, the appellate authority shall decide and dispose of the same on its own merits in accordance with law without raising any question of limitation, however, subject to fulfilling the other conditions, if any, under the statute. It is made clear that we have not expressed any opinion on the merits of the case in favour of either of the parties and it is for the appellate authority and/or appropriate authority to consider the appeal/proceedings on its/their own merits and without being influenced in any way by any of the observations made by the High Court which otherwise have been set aside by the present order. The present appeal is allowed in the aforesaid terms. However, in the facts and circumstances of the case, there shall be no order as to costs.” ANJU GOEL 2022.11.01 15:07 integrity of this document Chandigarh -5-

In the present case, the factual aspect remains that the appeal is already filed and pending and therefore, it is open to raise all the pleas before the Appellate Authority. Accordingly, the petitions stand dismissed. (G.S.SANDHAWALIA) JUDGE ( JAGMOHAN BANSAL ) JUDGE 29.10.2022 anju Whether speaking/reasoned Yes/No Whether Reportable Yes/No ANJU GOEL 2022.11.01 15:07 integrity of this document Chandigarh