KAD HOUSING PVT. LTD. vs. DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 6, DELHI

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W.P.(C)/17863/2025HC DelhiDLHC01093507202524 November 2025Bench: HON'BLE MR. JUSTICE V. KAMESWAR RAO,HON'BLE MR. JUSTICE VINOD KUMAR2 pages
AI SummaryWithdrawn

What did the High Court hold?

The Delhi High Court did not decide the merits of the case. Regarding the first submission concerning the erroneous invocation of amended provisions and the applicability of the savings clause, the Court noted that this plea was not advanced by the petitioner when replying to the notice under Section 148A(1). Concerning the second submission that the Assessing Officer changed the premise, the Court, after reviewing the notice under Section 148A(1), the petitioner's reply, and the order under Section 148A(3), stated it was not inclined to interfere with the notices or the order passed by the respondent. Consequently, the petitioner's counsel stated they would withdraw the writ petition and appear before the Assessing Officer to present their case, including arguments on jurisdiction. The Court disposed of the petition as withdrawn, granting liberty to the petitioner to urge all pleas before the Assessing Officer.

What were the facts?

The petitioner, Kad Housing Pvt. Ltd., filed a writ petition before the Delhi High Court challenging a notice dated March 31, 2025, issued under Section 148A(1) of the Income Tax Act, 1961, and an order dated June 24, 2025, passed under Section 148A(3), along with a notice dated June 24, 2025, issued under Section 148 of the Act for Assessment Year 2019-20. The petitioner sought to quash these notices and the reassessment proceedings initiated. The respondent was the Deputy Commissioner of Income Tax, Central Circle 6, Delhi. The procedural history involved the issuance of notices and an order by the Assessing Officer, which the petitioner sought to challenge through the writ petition.

What were the issues?

1. Whether the amended provisions of the Income Tax Act, 1961, were erroneously invoked despite the applicability of the savings clause introduced by the Finance Act, 2024 (a mixed question of law and fact)? 2. Whether the Assessing Officer changed the premise for issuing the notice while passing the order under Section 148A(3) of the Act (a mixed question of law and fact)? Assessee's Contentions: - The petitioner argued that the amended provisions were wrongly invoked, and the savings clause from the Finance Act, 2024, should have been applied. - The petitioner contended that the Assessing Officer shifted the basis for issuing the notice between the initial notice under Section 148A(1) and the subsequent order under Section 148A(3). Revenue's Contentions: - The judgment does not record any specific contentions made by the revenue in response to the writ petition.

Which sections of the Income-tax Act were involved?

Section 148A(1),Section 148A(3),Section 148

AI-generated summary — verify with the full judgment below

$~74 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 17863/2025 CM APPL. 73800/2025 CM APPL. 73801/2025 KAD HOUSING PVT. LTD.

.....Petitioner Through: Mr. Salil Kapoor and Mr. Sumit Lalchandani, Advocates. versus DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 6, DELHI .....Respondent Through: Mr. Siddhartha Singh, SSC and Ms Anu Priya Nisha Ming, Adv. CORAM: HON'BLE MR. JUSTICE V. KAMESWAR RAO HON'BLE MR. JUSTICE VINOD KUMAR O R D E R %

24.11.2025 1. This petition has been filed with the following prayers: “A. Issue a writ of and/or order and or directions in the nature of certiorari or any other appropriate writ, order or direction quashing the impugned notice dated 31.03.2025 issued under Section 148A(1) of the Act and the order dated 24.06.2025 passed under Section 148A(3) of the Act along with the notice dated 24.06.2025 issued under Section 148 of the Act for AY 2019-20 and the proceedings initiated pursuant thereto; B. Issue a writ of and/or order and/or direction in the nature of Prohibition commanding Respondents to forebear from giving effect to and/or taking any step whatsoever pursuant to and/or in furtherance of the impugned notice dated 24.06.2025 issued under Section 148 of the Act and/or in any proceedings initiated thereunder for the AY 2019-20, and grant stay on the reassessment proceedings; C. Issue any other Writ, order, or direction which this Hon’ble Court may deem fit and proper in the facts and circumstances of the case. D. To dispense with from filing certified copies of Annexures. E. To allow the writ petition with cost in favour of the Petitioner and against the Respondents.” This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 01/12/2025 at 13:18:10

2.

Mr. Sumit Lalchandani learned counsel for petitioner makes two-fold submissions. One on the aspect of erroneous invocation of amended provisions despite applicability of the savings clause introduced by the Finance Act, 2024 and the second one that the learned Assessing Officer has issued notice on a particular premise, which he has changed while passing an Order under Section 148A(3) of the Income Tax Act, 1961 (the Act). 3. Insofar as the first submission is concerned, on a specific query to Mr. Sumit Lalchandani, Advocate whether such a plea was advanced while filing reply to notice under Section 148A(1) of the Act, the answer is in the negative. 4. Insofar as the second submission is concerned, having seen the notice issued under Section 148A(1) of the Act, the reply filed by the petitioner to the same and also the order passed by the Assessing Officer, we are not inclined to interfere with the notices/Order passed by the respondent. 5. At this stage, Mr. Sumit Lalchandani, Advocate states that he shall withdraw the writ petition and appear before the Assessing Officer and put forth its case including on the jurisdiction. 6. If that be so, the petition is disposed of as withdrawn granting liberty to the petitioner to urge all pleas, both on facts and in law before the Assessing Officer for his consideration. V. KAMESWAR RAO, J VINOD KUMAR, J NOVEMBER 24, 2025 dd This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 01/12/2025 at 13:18:10

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