DARSHAN LAL vs. INCOME TAX OFFICER AND OTHERS

PDF · subscribers
CWP/17831/2025HC Punjab & HaryanaPHHC01098085202503 July 2025Bench: MRS. JUSTICE LISA GILL,MRS. JUSTICE SUDEEPTI SHARMA2 pages
AI SummaryPartly Allowed

What did the High Court hold?

The High Court held that the present writ petition is covered by the judgments of a Co-ordinate Bench in Jatinder Singh Bhangu vs. Union of India and Jasjit Singh vs. Union of India. In those cases, the writ petitions were allowed on similar issues, with liberty granted to the revenue to follow the procedure laid down under the Act, 1961, and proceed accordingly if so advised. Consequently, the present writ petition was disposed of in terms of these precedents. The operative direction was to dispose of the petition in terms of the cited judgments, implying the quashing of the impugned notice, with liberty to the revenue to issue a fresh notice if permissible under the law. No specific amount in dispute was recorded.

What were the facts?

The petitioner, Darshan Lal, challenged a notice dated August 29, 2024, issued under Section 148 of the Income Tax Act, 1961, and all consequential actions for Assessment Year 2018-2019. The challenge was based on the contention that the issuing authority lacked jurisdiction due to a CBDT circular dated March 29, 2022, which purportedly vested exclusive power to issue such notices in the National Faceless Assessment Centre (NFAC). The revenue, represented by the Income Tax Officer, Ward 2 (1), Ludhiana, and others, did not dispute this contention. The High Court of Punjab and Haryana at Chandigarh considered the matter.

What were the issues?

1. Whether the notice dated August 29, 2024, issued under Section 148 of the Income Tax Act, 1961, for AY 2018-2019 is invalid on the ground that the issuing authority lacked jurisdiction, considering the CBDT circular dated March 29, 2022, which allegedly grants exclusive power to the NFAC to issue such notices? (Question of law) Assessee's Contentions: The petitioner argued that the issuing authority had no jurisdiction to issue the Section 148 notice, relying on the CBDT circular dated March 29, 2022, which stipulated that the NFAC has exclusive power in this regard. The petitioner cited the judgments in Jatinder Singh Bhangu vs. Union of India and Jasjit Singh vs. Union of India as precedents. Revenue's Contentions: The learned counsel for the Union of India did not dispute the petitioner's contentions.

Which sections of the Income-tax Act were involved?

Section 148

AI-generated summary — verify with the full judgment below

CWP-17831-2025 (O&M) 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 144 CWP-17831-2025 (O&M) Date of Decision:-03.07.2025 Darshan Lal ....Petitioner Vs. Income Tax Officer, Ward 2 (1), Ludhiana, Punjab & ors.

...Respondents CORAM: HON'BLE MRS. JUSTICE LISA GILL HON'BLE MRS. JUSTICE SUDEEPTI SHARMA Present: Mr. Vishav Bharti Gupta and Ms. Mamta Gupta, Advocates for the petitioner. Mr. Ranvijay Singh, Sr. Standing counsel for the respondents. *** SUDEEPTI SHARMA, J. 1. Challenge in the present petition is to notice dated 29.08.2024 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961”) and all consequential actions, for AY 2018-2019. 2. Learned counsel for the petitioner contends that the issue involved in the present writ petition is covered by the judgment passed by a Co-ordinate Bench of this Court in the cases of Jatinder Singh Bhangu vs. Union of India and others, passed in CWP No. 15745-2024 and connected matter, decided on 19.07.2024 and Jasjit Singh vs. Union of India and others (CWP No. 21509- 2023 and other connected matters), decided on 29.07.2024. 3. Learned counsel appearing for Union of India has also not disputed the same. 4. We have heard learned counsel for the parties and perused the whole records of the case. 5. The petitioner has challenged the notice dated 29.08.2024 issued Gaurav Arora 2025.07.09 10:12 I attest to the accuracy and integrity of this document

CWP-17831-2025 (O&M) 2 under Section 148 of the Act, 1961 and all consequential actions, for AY 2018-2019 on the ground that the Issuing Authority had no jurisdiction to issue the same, in view of the circular/notification dated 29.03.2022 of the CBDT, wherein, it has been specifically enumerated that the NFAC has exclusive power to issue the notice under Section 148 of the Act, 1961. 6. A Co-ordinate Bench of this Court in Jatinder Singh Bhangu’s case (supra) and Jasjit Singh’s case (supra), allowed the writ petitions on the same issue, as raised in the present writ petition, by granting liberty to the revenue to follow the procedure as laid down under the Act, 1961 and proceed accordingly, if so advised. 7. In view of the above, the present writ petition is disposed of, in terms of Jatinder Singh Bhangu’s case (supra), decided on 19.07.2024 and Jasjit Singh’s case (supra), decided on 29.07.2024. 8. All the pending applications, if any, also stand disposed of. (LISA GILL)

(SUDEEPTI SHARMA) JUDGE JUDGE 03.07.2025

Gaurav Arora Whether speaking/reasoned : Yes/No Whether reportable : Yes/No Gaurav Arora 2025.07.09 10:12 I attest to the accuracy and integrity of this document

More judgments on Section 148

All 35,022 judgments and leading authorities on Section 148 →

Recent GST High Court judgments

Search GST case law →