YESUDASS RASS, vs. THE INCOME TAX OFFICER,

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WP/8105/2024HC KarnatakaKAHC01014800202431 October 2025Bench: S.R.KRISHNA KUMAR6 pages
AI SummaryAllowed

What did the High Court hold?

The High Court allowed the petition. It was undisputed that the petitioner had not submitted a reply to the Section 148A(b) notice. Considering the petitioner's assertion that his inability to respond was due to bonafide reasons, unavoidable circumstances, and sufficient cause, and that he would submit a reply if given another opportunity, the Court deemed it just and appropriate to set aside the impugned orders. The matter was remitted back to the Income Tax Officer (Respondent No. 1) for reconsideration from the stage of the petitioner submitting a reply to the Section 148A(b) notice. The petitioner was granted liberty to submit additional pleadings and documents, which the respondent was directed to consider before proceeding in accordance with law. The Court explicitly set aside notices/orders at Annexures-E, F, H, H1, J, and J1.

What were the facts?

The petitioner, Yesudass Rass, filed a writ petition before the High Court of Karnataka challenging notices and orders issued by the Income Tax Officer and Assessment Unit for Assessment Year 2018-19. The challenge was primarily against a notice issued under Section 148 of the Income Tax Act, 1961, dated March 30, 2022, and subsequent assessment and penalty orders. The petitioner contended that he did not receive or notice the Section 148A(b) notice dated March 20, 2022, as it was uploaded to the e-filing portal, and he was unaware of it. This prevented him from filing a reply or submitting documents, leading to ex-parte orders. He claimed this omission was due to bonafide reasons and unavoidable circumstances, seeking an opportunity to respond.

What were the issues?

1. Whether the notice issued under Section 148 of the Income Tax Act, 1961, dated March 30, 2022, for Assessment Year 2018-19, is bad in law and without jurisdiction, having been issued after an order under Section 148A(d) of the Act, in violation of principles of natural justice? Assessee's Contention: The petitioner argued that the Section 148A(b) notice dated March 20, 2022, was not properly served as it was uploaded to the e-filing portal, and he was unaware of it. This prevented him from filing a reply, leading to the impugned orders being violative of natural justice and without jurisdiction. He sought an opportunity to respond. Revenue's Contention: The revenue contended that the petition had no merit and was liable to be dismissed.

Which sections of the Income-tax Act were involved?

Section 148,Section 148A,Section 147,Section 144,Section 271AAC,Section 270A

AI-generated summary — verify with the full judgment below

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 31ST DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 8105 OF 2024 (T-IT) BETWEEN:

YESUDASS RASS, S/O S A RASS, AGED ABOUT 68 YEARS, NO. 14, 1ST CROSS, KALKERE ROAD, RAMAMURTHY NAGAR S. O., BANGALORE NORTH, BANGALORE – 560 016. …PETITIONER (BY SRI. KASHINATH KAMATH, ADVOCATE FOR SRI. RAMA MURTHY R., ADVOCATE)

AND:

1.

THE INCOME TAX OFFICER, WARD -4(1)(1), BMTC BLDG, 6TH BLOCK, KORAMANGALA, BANGALORE – 560 095.

2.

ASSESSMENT UNIT, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE, UNION OF INDIA, NEW DELHI – 110 001. …RESPONDENTS (BY SRI. SUSHAL TIWARI, ADVOCATE)

THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASHING THE NOTICE ISSUED U/S 148 OF THE ACT DATED 30.03.2022 IN DIN ITBA/AST/S/148 1/2021-22/1042028489(1) (ANNEXURE-F) FOR THE AY 2018-19 ISSUED BY THE 1ST REPONDENT AS THE IS ISSUED AFTER AN ORDER DATED 29.03.2022 MADE U/S 148 A(D) OF THE ACT WHICH IS IN VIOLATION OF PRINICPLES OF NATURAL

Digitally signed by CHANDANA B M Location: High Court of Karnataka

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

JUSTICE AND THE NOTICE ISSUED U/S 148 OF THE ACT IS BAD IN LAW AND WITHOUT JURISDICTION AND ETC.,

THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR

ORAL ORDER

In this petition, petitioner seeks for the following reliefs:- “1. The Petitioner humbly prays this Hon'ble Court be pleased to issue a Writ of Certiorari or in the nature of Writ of Certiorari quashing the notice issued u/s.148 of the Act, dated 30.03.2022 in DIN ITBA/AST/S/148_1/2021-22/1042028489(1) (Annexure-F) for the assessment year 2018-19 issued by the first Respondent as the same is issued after an order dated 29.03.2022 made u/s 148A(d) of the Act which is in violation of principles of natural justice and the Notice issued u/s 148 of the Act is bad in law and without jurisdiction. 2. The Petitioner humbly prays this Hon'ble Court be pleased to issue a Writ of Certiorari or in the nature of Writ of Writ of Certiorari quashing the order of assessment made u/s.147 r.w.s. 144 on 29.03.2023 in DIN ITBA/AST/S/147/2022-23/1051618557(1) for the assessment year 2018-19 (Annexure-H) by the First Respondent, as without jurisdiction and violative of principles of natural justice.

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

3.

The Petitioner humbly prays this Hon'ble Court be pleased to issue a Writ of Certiorari or in the nature of Writ of Writ of Certiorari quashing the order of Ex- party Penalty order made u/s.271AAC on 11.09.2023 in ITBA/PNL/F/271AAC(1)/2023-24/1055959232(1) for the assessment year 2018-19 (Annexure-J) by the 2nd Respondent, as without jurisdiction and violative of principles of natural justice. 4. The Petitioner humbly prays this Hon'ble Court be pleased to issue a Writ of Certiorari or in the nature of Writ of Writ of Certiorari quashing the order of Ex- party Penalty order made u/s.270A on 12.09.2023 in ITBA/PNL/F/270A/2023-24/1056009348(1) for the assessment year 2018-19 (Annexure-J1) by the 2nd Respondent, as without jurisdiction and violative of principles of natural justice. 5. This Hon'ble court may be pleased to issue such other writs or directions as this Hon'ble Court deems fit it in the interest of justice.” 2. Heard learned counsel for the parties and perused the material on record.

3.

In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that notice issued by the respondents under Section 148A(b) of the Income Tax Act,

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

1961 (for short, ‘IT Act’) dated 20.03.2022 was received by petitioner and could not file reply/ documents to the same since the petitioner was not aware of the notice as it was uploaded in the E- filing portal and therefore, the said notice as well as all the further notices went un-noticed by the Petitioner and hence he could not file reply/ documents and contest the proceedings. It is submitted that the inability and omission on the part of the petitioner to submit reply / response along with documents to the Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and as such, if one more opportunity is provided to the petitioner to do so by setting aside the impugned orders and notices, the petitioner would do so and respondents may be directed to proceed further in accordance with law. 4. Per contra, learned counsel for the respondents submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned order will indicate that it is an undisputed fact that petitioner has not submitted reply / response along with documents to Section 148A(b) notice. Under these circumstances, in view of the specific assertion on the part of

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

the petitioner that his inability and omission to submit a reply along with documents to Section 148A(b) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and if one more opportunity is granted, petitioner would submit reply along with documents, I deem it just and appropriate to set aside the impugned orders at Annexure – H dated 29.03.2023 passed by respondent No.1 and subsequent notice / orders, etc., and remit the matter back to respondent No.1 for reconsideration afresh from the stage of submitting of reply by the petitioner to Section 148A(b) notice and to proceed further in accordance with law. 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures-E, F, H, H1, J and J1 dated 29.03.2022, 30.03.2022, 29.03.2023, 29.03.2023, 11.09.2023 and 12.09.2023, respectively, are hereby set aside. (iii) Matter is remitted back to respondent No.1 for reconsideration afresh in accordance with law from the stage of petitioner submitting reply to the Show Cause

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HC-KAR NC: 2025:KHC:44213 WP No. 8105 of 2024

Notice under Section 148A(b) of the IT Act dated 20.03.2022. (iv) Liberty is reserved in favour of the petitioner to submit additional pleadings, documents, etc., to the respondent, who shall consider the same and proceed further in accordance with law.

Sd/- (S.R.KRISHNA KUMAR) JUDGE

BMC List No.: 2 Sl No.: 21

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