GOUSE PEER vs. THE INCOME TAX OFFICER

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WP/9327/2024HC KarnatakaKAHC01016775202421 March 2025Bench: S.R.KRISHNA KUMAR6 pages
AI SummaryRemanded

What did the High Court hold?

The High Court allowed the petition. It noted that it was an undisputed fact that the petitioner had not filed a reply to the notice dated 23.02.2023 issued under Section 148A(b) of the IT Act. Without expressing any opinion on the merits of the rival contentions, the Court deemed it just and appropriate to set aside the impugned notices/orders at Annexures-A1 to A6. The matter was remitted back to the stage of submitting a reply to the notice under Section 148A(b) at Annexure-A. Liberty was reserved in favour of the petitioner to contest all further notices and proceedings in accordance with law. The Court directed that the petitioner's replies and documents submitted to Annexure-A should be considered by Respondent No.1, who must provide a sufficient and reasonable opportunity to the petitioner and proceed further in accordance with law. The operative direction was to set aside the impugned notices/orders and remit the matter for fresh consideration after the petitioner submits a reply.

What were the facts?

The petitioner, Gouse Peer, filed a writ petition before the High Court of Karnataka challenging several notices and orders issued by the Income Tax Department for Assessment Year 2016-17. These included a notice under Section 148A(b) dated 23.02.2023, an order under Section 148A(d) dated 30.03.2023, a notice under Section 148 dated 30.03.2023, an order under Section 147 r.w.s 144 dated 29.02.2024, and penalty notices under Sections 271(1)(c), 271(1)(b), and 271F dated 29.02.2024. The petitioner's primary contention was that due to bona fide reasons and unavoidable circumstances, he could not submit a reply to the notice under Section 148A(b). The Revenue contended that the petition lacked merit.

What were the issues?

1. Whether the notice issued under Section 148A(b) of the Income Tax Act, 1961, dated 23.02.2023, and subsequent proceedings are liable to be quashed on the ground that the petitioner could not file a reply due to bona fide reasons and unavoidable circumstances. Assessee's contention: The petitioner argued that due to bona fide reasons and unavoidable circumstances, he could not submit a reply to the notice at Annexure-A2 (dated 23.02.2023) issued by Respondent No.1 under Section 148A(b) of the Income Tax Act, 1961. Therefore, the said notice and all further proceedings pursuant thereto should be set aside, and the matter should be remitted back to the stage of issuing a fresh notice under Section 148A(b). Revenue's contention: The learned counsel for the respondents submitted that there is no merit in the petition and the same is liable to be dismissed.

Which sections of the Income-tax Act were involved?

Section 148A(b),Section 148A(d),Section 148,Section 147,Section 144,Section 271(1)(c),Section 271(1)(b),Section 271F

AI-generated summary — verify with the full judgment below

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NC: 2025:KHC:12079 WP No. 9327 of 2024

IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 21ST DAY OF MARCH, 2025 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 9327 OF 2024 (T-IT) BETWEEN:

GOUSE PEER SON OF LATE KHADAR MOHADDIN AGED ABOUT 42 YEARS NO 03, 4TH CROSS SEETHAPAP LAYOUT MANORA YANAPALYA, BANGALORE NORTH R T NAGAR BANGALORE 560032 PREVIOUSLYA AT NO. 35, VENKATASHAMAPPA LAYOUT 5TH CROSS, R T NAGAR CHAMUNDI NAGAR BANGALORE 560032.

…PETITIONER (BY SRI. RAVI SHANKAR S V.,ADVOCATE)

AND:

1.

THE INCOME TAX OFFICER WARD 5(2)(1) BANGALORE BMTC BUILDING 80 FEET ROAD, 6TH BLOCK NEAR KHB GAMES VILLAGE KORAMANGALA BENGALURU 560095

2.

THE INCOME TAX OFFICER WARD 6(3)(1) BANGALORE BMTC BUILDNG

Digitally signed by LEELAVATHI S R Location: High Court of Karnataka

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NC: 2025:KHC:12079 WP No. 9327 of 2024

80 FEET ROAD, 6TH BLOCK NEAR KHB GAMES VILLAGE KORAMANGALA BENGALURU 560095

3.

THE PRINCIPAL CHIEF COMMISSIONER OF INCOMET TAX KARANTAKA AND GOA BMTC BUILDING 80 FEET ROAD, 6TH BLOCK NEAR KHB GAMES VILLAGE KORAMANGALA BENGALURU 560095

4.

ASSESSMENT UNIT NATIONAL FACELSS ASSESSMENT CENTRE INCOME TAX DEPARMENT MINISTRY OF FINANCE ROOM NO 401, 2ND FLOOR E RAMP, JAWARLAL NEHRU STADIUM DELHI 110003.

…RESPONDENTS (BY SRI. M THIRUMALESH., ADVOCATE)

THIS WP IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASHING THE NOTICE ISSUED UNDER SECTION 148(b) OF THE ACT DTD 23.02.2023 OF THE ACT FOR THE ASSESSMENT YEAR 2016.17 BY THE R1 BEARING DIN AND NOTICE NO.ITBA/AST/F/148A(SCN)/2022.23/1050050187(1) HEREIN MARKED AS ANNEXURE-A AND ETC.

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

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NC: 2025:KHC:12079 WP No. 9327 of 2024

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

ORAL ORDER

Petitioner has filed this petition seeking for the following reliefs: “a) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice issued under section 148A(b) of the Act dated 23.02.2023 of the Act for the assessment year 2016-17 by the Respondent No.1 bearing DIN & Notice No. ITBA/AST/F/148A(SCN)/2022-23/1050050187(1) herein marked as Annexure - A.

b) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the order dated 30.03.2023 passed under section 148A(d) of the Act for the assessment year 2016-17 by the Respondent No.2 bearing DIN & Notice No. ITBA/AST/F/148A/2022-23/1051629512(1) herein marked as Annexure - A1.

c) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice dated 30.03.2023 issued under section 148 of the Act for the assessment year 2016-17 by the Respondent No.2 bearing DIN & Notice No. ITBA/AST/S/148_1/2022-23/1051645625(1) herein marked as Annexure - A2.

d) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the order dated 29.02.2024 passed under section 147 r.w.s 144 of the Act for the assessment year 2016-17 by the Respondent No.4 bearing DIN & Notice No. ITBA/AST/S/147/2023-24/1061706717(1) herein marked as Annexure - A3.

e) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notice dated 29.02.2024 issued under section 271(1)(c) of the Act for the assessment year 2016- 17 by the Respondent No.4 bearing DIN & Notice No. ITBA/PNL/S/271(1)(c)/2023-24/1061706738(1) herein marked as Annexure - A4.

f) Issue a writ of Certiorari or direction in the nature of a writ of

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NC: 2025:KHC:12079 WP No. 9327 of 2024

certiorari quashing the penalty notice dated 29.02.2024 issued under section 271(1)(b) of the Act for the assessment year 2016- 17 by the Respondent No.4 bearing DIN & Notice No. ITBA/PNL/F/271(1)(b)/2023-24/1061706737(1) herein marked as Annexure - A5.

g) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty notice dated 29.02.2024 issued under section 271F of the Act for the assessment year 2016-17 by the Respondent No.4 bearing DIN & Notice No. ITBA/PNL/S/271F/2023-24/1061706739(1) herein marked as Annexure - A6.

h) And pass such other orders as this Hon'ble Court deems fit and proper in the interest of justice and equity.”

2.

In addition to reiterating the various contentions urged in the present writ petition and referring to the material on record, learned counsel for the petitioner submitted that due to bona fide reasons/unavoidable circumstances and sufficient cause, the petitioner could not submit reply to the notice at Annexure-A2, dated 23.02.2023, issued by respondent No.1 under Section 148 A(b) of the Income Tax Act, 19611 and as such, the said notice as well as all further proceedings and further notices pursuant thereto may be set aside and the matter may be remitted back to the stage of the respondent No.1 issuing a fresh notice under Section 148A(b) of the IT Act and to proceed further in accordance with law.

1 Hereinafter referred to as the ‘IT Act’

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NC: 2025:KHC:12079 WP No. 9327 of 2024

3.

Per contra, learned counsel for the respondents submits that there is no merit in the petition and the same is liable to be dismissed. 4. Though several contentions have been urged by both the sides in support of their claims, it is an undisputed fact born out from the material on record that the petitioner had not filed his reply to the aforesaid notice at Annexure-A dated 23.02.2023 issued by respondent No.1 under Section 148 of the IT Act. 5. Under these circumstances, without expressing any opinion on the merits or demerits of the rival contentions, I deem it just and appropriate to set aside the impugned notices/orders at Annexures- A1 to A6 and remit the matter back to the stage of submitting reply to notice under Section 148A(b) atAnnexure-A issued by respondent No.2 and reserve liberty in favour of the petitioner to contest all further notices, proceedings, etc., in accordance with law. 6. In the result, the following

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NC: 2025:KHC:12079 WP No. 9327 of 2024

ORDER

i) Petition is hereby allowed.

ii) The impugned notices/orders at Annexures- A1 to A6 are hereby set aside. The matter is remitted back to the stage of petitioner submitting reply to Annexure-A dated 23.02.2023 issued under Section 148A(b) of the IT Act and to proceed further in accordance with law and liberty is reserved in favour of the petitioner to submit replies, documents, etc., to Annexure-A1, dated 23.02.2023 which shall be considered by respondent No.1, who shall provide sufficient and reasonable opportunity to the petitioner and proceed to further in accordance with law.

iii) Liberty is reserved in favour of the petitioner to submit replies, documents etc., to Annexure-A1 dated 23.02.2023 which shall be considered by respondent No.1 who shall provide sufficient and reasonable opportunity to the petitioner and proceed in accordance with law.

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

BS List No.: 1 Sl No.: 53

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