Karnataka High Court
Nandish Dommallur vs The Director General Of Income Tax ... on 17 December, 2025
Author: S.R.Krishna Kumar
Bench: S.R.Krishna Kumar
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NC: 2025:KHC:54111
WP No. 37520 of 2025
HC-KAR
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 17TH DAY OF DECEMBER, 2025
BEFORE
THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR
WRIT PETITION NO.37520 OF 2025 (T-IT)
BETWEEN:
NANDISH DOMMALLUR
S/O SHIVANNA LINGIAH DOMMALLUR
AGED ABOUT 64 YEARS,
R/AT C-12 NO.156, EPSILON VENTURES,
VILLA LAYOUT, AMMANI BELANDUR,
MARATHAHALLI,
BANGALORE - 560 037.
...PETITIONER
(BY SRI. BALRAM R. RAO, ADVOCATE)
AND:
1. THE DIRECTOR GENERAL OF
INCOME TAX (INVESTIGATION)
3RD FLOOR-CR BUILDING,
QUEENS ROAD,
BANGALORE - 560001.
Digitally signed by
AASEEFA
PARVEEN 2. DEPUTY COMMISSIONER OF INCOME
Location: HIGH
COURT OF TAX-CIRCLE 1(2)
KARNATAKA 3RD FLOOR-CR BUILDING, QUEENS ROAD,
BANGALORE - 560001
...RESPONDENTS
(BY SRI. M. DILIP, ADVOCATE)
THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF
THE CONSTITUTION OF INDIA, PRAYING TO DIRECT THE R-1
TO REFUND RS.2,18,71,565/- DUE TO M/S PROTEIN
ENTERTAINMENT PVT. LTD., IN THE NAME AND BANK
ACCOUNT OF THE MANAGING DIRECTOR OF THE COMPANY
ALONG WITH APPLICABLE INTEREST.
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NC: 2025:KHC:54111
WP No. 37520 of 2025
HC-KAR
THIS PETITION, COMING ON FOR PRELIMINARY
HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR
ORAL ORDER
In this petition the petitioner seeks for the following reliefs:
"WHEREFORE, the petitioner most respectfully prays that this Hon'ble Court may be pleased to Issue a Writ of Mandamus or any other appropriate writ, order or direction, directing the Respondent No.1 to refund Rs.2,18,71,565/- due to M/s. Protein Entertainment Pvt. Ltd., in the name and bank account of the managing director of the company along with applicable interest and /or Pass such other or further orders as this Hon'ble Court may deem fit in the interest of justice and equity."
2. A perusal of the material on record will indicate that refund in favour of M/s. Protein Entertainment Private Limited was sanctioned by the respondent vide order dated 01.08.2025 pursuant to which the petitioner who is the managing director of the said company issued an intimation to the second respondent seeking refund in his name on the ground that apart from him it is only his -3- NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR wife Smt.Nishitha Nandish who was the other share holder and indemnity bond was executed by the petitioner and no objection certificate/communication was issued by his wife Smt.Nishitha Nandish to the respondents. It is the grievance of the petitioner that despite repeated request made to the respondents for issuance of refund manually in the name of the petitioner, the respondents have not taken any steps in this regard and as such the petitioner is before this Court by way of present writ petition.
3. It is submitted that apart from the petitioner/managing director and his wife Smt.Nishitha Nandish who was the other director and the only other share holder of the aforesaid company M/s.Protein Entertainment Pvt. Ltd., in whose favour refund was sanctioned, there are no other directors, share holders or claimants in respect of the said amount directed to be refunded in favour of the said company and as such both the petitioner and his wife have filed affidavits before this Court in this regard.
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4. The affidavits of both petitioner and his wife reads as under:
AFFIDAVIT
1. I Nandish Dommallur S/o Shivanna Lingiah Dommallur aged about 64 years R/a C-12 No.156, Epsilon Ventures, Villa Layout, Ammani Belandur, Marathahalli, Bangalore 560037 do hereby solemnly affirm and state as follows:
2. That I am having PAN AAZPN57193 and the same has been has been duly enclosed to this affidavit.
3. That my Aadhar No. is 5877 4856 4483. The Aadhar has been duly enclosed to this affidavit.
4. That I and my wife namely Mrs. Nishita Nandish were the two directors of the M/s Protein Entertainment Pvt. Ltd having the address at level 14 and 15, Kasturba Road, U B City, Bangalore 560001 and having PAN: AAFCP5059A.
5. That M/s Protein Entertainment Pvt. Ltd. has become a defunct company due to non-furnishing of financial statements to Ministry of Company Affairs continuously for 3 years.
6. That on 24.08.2017, a search was conducted on M/s Protein Pvt. Ltd., the case was centralized with ACIT, Central Circle -1(2),Bangalore vide order no 45/centralisation PCIT-4/2017-18/739 dt :22.112017
7. That subsequent to search conducted u/s 132 by Income-tax Department, the money kept in bank for the purpose of repayment of un secured loan has been seized. subsequently, I have repaid all the loans standing in the name of the company.
8. That a notice u/s 153A of the act dt:31/07/2018 was issued calling for Return of Income and in -5- NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR response to the notice, return of income was filed declaring 'NIL' income and claiming refund of Rs.34,00,000/-.
9. That pursuant to the filing of return of income, The Deputy Commissioner of Income Tax 1 (2) concluded the assessment u/s 153A of the act by making an addition of Rs.82,79,000/- u/s 69A of the Act.
10. That Aggrieved by the order of The Deputy Commissioner of Income Tax 1 (2), I on behalf of the company filed an appeal before the CIT(A) -11, Bangalore on 28.01.2020. The aforesaid appeal of the company came to be dismissed on 31.01.2024.
11. That aggrieved by the appellate order dt:
28.01.2020 I filed an appeal before the Income Tax Appellate Tribunal at Bangalore Bench -c vide appeal no .586- 591/Bang/2024.The appeals of the company came to be allowed vide order dt. 23.05.2025.
12. That the other director of the company. Mrs. Nishita Nandish filed a letter dt:22.07.2025 before The Deputy Commissioner of Income Tax 1 (2) intimating the filing of no objection for issue of refund in my name and bank account.
13. That vide letter dt.25.07.2025 1 informed The Deputy Commissioner of Income Tax 1 (2) that the company is Struck off and the bank account of the company is not in operation, hence the refund may be issued to my bank account. I also filed a no objection certificate from the other director Viz., Nishita Nandish and also filed an indemnity bond to the AO signed by the other director Nishita Nandish to the extent of her share in the company.
14. That subsequently The Deputy Commissioner of Income Tax 1 (2) vide order dt.01.08.2025 passed an Order Giving Effect to the ITAT Order and determined the tax refundable of Rs. 41,44,953/r for AY 2013 -2014 Rs 31,41,870 2012-2013, Rs. 2,23,435/- for AY for AY 2014-2015, Rs.
-6-NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR 69,17,3327 for AY 2015-2016, Rs. 50,75,975/- for AY.2016-2017, Rs. 23,68,000 for AY 2017-2018, totaling to Rs. 2,18,71,565/-
15. That the AO took necessary permission from the Additional Commissioner Range-1 Central Circle Bangalore to issue refund to my bank account and the bank account details were updated and approved in the Income-tax software by the AO. This procedure is part of the OGE passed by the AO.
16. That subsequently on 26.09.2025 I being the erstwhile director intimated The Deputy Commissioner of Income Tax 1 (2) that the Order Giving Effect to in respect of the company namely Protein Entertainment Pvt. Ltd. from A.Y.2012-13 to A.Y.2017-18 was passed and refund was not yet received. Further it was also requested that the refund may be handed over to the me manually as the company was defunct.
17. That I again filed a letter dt: 14.10.2025 before The Deputy Commissioner of Income Tax 1 (2) reiterating the fact that no refund has been issued since the passing of the Order 2025 and Giving Effect dt: N TARY requested for a manual refund explaining the situation in detail.
18. That based on my request, the AO on 15.10.2025 sent an e-mail to CPC to issue refund to the updated Director's Bank account.
19. That in response to AO's e-mail, the CPC on 27.10.2025 sent an e-mail to the AO to consider issuing refund through manual cheque as per ITBA ASSESSMENT INSTRUCTION NO.11/2019 in F.NO.system/ITBA/Instruction /Assessment/177/16- 17 dt. 18.6.2019.
20. That on 31.10.2025 The Deputy Commissioner of Income Tax 1 (2) vide letter in F.No. DCIT C.C- 1(2)/OGE/25-26 dt. 31.10.2025 submitted a detailed report and proposal to The Director General of Income tax through proper channel explaining -7- NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR the situation and recommended for issue of refund through manual cheque.
21. That The Deputy Commissioner of Income Tax 1 (2) vide letter dt. 13.11.2025 having DIN ITBA/COM/F/17/2025-26/1082592371(1) intimated me that 'The Director General Income Tax then email dt. 12.11.2025 has rejected the proposal for issuance of manual cheque/ refund,with a comment refund arising in the name of the company cannot be issued in the name of person other than Company"
22. That the Pr.Commissioner of Income-tax (Central) vide letter in F.No.18/Misc/Pr.CIT/2025- 26/dt. 17.11.2025 has recommended for issue of manual cheque as per ITBA Instruction No. 11/2019 Assessment system/ITBA/Instruction/Assessment/177/16-17 18.6.2019. in F.NO. dt.
23. That the banks accounts of M/s Protein Entertainment Pvt. Ltd. have been removed from the Income Tax Portal effective till date.
24. That it is further submitted that there are no other directors in the company and the only directors are the two of us who are having 50% share each.
25. That there stands no existing liability against the company except the liability arising out of the capital invested by the two directors.
-8-NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR AFFIDAVIT
1. I Nishitha Nandish W/o Nandish Shivanna Dommallur aged about 59 Years residing at: C-12 No. 156, EpsilonVentures, Villa Layout, Ammani Belandur, Bangalore 560037 do here by solemnly affirm and state as follows:
2. That, I am a director of erstwhile M/s. Protein Entertainment Pvt Ltd along with my husband namely Nandish Shivanna Dommallur, both having equal share in the company.
3. That, my PAN No is ADPPN6775R, and Aadhar No. 4086 0370 6411 copies are enclosed in this regard.
4. That, M/s Protein Entertainment has become a defunct company due to non-furnishing of financial statements to Ministry of Company Affairs continuously for 3 years.
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5. That, On 24.08.2017, a search was conducted on M/s Protein Pvt. Ltd., the case was centralized with ACIT, Central Circle 1(2), Bangalore vide order No.45/Centralisation/PCIT- 4/2017-18/739 dt :22.11.2017
6. That subsequent to search conducted u/s 132 by Income-tax Department, the money kept in bank for the purpose of repayment of unsecured loan has been seized, subsequently, that the other director namely Mr. Nandish Shivanna Dommallur herein Petitioner in the instant case has repaid the loan standing in the name of the company.
7. Notice u/s 153A of the act dt: 31/07/2018 was issued calling for Return of Income and in response to the notice, return of income was filed declaring 'NIL' income and claiming refund of Rs.34,00,000/- .
8. That, pursuant to the filing of return of income, the Deputy Commissioner of Income Tax 1(2)-the respondent 2 in the instant case concluded the assessment u/s 153A of the act by making an addition of Rs.82,79,000/- u/s 69A of the Act.
9. Aggrieved by the order of the Deputy Commissioner of Income Tax 1(2)- 2nd Respondent, the other director Mrs Nandish Shivanna Dommallur herein the petitioner filed an appeal before the CIT (A)- 11,Bangalore on 28.1.2020 theaforesaid appeal of the company came to be dismissed on 31.01.2024.
10. Aggrieved by the aforesaid appellate order an appeal was filed before the Income Tax Appellate Tribunal at Bangalore Bench C vide appeal No.586- 591/Bang/2024. The appeals of the company came to be allowed vide order dt. 23.05.2025.
11. I filed a letter dt: 22.07.2025 before the Deputy Commissioner of Income Tax 1(2)-2nd respondent intimating no objection for issue of refund to the other Director i.e. namely Mr.
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NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR Nandish Shivanna Dommallur the Petitioner in the instant case.
12. My husband who is the other director of the company vide letter dt. 25.07.2025 informed the Deputy Commissioner of Income Tax 1(2)- respondent no. 2 that the company is Struck off and the bank account of the company is not in operation, hence the refund may be issued in his Bank A he also submitted a No Objection Certificate (NOČ )signed by me as well as an indemnity bond signed by me to the extent of my share to the Assessing Officer and the same is enclosed at Para No. of the said Writ Petition.
13. Subsequent, to the order of ITAT in the case of M/s Protein Entertainment Pvt Ltd the 2nd Respondent vide order dt.01.08.2025 passed an Order Giving Effect to the ITAT Order and determined the tax refundable of Rs. 4144953 for AY 2012-2013, Rs. 223435 for AY 2013-2014, Rs. 3141870 for AY 2014-2015, Rs. 69,17332/- for AY 2015-2016, Rs. 5075,975 for AY 2016-2017, Rs. 2368000 for AY 2017-2018, totalling to Rs. 21871,565/-.
14. The AO took necessary permission from the Additional Commissioner Range-1 Central Circle Bangalore to issue refund to the bank account of Mr. Nandish Shivanna Dommallur the Petitioner and the bank account details were updated and approved in the Income-tax software by the AO. This procedure is part of the OGE passed by the AO.
15. Subsequently on 26.09.2025 the other director Mr.NandishShivanna Dommallur intimated the Deputy Commissioner of Income Tax 1(2)- respondent No. 2 that the Order Giving Effect to in respect of the company namely Protein Entertainment Pvt. Ltd. for A.Y.2012-13 to Α.Υ. 2017-18 was passed, and refund was not yet received. Further it was also requested that the
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NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR refund may be handed over to the petitioners manually as the company was defunct.
16. The other director namely Mr. Nandish Shivanna Dommallur herein Petitioner in the instant case again filed a letter dt: 14.10.2025 before the Deputy Commissioner of Income Tax 1(2)-2nd respondent reiterating the fact that no refund has been issued since the passing of the Order Giving Effect dt: 01.08.2025 and requested for a manual refund explaining the situation in detail.
17. Based on the request of the other director namely Mr. Nandish Shivanna Dommallur herein Petitioner in the instant case, the AO on 15.10.2025 sent an e-mail to CPC to issue refund to the updated Directors bank account.
18. In response to AO's e-mail, the CPC on 27.10.2025 an e-mail to the AO to consider issuing refund through manual cheque as per ITBA ASSESSMENT INSTRUCTION NO. 11/2019 F.NO.system/ITBA/Instruction/Assessment/177/16
-17 18.6.2019. 5 dt
19. On 31.10.2025 the Deputy Commissioner of Income Tax 1(2)-Respondent No. 2 vide letter in F.No. DCIT C.C-1(2)/OGE/25-26 dt. 31.10.2025 submitted a detailed report and proposal to The Director General of Income tax Respondent No 1 through proper channel explaining the situation of the petitioner and recommended for issue of refund through manual cheque.
20. The Deputy Commissioner of Income Tax 1(2)- respondent no 2 vide letter dt. 13.11.2025 having DIN ITBA/COM/F/17/2025-26/1082592371(1) intimated the petitioner that 'The respondent no 1- The DGIT through an email dt. 12.11.2025 has rejected the proposal for issuance of manual cheque/ refund,with a comment "refund arisingin the name of the company cannot be issued in the name of person other than Company".
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NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR
21. Further the Pr. Commissioner of Income-tax (Central) vide letter in F.No.18/Misc/Pr. CIT/2025- 26/dt. 17.11.2025 has recommended for issue of manual cheque as per ITBA Assessment Instruction No. system/ITBA/Instruction/Assessment/177/16- 17 18.6.2019. 11/2019 ENO dt
22. The banks accounts of M/s Protein Entertainment Pvt Ltd have been removed from the Income Tax Portal effective till date.
23. That, there are no other directors in the company, and the only directors are the two of us who are having 50% share each.
24.that there stands no existing liability against the company except the liability arising out of the capital invested by the two directors.
25. That, I have no objection for the transfer of refund due to M/s. Protein Entertainment Pvt Ltd in the name and bank account of the only other director Mr. Nandish Shivanna Dommallur herein Petitioner in the instant case.
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NC: 2025:KHC:54111 WP No. 37520 of 2025 HC-KAR
5. In view of the aforesaid facts and circumstances, I deem it just and appropriate to dispose of this petition directing the concerned respondent to refund a sum of Rs.2,18,71,565/- due to M/s.Protein Entertainment Pvt. Ltd., by giving a refund manually in favour of the petitioner within a period of four weeks from today.
6. It is made clear that the present order is passed in the peculiar/unique/special facts and circumstances of the instant case and the present order shall not be treated as a precedent nor shall carry any precedential value for any purpose what so ever.
7. Accordingly, the petition is disposed of.
Sd/-
(S.R.KRISHNA KUMAR) JUDGE NS CT:TSM, List No.: 2 Sl No.: 14