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Karnataka High Court

Sri Vishwa Jyothi Agri Cottons vs The Deputy Commissioner Of Income Tax on 25 March, 2025

Author: Jyoti Mulimani

Bench: Jyoti Mulimani

                                           -1-
                                                      NC: 2025:KHC-D:5476
                                                   WP No. 101939 of 2025




                         IN THE HIGH COURT OF KARNATAKA,
                                   DHARWAD BENCH
                      DATED THIS THE 25TH DAY OF MARCH, 2025
                                        BEFORE
                      THE HON'BLE MS. JUSTICE JYOTI MULIMANI
                      WRIT PETITION NO. 101939 OF 2025 (T-IT)

               BETWEEN:

               SRI VISHWA JYOTHI AGRI COTTONS,
               PARTNERSHIP FIRM REGISTERED
               UNDER INDIAN PARTNERSHIP ACT, 1932,
               REPRESENTED BY AUTHORISED REPRESENTATIVE,
               SHRI. RAHUL, AGED ABOUT 22 YEARS,
               PLOT NO.6 TO 20, Q-3 4,5 AND SPL-14,
               INDUSTRIAL ESTATE, HYDERABAD ROAD,
               RAICHUR-584 134.
                                                       ...PETITIONER
               (BY SRI. RAVISHANKAR S.V. AND
                   SRI. SHASHANK S.HEGDE, ADVOCATES)

               AND:

                    THE DEPUTY COMMISSIONER OF INCOME TAX,
Digitally signed by
                    CENTRAL CIRCLE, BELLARY,
PREMCHANDRA M R SURESH COMPLEX,
Location: HIGH
COURT OF            SANJAY GANDHI NAGAR,
KARNATAKA           INFANTRY ROAD, BELLARY-583 104.
                                                             ...RESPONDENT
               (BY SRI. M. THIRUMALESH AND
                   SMT. ROOPA ANAVEKAR, ADVOCATES)


                    THIS WRIT PETITION IS FILED UNDER ARTICLES 226
               AND 227 OF THE CONSTITUTION OF INDIA, SEEKING CERTAIN
               RELIEFS.

                   THIS WRIT PETITION IS LISTED FOR PRELIMINARY
               HEARING, THIS DAY, AN ORDER IS MADE AS UNDER:
                                  -2-
                                                 NC: 2025:KHC-D:5476
                                            WP No. 101939 of 2025




                           ORAL ORDER

Sri.Ravishankar.S.V., and Sri.Shashank S.Hegde., counsel for the petitioner and Smt.Roopa Anavekar., counsel for the respondent have appeared in person.

Sri.M.Thirumalesh., counsel for the respondent has appeared through video conferencing.

2. Though the matter is listed today for preliminary hearing, with the consent of counsel for the respective parties it is heard.

3. The captioned Writ Petition is filed seeking following reliefs:

a) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the order dated 05.03.2025 passed under section 143(3) of the Act for the assessment year 2023-24 by the Respondent bearing DIN and Order No. ITBA/AST/S/143(3)/2024-

25/1074032775(1) vide Annexure-A.

b) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty show cause notice dated 05.03.2025 issued under section 271AAC(1) of the Act for the assessment year 2023-24 by the Respondent bearing DIN and Notice No. -3- NC: 2025:KHC-D:5476 WP No. 101939 of 2025 ITBA/PNL/S/271AAC(1)/2024-25/1074056294(1) vide Annexure-A1.

c) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty show cause notice dated 05.03.2025 issued under section 270A of the Act for the assessment year 2023-24 by the Respondent bearing DIN and Notice No. ITBA/PNL/S/270A/2024-25/1074033054(1) vide Annexure- A2.

d) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the penalty show cause notice dated 05.03.2025 issued under section 271AAB of the Act for the assessment year 2023-24 by the Respondent bearing DIN and Notice No. ITBA/PNL/S/271AAB/2024-25/1074033122(1) vide Annexure-A3.

4. Counsel for the respective parties urged several contentions.

Counsel Sri.Ravishankar.S.V., in presenting his arguments submits that the records were maintained manually, the petitioner could not convert the same into digital format. Hence, there was a delay in submitting the details. Therefore, the petitioner could not furnish the details as required by the authority. Counsel therefore, submits that the assessment -4- NC: 2025:KHC-D:5476 WP No. 101939 of 2025 order may be quashed and opportunity may be accorded to the petitioner to submit the details as required by the respondent.

By way of reply, counsel Sri.M.Thirumalesh., submits that despite granting several opportunities the petitioner did not submit the details called for by the authorities. He justified the action on the part of the authority and submitted that the writ petition may be dismissed.

5. Heard the arguments and perused the Writ papers with care.

6. The assessment order is called into question in this Writ Petition on several grounds as setout in the Memorandum of Writ Petition. The assessment order is furnished along with the Writ Petition and the same is marked as Annexure-A. A perusal of the same would reflect that the Income Tax Department proceeded to pass the assessment order stating that despite giving sufficient opportunities to represent its case, the assessee failed to furnish required details called for. Hence, the department proceeded to pass the assessment order. Because of non-conversion of the manual records into the digital format, the petitioner could not furnish the details as -5- NC: 2025:KHC-D:5476 WP No. 101939 of 2025 sought by the authority. In my view, an opportunity may be accorded to the petitioner to submit the details. Hence, this Court deems it proper to quash the assessment order dated:05.03.2025, the matter requires a remand.

7. The Writ of Certiorari is ordered. The assessment order dated 05.03.2025 and consequently the show cause notices dated:05.03.2025 vide Annexures-A1, A2 and A3 are quashed. The matter is remanded to the respondent to reconsider the matter and the proceedings are remanded to the stage of notice dated:19.06.2024, and the assessee is directed to produce the details/ documents. Since the petitioner is represented by its counsel, the petitioner is directed to appear before the respondent on 28.04.2025 without awaiting further notice.

8. Resultantly, the Writ Petition is allowed and remanded.

Sd/-

(JYOTI MULIMANI) JUDGE RH,MRP LIST NO.: 1 SL NO.: 5