Vandana Malhotra Vs ITO (Punjab And Haryana High Court)
The present writ petition was taken up after notice of motion, with Senior Standing Counsel accepting notice on behalf of the respondents/Revenue. Both counsel agreed that the issue involved in the petition had already been finally examined and concluded by the High Court in CWP No. 21509 of 2023 titled Jasjit Singh vs. Union of India and others, decided on 29.07.2024, and by a Coordinate Bench in CWP No. 1545 of 2024 titled Jatinder Singh Bhangu vs. Union of India and others, decided on 19.07.2024.
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In Jasjit Singh, the Court held that circulars or instructions issued by the Board cannot override statutory Provisions or render them otiose or obsolete. Legislative enactments having financial implications must be followed strictly and mandatorily. The Court observed that by exercising powers under Sections 119, 120, and 144B(7) & (8) of the Income-tax Act, 1961, authorities cannot usurp statutory provisions to their satisfaction or convenience, especially if such action causes hardship to assessees and creates confusion among taxpayers. Instructions and circulars can only supplement statutory provisions and aid in their implementation.
