Case Law Details
Anup Kumar Agarwal Vs Union of India & Ors. (Calcutta High Court)
In the case of Anup Kumar Agarwal Vs. Union of India & Ors., the petitioner challenged a notice issued under Section 148 of the Income Tax Act, 1961, arguing that it was issued by the jurisdictional assessing officer, contrary to the procedures set out in Section 151A of the Act. The petitioner pointed out that, under the notification dated 29th March 2022, notices for reassessment should be issued through automated allocation, following a faceless assessment process as outlined in Section 144B. The petitioner argued that the notice did not comply with these procedures, which require notices to be issued under a risk management strategy formulated by the Board, raising concerns over the procedural legality of the notice.
The Calcutta High Court, considering the arguments presented and referencing the Division Bench judgment in Giridhar Gopal Dalmia Vs. Union of India (2023), acknowledged the prima facie merit of the petitioner’s case. The earlier case had involved similar issues regarding the jurisdiction of the assessing officer to issue notices under Section 148, and it had resulted in a stay. In light of this, the court decided to stay any further steps based on the notice issued under Section 148 for the assessment year 2017–2018, dated 19th August 2024, until the final disposal of the writ petition. The Income Tax Department was given six weeks to file an affidavit-in-opposition, with an additional four weeks for the petitioner to respond.
Assessee was represented by Advocate Himangshu Kumar Ray
FULL TEXT OF THE JUDGMENT/ORDER OF CALCUTTA HIGH COURT
Affidavit of service filed today in Court is kept with the record.
The Court: Learned Counsel for the petitioner submits that the petitioner challenges the notice issued under Section 148 of the Income Tax Act, 1961 on the ground that the same has been issued by the jurisdictional assessing officer though in terms of Section 151A of the said Act read with the notification dated 29th March, 2022, such notice was required to be issued through the automated allocation, in accordance with the risk management strategy formulated by the Board as referred to Section 148 of the said Act, for issuance of notice, in a faceless manner, to the extent provided in Section 144B of the Act with reference to making assessment or reassessment of the total income or income or loss of the assessee.
Learned Counsel appearing for the Income Tax Department prays leave to file affidavit-in-opposition.
Let affidavit-in-opposition be filed within six weeks from date; reply, if any, within four weeks thereafter.
Taking into consideration the prima facie case as has been made out by the petitioner and the judgment of the Division Bench of this Court presided over by the Hon’ble The Chief Justice in the case of Giridhar Gopal Dalmia Vs. Union of India & Others, in MAT/1690/2023 on 25th September, 2023, whereby the Hon’ble Division Bench while considering the competence of the jurisdictional assessing officer to issue a notice under Section 148 of the said Act, Consequent upon publication of the scheme vide notification dated 29th March, 2022 and while admitting the appeal had stayed the said notice, I am of the view that no further steps should be taken by the respondents on the basis of the notice issued under section 148 of the said Act dated 19th August, 2024 for the assessment year 20172018 till the disposal of the writ petition.
Liberty to mention after expiry of the period for exchange of affidavits.
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