Krishna Gupta Vs ITO (Punjab Haryana high court)
Punjab and Haryana High Court has quashed a notice issued to Krishna Gupta under Section 148 of the Income Tax Act, 1961, ruling that it was issued by an authority that lacked jurisdiction. The petitioner challenged the notice, dated March 29, 2025, on the primary ground that it was issued by the Jurisdictional Assessing Officer (JAO), despite a Ministry of Finance notification dated March 29, 2022, which mandates such notices be issued under a faceless assessment framework by the Faceless Assessing Officer (FAO). The petitioner’s counsel relied on two judicial precedents from the same court: Jatinder Singh Bhangu vs. Union of India and others and Jasjit Singh vs. Union of India and others. The counsel for the Income Tax Department did not dispute that the petitioner’s case was aligned with the law established in these two prior judgments. In light of the established precedents, the court ruled in favor of the petitioner, quashing the impugned notice. The court, however, granted the Income Tax Department the liberty to initiate fresh proceedings against the petitioner in accordance with the law, ensuring due process is followed. This decision reinforces the legal requirement for tax authorities to adhere to procedural notifications regarding faceless assessments.
