Authority: High Court of Punjab and Haryana at Chandigarh
Order Date: 26 September 2024
Case Overview
- Petitioners: Aggarwal Sales, proceeding through its partner Sh. Parveen Kumar.
- Respondents: Deputy Commissioner of Income Tax (Central), Chandigarh and others.
- Case No.: CWP‑24954 (O&M).
- Bench: Hon'ble Mr. Justice Sanjeev Prakash Sharma, Hon'ble Mr. Justice Sanjay Vashisht, and Justice Sanjeev Prakash Sharma (as per record).
- Counsel: Mr. Nikhil Goyal (petitioner), Ms. Samdesha Kaur (respondent), Urvashi Dhugga, Senior Standing Counsel (respondent).
- The Court referred to earlier judgments: Jasjit Singh vs. Union of India (CWP‑21509 of 2023, decided 29‑07‑2024) and Jatinder Singh Bhangu vs. Union of India and others (2024, decided 19‑07‑2024), emphasizing that circulars or instructions issued by the Board cannot override statutory provisions or render them otiose.
- The Court reiterated that under Sections 119 and 120 of the Income Tax Act, 1961, together with Section 144B(7 & 8), authorities cannot usurp legal provisions for convenience, and that circulars may only supplement statutory provisions for implementation.
- The Court observed that the notices dated 28‑02‑2023, 16‑03‑2023, 20‑03‑2024 and 30‑03‑2023, along with the order dated 30‑03‑2023, were issued without conducting the faceless assessment mandated by Section 144B of the Act, rendering them beyond jurisdiction.
Final Outcome
- All writ petitions filed by the petitioner are allowed.
- The aforementioned notices (28‑02‑2023, 16‑03‑2023, 20‑03‑2024, 30‑03‑2023) and the order dated 30‑03‑2023 are set aside for want of jurisdiction.
- The interim order previously passed by the Court stands merged with this final order.
- All pending applications in the matter are disposed of accordingly.
Topics: Taxation, Judicial Review