- 1 - NC: 2025:KHC:2796-DB WA No. 336 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF JANUARY, 2025 PRESENT THE HON'BLE MR JUSTICE KRISHNA S DIXIT AND THE HON'BLE MR JUSTICE G BASAVARAJA WRIT APPEAL NO. 336 OF 2023 (T-IT) BETWEEN: 1. THE UNION OF INDIA DEPARTMENT OF REVENUE, MINISTRY OF FINANCE, GOVERNMENT OF INDIA, NORTH BLOCK, NEW DELHI-110 001. THROUGH THE SECRETARY 2. THE DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1(2), NO.55/1, 2ND FLOOR, SHILPASHREE, OPP STERLING TALKIES, VISHWESHWARANAGAR, MYSURU-570 008. …APPELLANTS (BY SRI. Y V RAVIRAJ., ADVOCATE AND SRI.DILIP M.,ADVOCATE) AND: SRI. AROON RAMAN S/O V. RAMAN, AGED ABOUT 53 YEARS, RESIDING AT NO.100, PARAMAHAMSA ROAD, YADAVAGIRI, MYSORE-570 020. …RESPONDENT (BY SRI. S S NAGANAND., SENIOR COUNSEL FOR SRI. SUMANA NAGANAND.,ADVOCATE) Digitally signed by SHARADA VANI B Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:2796-DB WA No. 336 of 2023 THIS WRIT APPEAL FILED U/S 4 OF THE KARNATAKA HIGH COURT ACT PRAYING TO A) SET ASIDE THE ORDER PASSED BY THE LEARNED SINGLE JUDGE IN WP NO.13326/2014 DATED 09/03/2021 AND B) PASS SUCH OTHER SUITABLE ORDERS. THIS WRIT APPEAL, COMING ON FOR PRELIMINARY HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE KRISHNA S DIXIT and HON'BLE MR JUSTICE G BASAVARAJA ORAL JUDGEMENT (PER: HON'BLE MR JUSTICE KRISHNA S DIXIT) This Intra-Court Appeal is directed against a learned Single Judge’s order dated 09.03.2021 whereby Assesee’s W.P.No.13326/2014 (T-IT) having been favoured, relief has been accorded to him. 2. Learned Sr. Panel Counsel appearing for the Appellant – Revenue vehemently argues that the learned Single Judge misconstrued the Apex Court decision in ASSISTANT COMMISSIIONER OF INCOME TAX vs. HOTEL BLUE MOON (2010) 321 ITR 362 and therefore, arrived at a wrong conclusion to the effect that issuing notice of the kind was a sine qua non. He also - 3 - NC: 2025:KHC:2796-DB WA No. 336 of 2023 takes us through the Appeal papers which were part of the Paper Book before the learned Single Judge. 3. Learned Senior Advocate appearing for the Respondent – Assessee resists the Appeal drawing our attention to the text of Paragraph Nos. 4 & 5 of the impugned order; he submits that Appeal of the kind is not maintainable since the Writ Petition was disposed off on the admitted position of law & facts. We agree with this because said Paragraphs read as under: “4. Insofar as the requirement of issuance of notice under Section 143(2) of I. T. Act, the attention is drawn to the judgment of Apex Court in the case of Assistant Commissioner of Income-Tax v. Hotel Blue Moon reported in (2010) 321 ITR 362 (SC) and it is pointed out that in case of income escaped from assessment, the procedure, including notice under Section 143(2) of I. T. Act ought to have been issued. 5. Learned counsel appearing for the Revenue does not dispute the position as regards to the law laid down by the Apex Court in the case of Hotel Blue Moon (supra). “ In the above circumstances, the Appeal is disposed off reserving liberty to the Appellant – Revenue to explore - 4 - NC: 2025:KHC:2796-DB WA No. 336 of 2023 other proceedings in accordance with law. In that connection, all contentions are kept open. Costs made easy. Sd/- (KRISHNA S DIXIT) JUDGE Sd/- (G BASAVARAJA) JUDGE Bsv List No.: 1 Sl No.: 20