- 1 - HC-KAR NC: 2025:KHC:42652 WP No. 31239 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 27TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO.31239 OF 2025 (T-IT) BETWEEN: SRI SANNUTHI RAMAMURTHY SAI SRINIVASA MURTHY AGED ABOUT 50 YEARS, S/O.S.RAMA MURTHY, M/S. MURTHY GLASS AND PLYWOODS PVT. LTD., CHICKPET CROSS, BANGALORE-560 053. …PETITIONER (BY SMT. JINITA CHATTERJEE, ADVOCATE) AND: 1. THE INCOME TAX OFFICER WARD 6(1)(1) BMTC BUILDING, 80 FEET ROAD, 6TH BLOCK, NEAR KHB GAMES VILLAGE, KORAMANGALA, BENGALURU - 560 095. 2. THE ASSESSMENT UNIT, THE INCOME-TAX DEPARTMENT, NATIONAL FACELESS ASSESSMENT CENTRE (NFAC), NORTH BLOCK, DELHI 110001 …RESPONDENTS (BY SRI. M. DILIP, ADVOCATE) THIS W.P. IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI, QUASHING THE DIGITALLY SIGNED ASSESSMENT ORDER DATED 10.03.2025 ISSUED UNDER SECTION 147 RWS 144B OF THE ACT, BEARING NO.ITBA/AST/S/147/2024-25/1074258695(1) AND DEMAND NOTICE UNDER SECTION 156 OF THE ACT DATED 10.03.2025 BEARING NO.ITBA/AST/S/156/2024-25/1074258828(1) BY THE RESPONDENT NO.2 FOR THE ASSESSMENT YEAR 2020-21 (ANNEXURE-D) AND ETC. Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:42652 WP No. 31239 of 2025 THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks the following reliefs: “a) Issue a writ of certiorari, quashing the digitally signed assessment order dated 10.03.2025 issued under Section 147 rws 144B of the Act, bearing No.ITBA/AST/S/147/2024-25/1074258695(1) and demand notice under Section 156 of the Act dated 10.03.2025 bearing No.ITBA/AST/S/156/2024-25/1074258828(1) by the Respondent No.2 for the assessment year 2020-21 (Annexure-D'); b) Issue a writ of prohibition to restrain the recovery of the impugned demand of Rs.4,39,31,650/- as per digitally signed demand notice dated 10.03.2025 issued under section 156 of the Act bearing No.ITBA/AST/S/156/2024- 25/1074258828(1) by the Respondent No.2 for the assessment year 2020-21 (Annexure-D'); c) Issue a writ of mandamus directing the Respondent No.2 to provide sufficient opportunity to comply with the Show Cause Notice dated 25.02.2025 after serving the said notice on the petitioner and to pass appropriate order; - 3 - HC-KAR NC: 2025:KHC:42652 WP No. 31239 of 2025 (d) Issue any other writ, order or direction in favour of the petitioner, which this Hon'ble Court may deem fit and proper in the facts and circumstances of the case.” 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. In addition to reiterating the various contentions urged in the memorandum of petition and referring to the material on record, learned counsel for the petitioner submits that notice issued by the respondent under Section 142(1) of the Income Tax Act, 1961 (for short, ‘IT Act’) dated 23.07.2024 was not received by petitioner and he was not aware of the notice and consequently, petitioner could not submit its reply / response along with documents to the said notice. It is submitted that the inability and omission on the part of the petitioner to submit reply / response along with documents to the Section 142(1) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and as such, if one more opportunity is provided to the petitioner to do so by setting aside the impugned orders and notices, the petitioner would do so and respondents may be directed to proceed further in accordance with law. - 4 - HC-KAR NC: 2025:KHC:42652 WP No. 31239 of 2025 4. Per contra, learned counsel for the respondents submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned order will indicate that it is an undisputed fact that petitioner has not submitted reply / response along with documents to Section 142(1) notice. Under these circumstances, in view of the specific assertion on the part of the petitioner that his inability and omission to submit a reply along with documents to Section 142(1) notice was due to bonafide reasons, unavoidable circumstances and sufficient cause and if one more opportunity is granted, petitioner would submit reply along with documents, I deem it just and appropriate to set aside the impugned order at Annexure – D dated 10.03.2025 passed under Section 147 r.w.s 144B of the Income Tax Act and the Demand Notice dated 10.03.2025 passed under Section 156 of the Income Tax Act and subsequent notice / orders, etc., and remit the matter back to respondent for reconsideration afresh from the stage of submitting of reply by the petitioner to Section 142(1) Notice and to proceed further in accordance with law. 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. - 5 - HC-KAR NC: 2025:KHC:42652 WP No. 31239 of 2025 (ii) The impugned order at Annexure – D dated 10.03.2025 passed under Section 147 r.w.s 144B of the Income Tax Act and the Demand Notice dated 10.03.2025 passed under Section 156 of the Income Tax Act and subsequent notice / orders, etc., are hereby set aside. (iii) Matter is remitted back to the respondent for reconsideration afresh in accordance with law from the stage of submitting of reply to the Show Cause Notice under Section 142(1) of the IT Act at dated 23.07.2024. (iv) Liberty is reserved in favour of the petitioner to submit additional pleadings, documents, etc., to the respondent, who shall consider the same and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE SV List No.: 2 Sl No.: 36