- 1 - HC-KAR NC: 2025:KHC:40464 WP No. 29841 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 13TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 29841 OF 2025 (T-IT) BETWEEN: M/S APKON CRUSHERS, A REGISTERED PARTNERSHIP FIRM HAVING OFFICE AT GARDEN HOUSE, GARDEN ROAD, TUMKUR CITY, TUMKUR - 572 101 (REP. BY ITS PARTNER, SMT. ASHA PRASANNA KUMAR) …PETITIONER (BY SRI. NAVEEN G.S., ADVOCATE) AND: 1. NATIONAL FACELESS ASSESSMENT CENTRE INCOME TAX DEPARTMENT, GOVT. OF INDIA, MIN. OF FINANCE, DELHI - 110 001 REP. BY ASSISTANT COMMISSIONER 2. NATIONAL FACELESS APPEAL CENTRE (NFAC) INCOME TAX DEPARTMENT, GOVT. OF INDIA, MIN. OF FINANCE, DELHI - 110 001 (REP. BY COMMISSIONER OF INCOME TAX - APPEALS) 3. INCOME TAX OFFICER, ITO-WARD NO.1, INCOME TAX OFFICE, TUMKUR - 110 001 …RESPONDENTS (BY SRI. E. I. SANMATHI, ADVOCATE) THIS W.P. IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO SET ASIDE THE Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:40464 WP No. 29841 of 2025 REASSESSMENT ORDER DATED 26.03.2022 FOR THE AY 2017-18 PASSED BY RESPONDENT NO.1, UNDER SECTION 147 READ WITH SECTION 144B OF THE INCOME TAX ACT, 1961, PRODUCED AS ANNEXURE-A BEARING NO. ITBA/AST/S/147/2021-22/1041644795(1), BY DECLARING THAT THE SAID ORDER IS TOTAL CONTRAVENTION OF THE PROCEDURE UNDER SECTION 144B OF THE INCOME TAX ACT, 1961 AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioners seeks for the following reliefs: "i. Issue a Writ or such other order in the nature of Certiorari to set aside the reassessment order dated 26.03.2022 for the AY 2017-18 passed by the Respondent No.1, under section 147 read with section 144B of the Income Tax Act, 1961, produced as Annexure-A bearing No. ITBA/AST/S/147/2021- 22/1041644795(1) by declaring that the said order is total contravention of the procedure under section 144B of the Income Tax act, 1961; and ii. Issue a Writ or such other order in the nature of Certiorari to set aside the demand notice, dated 26.03.2022, for AY 2017-18, passed by Respondent No.1, under section 156 of Income Tax act, 1961 and produced as Annexure-A1 bearing No.ITBA/AST/S/156/2021-22/1041644900(1); and iii. Issue a Writ or such other order in the nature of Certiorari to set aside the order dated 30.06.2025, for - 3 - HC-KAR NC: 2025:KHC:40464 WP No. 29841 of 2025 AY 2017-18, passed by Respondent No.2, under section 250 of the Income Tax act, 1961, and produced as Annexure-C; and iv. Consequently, declare all further penalty and recovery proceedings as null and void; and v. Pass such other orders as this Hon'ble Court deems fit in the ends of justice." 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 respondents under Section 148 of the Income Tax Act, 1961 (for short, ‘IT Act’) dated 31.03.2021 was received by petitioner and could not file returns to the same and therefore the said notice as well as all the further notices went un-noticed by the Petitioner and hence he could not file returns and contest the proceedings, which culminated into impugned exparte assessment order dated 26.03.2022 passed under Section 147 read with Section 144B of the Act. Aggrieved by the aforesaid order, the petitioner filed an appeal and the same was dismissed as barred by limitation. It is - 4 - HC-KAR NC: 2025:KHC:40464 WP No. 29841 of 2025 submitted that the inability and omission on the part of the petitioner to submit returns along with documents to the Section 148 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. 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 returns along with documents to Section 148 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 148 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 orders at - 5 - HC-KAR NC: 2025:KHC:40464 WP No. 29841 of 2025 Annexure – A dated 26.03.2022 passed under 144B of the Income Tax Act and subsequent notice / orders, etc., and remit the matter back to respondent No.1 for reconsideration afresh from the stage of submitting of reply by the petitioner to 148 notice and to proceed further in accordance with law. 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures -A, A1 and C dated 26.03.2022, 26.03.2022 and 30.06.2025 respectively, are hereby set aside. (iii) Matter is remitted back to concerned respondent for reconsideration afresh in accordance with law from the stage of submitting of reply to the Show Cause Notice under Section 148 of the IT Act dated 31.03.2021. (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 MDS List No.: 2 Sl No.: 0