- 1 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 19TH DAY OF NOVEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 16903 OF 2022 (T-IT) BETWEEN: SRI VASANTH KALBURGI S/O LATE K DHATHUSA AGED 68 YEARS, R/AT NO.46/1, BALAJI NILAYA T D LANE, COTTON PET BANGALORE - 560 053. …PETITIONER (BY SRI. M.V.SESHACHALA, SR.COUNSEL APPEARING FOR SRI. G.S.NAGHARISH., ADVOCATE) AND: 1. ASSESSING OFFICER NATIONAL FACELESS ASSESSMENT CENTRE, NO.412-413, IST FLOOR, OPP METRO PILLAR NO.793, DWARAKA MOR, NEW DELHI- 110059 2. INCOME TAX OFFICER WARD 2 (2) R, 80 FEET ROAD, BMTC BUILDING, KORAMANGALA, BANGALORE -560095 3. PRINCIPAL COMMISSIONER OF INCOME TAX -2, 80 FEET ROAD, BMTC BUILDING, KORAMANGALA, BANGALORE - 560095 …RESPONDENTS Digitally signed by SHARADAVANI B Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 (BY SRI. E.I.SANMATHI., ADVOCATE) THIS W.P. FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE PENALTY ORDER DTD.5.1.2022 BEARING NO.ITBA/PNLF/371D/2021- 22/1038464524(1) ANNEXURE-E FOR THE ASSESSMENT YEAR 2017-18 PASSED BY THE R-1. 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 for the following reliefs:- “a. Issue a Writ of certiorari to quash the penalty order dated 05.01.2022 bearing No.ITBA/PNL/F/271D/2021-22/1038464524(1), Annexure-E for the Assessment Year 2017-18 passed by the first respondent. b. Issue such other Writ or direction as this Hon’ble Court deem fit to grant in the facts and circumstances of the present case.” 2. Heard Sri.Sreeshachala, learned Senior Counsel appearing for the learned counsel for the petitioner and - 3 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 the learned counsel for the respondents and perused the material on record. 3. In addition to reiterating various contentions urged in the petition and referring to the material on record, the learned counsel for the petitioner invited my attention to the impugned order in order to point out that pursuant to the order dated 21.11.2019, passed by the second respondent under section – 143(3) of the Income Tax Act, 1961 (for short, ‘the I.T.Act’), the second respondent issued a notices dated 07.01.2020 and 08.04.2021 under Section-274 of the I.T. Act. Subsequently, the petitioner filed its reply to the said notice on 20.04.2021. Further, the second respondent passed a Penalty order dated 05.01.2022 under Section- 271D of the I.T. Act. The counsel for the petitioner pointed out to the impugned order dated 05.01.2022 in order to show that the second respondent did not consider the reply dated 20.04.2021 filed by the petitioner and proceeded to pass the impugned order thereby violating - 4 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 principles of natural justice and as such, the petitioner is before this Court by way of present petition. 4. Per contra, learned counsel for the respondents- revenue submits that there is no merit in the petition and that the same is liable to be dismissed. 5. A perusal of the impugned penalty order would indicate that the same is a cryptic, laconic, non-speaking and unreasoned order, without providing an opportunity of personal hearing under Section-273-D of the Income Tax Act, thereby violating the principles of natural justice, warranting interference of this Court in the present petition. 6. Further, a perusal of the impugned order will indicate that the petitioner filed its reply dated 20.04.2021 to the notices issued by the petitioner dated 07.01.2020 and 08.04.2021. It is also borne out from the impugned order dated 05.01.2022 that the second respondent has not considered the reply dated 20.04.2021 filed by the - 5 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 petitioner and has proceeded to pass the impugned order. Under these circumstances, I am of the considered opinion that the impugned notices, proceedings culminating in the impugned penalty order is violative of principles of natural justice and consequently, the impugned order deserves to be set-aside by adopting justice oriented approach and by directing the second respondent to consider the reply dated 20.04.2021 filed by the petitioner and thereafter proceed further in accordance with law. 7. In the result, I pass the following:- ORDER (i) The petition is hereby Allowed. (ii) The impugned penalty order at Annexure-E, dated 05.01.2022 passed by the second respondent is hereby set aside. (iii) The matter is remitted back to the second respondent for reconsideration afresh in accordance with law from the stage of considering the reply date 20.04.2021 filed by the petitioner. - 6 - HC-KAR NC: 2025:KHC:47829 WP No. 16903 of 2022 (iv) Liberty is reserved in favour of the petitioner to submit his response/reply along with the documents to the second respondent, who shall consider the same and proceed further in accordance with law. Sd/- (S.R.KRISHNA KUMAR) JUDGE JJ List No.: 3 Sl No.: 20