- 1 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 24TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 16451 OF 2025 (T-IT) BETWEEN: MANGALORE KARAVALI MEENUGAARARA VIVIDDODESHA SAHAKARA SANGHA NIYAMITA, OFFICE AT KARAVALI BUILDING, SOUTH WHARF BUNDER, MANGALORE DAKSHINA KANNADA – 575 001 REPRESENTED BY ITS PRESIDENT SRI SUBHAS CHANDRA AGED 58 YEARS, S/O LATE B BALAKRISHNA SUVARNA R/AT 22-2-242/A1, MULIHITHLU ROAD, BOLAR, MANGALORE DAKSHINA KANNADA – 575 001 (THE KARNATAKA REGISTRATION SOCIETY ACT, 1959) …PETITIONER (BY SRI. AKSHAY KUMAR JAIN, ADVOCATE) AND: 1. THE ADDITIONAL /JOINT/DEPUTY ASSISTANT COMMISSIONER OF INCOME TAX / INCOME TAX OFFICER NATIONAL FACELESS ASSESSMENT CENTRE ASSESSMENT UNIT, ROOM NO.401, 2ND FLOOR, E RAMP JAWAHARLAL NEHUR STADIUM NEW DELHI – 110 002 2. THE INCOME TAX OFFICER WARD 1(1) MANGALORE C R BUILDLING, N G ROAD ATTAWAR, MANGALORE – 575 001 …RESPONDENTS (BY SRI. M. THIRUMALESH, ADVOCATE) Digitally signed by CHANDANA B M Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 THIS WP IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE WRIT CERTIORARI QUASHING THE DEMAND NOTICE BEARING DIN AND NO.ITBA/RCV/F/17/2024-25/1072023077(1) DATED 09/01/2025 ISSUED BY RESPONDENT NO.2 VIDE ANNEXURE ‘C’ AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. CORAM: HON'BLE MR. JUSTICE S.R.KRISHNA KUMAR ORAL ORDER In this petition, petitioner seeks for the following reliefs: “i) Issue writ certiorari quashing the demand notice bearing DIN & Letter bearing No.ITBA/RCV/F/17/2024-25/1072023077(1) dated 09/01/2025 issued by Respondent No.2 vide ANNEXURE 'C'; ii) Issue writ of certiorari quashing the assessment order bearing DIN No.ITBA/AST/S/147/2023- 24/1059966345(1) dated 20/01/2024 u/s 147 r/w 144 r/w 144B of Income Tax Act, 1961 for the financial year 2015-16 by the Respondent No.1 vide ANNEXURE 'J'; iii) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/271(1)(b)/2024- 25/1066910274(1) dated 21/07/2024 u/s 271(1)(b) of Income Tax Act, 1961 for the financial year 2015-16 imposing penalty of Rs.20,000/- by the Respondent No.1 vide ANNEXURE 'J1'; - 3 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 iv) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/271(1)(C)/2024- 25/1066867841(1) dated 21/07/2024 u/s 271(1)(C) of the Income Tax Act, 1961 for the financial year 2015- 16 imposing penalty of Rs.21,31,056 by Respondent No.2 vide ANNEXURE 'J2'; v) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/271F/2024- 25/1066910265(1)) dated 21/07/2024 u/s 271F of Income Tax Act, 1961 for the financial year 2015-16 imposing penalty of Rs.5000/- by Respondent No.1 vide ANNEXURE 'J3'.; vi) Issue writ of certiorari quashing the assessment order bearing DIN No.ITBA/AST/S/147/2023- 24/1059962882(1) dated 20/01/2024 u/s 147 r/w 144 r/w 144B of Income Tax Act, 1961 for the financial year 2017-18 by Respondent No.1 vide ANNEXURE 'K'; vii) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/270A/2024- 25/1066910269(1) dated 21/07/2024 u/s 270A of Income Tax Act, 1961 for the financial year 2017-18 imposing penalty of Rs.15,487/- by Respondent No.1 vide ANNEXURE 'K1'; viii) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/271AAC(1)/2024- 25/1066867834(1) dated 21/07/2024 u/s 271AAC(1) of Income Tax Act, 1961 for the financial year 2017-18 - 4 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 imposing penalty of Rs.5,82,999/-by Respondent No.1 vide ANNEXURE 'K2'; ix) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/272A(1)(d)/2024- 25/1066867837(1) dated 21/07/2024 u/s 272A(1) (d) of Income Tax Act, 1961 for the financial year 2017-18 imposing penalty of Rs.10,000/- by Respondent No.1 vide ANNEXURE 'K3'; x) Issue writ of certiorari quashing the assessment order bearing DIN No.ITBA/AST/S/147/2023- 24/1059979701(1) dated 22/01/2024 u/s 147 r/w 144 r/w 144B of Income Tax Act, 1961 for the financial year 2018-19 by Respondent No.1 vide ANNEXURE 'L' xi) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/270A/2024- 25/1066266312(1) dated 28/06/2024 u/s 270A of Income Tax Act, 1961 for the financial year 2018-19 imposing penalty of Rs.26896/- by Respondent No.1 vide ANNEXURE 'L1'; xii) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/271AAC(1)/2024- 25/1066274598(1) dated 30/06/2024 u/s 271AAC(1) of Income Tax Act, 1961 for the financial year 2018-19 imposing penalty of Rs.5,55,605/- by Respondent No.1 vide ANNEXURE 'L2'; - 5 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 xiii) Issue writ of certiorari quashing the penalty order bearing DIN No.ITBA/PNL/F/272A(1)(d)/2024- 25/1066239813(1) dated 28/06/2024 u/s 272A(1)(d) of Income Tax Act, 1961 for the financial year 2018-19 imposing penalty of Rs.20,000/- by Respondent No.1 vide ANNEXURE 'L3'; xiv) Grant such other or further reliefs as this Hon'ble Court may deem fit in the facts and circumstances of the case in the interest of justice and equity.” 2. Heard learned counsel for the parties 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 notices issued by the respondents under Sections 148 and 142(1) of the Income Tax Act, 1961 (for short, ‘IT Act’) dated 20.03.2023, 30.06.2023, 05.07.2023, 06.09.2023, 18.09.2023, 06.10.2023 was received by petitioner and could not file reply/ documents to the same since the petitioner was unable to access the online Income Tax Portal as the credentials were held by the former President of the Society and since the registered mobile number and email address were linked to the former President’s personal contact - 6 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 information, the petitioner was unable to reset the password. Consequently, the petitioner approached the Jurisdictional Assessing Officer to report the issue and was advised to consult a Chartered Accountant for assistance in recovering access to the portal. The petitioner has made several attempts to recover the password, however all such efforts have been failed and therefore the said notice as well as all the further notices went un-noticed by the Petitioner and hence he could not file reply/ documents and contest the proceedings. It is submitted that the inability and omission on the part of the petitioner to submit reply / response along with documents to the multiple notices 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. - 7 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 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 multiple notices under Section 148 and 142(1) of the Income Tax Act. 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 notices 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 Annexures – C, J, J1, J2, J3, K, K1, K2, K3, L, L1, L2 and L3 dated 09.01.2025, 20.01.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 22.01.2024, 28.06.2024, 30.06.2024 and 28.06.2024 passed under Sections 148 and 142(1) 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 notice under Section 142(1) of the Income Tax Act and to proceed further in accordance with law. - 8 - HC-KAR NC: 2025:KHC:42184 WP No. 16451 of 2025 6. In the result, pass the following: ORDER (i) The petition is hereby allowed. (ii) Impugned notices / orders at Annexures– C, J, J1, J2, J3, K, K1, K2, K3, L, L1, L2 and L3 dated 09.01.2025, 20.01.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 21.07.2024, 22.01.2024, 28.06.2024, 30.06.2024 and 28.06.2024 respectively are hereby set aside. (iii) Matter is remitted back to respondent No.1 for reconsideration afresh in accordance with law from the stage of submitting of reply to the Notice under Section 142(1) of the IT Act dated 05.07.2023. (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.: 3 Sl No.: 12