- 1 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 10TH DAY OF JUNE, 2026 BEFORE THE HON'BLE MR. JUSTICE B M SHYAM PRASAD WRIT PETITION NO. 9369 OF 2026 (T-IT) BETWEEN: VEDA KRISHNA MURTHY D/O S G KRISHNA MURTHY, AGED ABOUT 34 YEARS, NO. 1834/A, 3RD FLOOR, KRISHNA CLASSIQUE YARABNAGAR MAIN ROAD BSK 2ND STAGE, BANGALORE SOUTH SK LI STAGE BANGALORE-560 070. …PETITIONER (BY SRI. A. SHANKAR, SENIOR ADVOCATE FOR SRI. MADHUSUDHAN U , ADVOCATE) AND: 1. NATIONAL FACELESS ASSESSMENT CENTRE REP. BY ADDL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/ INCOME TAX OFFICER, INCOME TAX DEPARTMENT, MINISTRY OF FINANCE, ROOM NO. 401, 2ND FLOOR, E-RAMP, JAWARLAL NEHRU STADIUM, DELHI-110 003. 2. INCOME TAX OFFICER WARD 1 TB ROAD, OPPOSITE TALUK PANCHAYATHI KADU CHICKMANGALUR-577 548. Digitally signed by VANAMALA N Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 …RESPONDENTS (BY SRI.M. THIRUMALESH, ADVOCATE) THIS W.P IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI OR DIRECTION IN THE NATURE OF A WRIT OF CERTIORARI QUASHING THE ASSESSMENT ORDER DATED 25.02.2026 PASSED UNDER SECTION 143B R.W.S 1448 OF THE ACT FOR THE ASSESSMENT YEAR 2024-25 BY THE RESPONDENT NO.1 BEARING DIN NO. ITBA/AST/S/143(3)/2025-26/1086532764(1), HEREIN MARKED AS ANNEXURE - A1. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE B M SHYAM PRASAD ORAL ORDER The petitioner has called in question [a] the Assessment Order under Section 143[3] read with Section 144B of the Income Tax Act, 1961 [for short, the 'IT Act'] for the Assessment Year 2024-25, [b] the Computation Sheet, and [c] the Notices under - 3 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 Sections 156 and 274 read with 270A of the IT Act. These are produced as Annexures A1 to A4. 2. The petitioner, who has gross receipts of Rs. 85,89,000/-, has offered 40% of such receipts as income under Section 44AD of the IT Act. The Assessing Officer has reasoned as under: “Accordingly, the gross receipts of Rs. 85,89,000/- are treated as income from profession and brought to tax in the hands of the assessee for the Assessment year 2024-25. While making the said addition, due credit is allowed for the income of Rs. 34,35,000/- already offered by the assessee in the return of income. Consequently, a net addition of Rs. 51,54,000/- (Rs. 85,89,000/- Minus Rs. 34,35,000/-) is made to the total income of the assessee. Penalty proceedings under section 270A of the Income tax Act, 1961 are hereby initiated separately for under- reporting of income in consequences of misreporting in respect of the said business income (Addition: Rs: 51,54,000/-)” - 4 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 The Assessing Officer has reasoned as afore observing that the petitioner, despite grant of sufficient and reasonable opportunity, has not filed any explanation or documentary evidence to rebut the findings in the Show Cause Notice. 3. Sri A. Shankar, the learned counsel for the petitioner, submits that this Court may consider the petitioner's case for a remand with an opportunity to respond to the Show Cause Notice under Section 143[2] of the IT Act in the light of the fact that the Assessing Officer has treated the entire gross receipts as income from profession and brought the same to tax allowing no deductions. Sri C.M. Thirumalesh, the learned counsel for the respondents, is heard in the light of the afore. 4. For the present purposes, it would suffice to observe that upon receipt of the Show Cause Notice dated 07.01.2026, the petitioner has made a - 5 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 request for adjournment vide the letter dated 16.01.2026, and the assessment is completed observing that there is no response or explanation from the petitioner. This accords sufficient reason for interference with the impugned Assessment Order as would be the fact that the Assessing Officer has treated the entire gross receipts as income from profession bringing it to tax allowing no deductions. This Court opines that the petitioner must be at liberty to file a response to the Show Cause Notice, and the petitioner must file such response within four [4] weeks from the date the portal is enabled by the authorities consequent to this Order. Hence the following ORDER The petition is allowed quashing the impugned Assessment Order under Section 143[3] read with Section 144B of the IT Act, Computation Sheet, the Notices - 6 - HC-KAR NC: 2026:KHC:28105 WP No. 9369 of 2026 under Sections 156 and 274 read with 270A of the IT Act [Annexures - A1 to A4] with liberty to the petitioner to file a response to Show Cause Notice dated 07.01.2026 within four [4] weeks from the date the Portal is enabled by the authorities consequent to this order. Sd/- (B M SHYAM PRASAD) JUDGE NV