Rajesh Jugalkishor Malu v. the Principal Commissioner Income Tax Nashik and Others
Case brief
What is this about?
JAO has no jurisdiction to issue Section 148 Income Tax Act, 1961 notice after faceless reassessment scheme promulgated 29.03.2022; notice could only be issued by FAO. Follows Bombay Division Bench decision Hexaware Technologies Ltd. (2024) 162 taxmann.com 225 (Bombay). Respondents' counsel invoked Delhi High Court decision T.K.S. Builders Pvt. Ltd./GDR Finance (WP(C) No. 1968/2023, 28.10.2024) claiming concurrent JAO/FAO jurisdiction, but Court proceeded on its own consistent Hexaware-based position. Section 148 notice by JAO set aside with all emanating proceedings/orders; petition disposed of; Revenue given liberty to revive via praecipe if Supreme Court reverses Hexaware, with automatic stay on notice upon revival and fresh decision on merits thereafter.
What did the court decide?
Impugned Section 148 notice issued by the JAO and all proceedings/orders emanating therefrom set aside; writ petition disposed of with liberty to the Revenue to revive it by praecipe (no separate interim application needed) if the Supreme Court sets aside the Hexaware Technologies decision, with an automatic stay on the notice upon revival; no revival if the Supreme Court dismisses the Special Leave Petition challenging Hexaware.