M/S S N Realtors Private Limited Vs Deputy Commissioner… — Income Tax | Punjab & Haryana HC (2025)

M/S S N Realtors Private Limited Vs Deputy Commissioner… — Income Tax | Punjab & Haryana HC (2025)

What the court decided

AI extract

Outcome

Writ petition disposed of with a direction to the Appellate Authority to decide the petitioner's appeal in terms of the judgments in Jatinder Singh Bhangu and Jasjit Singh; all pending applications also stand disposed of.

Issue for consideration

Whether the notice dated 30.03.2023 issued under Section 148 of the Income Tax Act, 1961 for AY 2018-2019 was validly issued, given the CBDT circular/notification dated 29.03.2022 vesting exclusive power to issue Section 148 notices in the NFAC.

Court's answer

The issue raised in the present writ petition is covered by the decisions of a Co-ordinate Bench of this Court in Jatinder Singh Bhangu and Jasjit Singh, which allowed writ petitions on the same issue.

Ratio / Principle

Since the petitioner's appeal is pending before the Appellate Authority, the writ petition is disposed of with a direction to the Appellate Authority to decide the appeal in terms of the judgments in Jatinder Singh Bhangu and Jasjit Singh.

Detailed headnote1 paragraphs

Punjab & Haryana High Court (DB: Lisa Gill and Sudeepti Sharma, JJ.), decision dated 28.05.2025. Writ petition by M/s S N Realtors Private Ltd. challenging notice dated 30.03.2023 issued under Section 148 of the Income Tax Act, 1961 and all consequential actions for AY 2018-2019, on the ground that the Issuing Authority had no jurisdiction in view of the CBDT circular/notification dated 29.03.2022 vesting exclusive power to issue Section 148 notices in the NFAC. Counsel contended the issue was covered by Co-ordinate Bench decisions in Jatinder Singh Bhangu (CWP No. 15745-2024, decided 19.07.2024) and Jasjit Singh (decided 29.07.2024), which allowed writ petitions on the same issue granting liberty to the revenue to follow the procedure under the Act; revenue did not dispute. Since the petitioner's appeal was pending before the Appellate Authority, the writ petition was disposed of with a direction to the Appellate Authority to decide the appeal in terms of those judgments; all pending applications disposed of. The Court did not itself adjudicate the jurisdiction/NFAC question.

CWP-15828-2025

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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

191

CWP-15828-2025 (O&M) Date of Decision:-28.05.2025

M/s S N Realtors Private Ltd.

....Petitioner

Vs.

Dy. Commissioner of Income Tax Central Circle I, Gurugram & ors.

...Respondents

CORAM: HON'BLE MRS. JUSTICE LISA GILL HON'BLE MRS. JUSTICE SUDEEPTI SHARMA

Present: Mr. Chetan Mittal, Sr. Advocate with Mr. Rishabh Kapoor, Mr. Puneet Aggarwal, Mr. Yuvraj Singh, Mr. Himanshu Gupta, Advocates for the petitioner.

Mr. Vaibhav Gupta, Standing counsel for the respondents.

SUDEEPTI SHARMA, J.

Challenge in the present petition is to notice dated 30.03.2023 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961”) and all consequential actions, for AY 2018-2019.

Learned counsel for the petitioner contends that the issue involved in the present writ petition is covered by the judgment passed by a Co-ordinate Bench of this Court in the cases of Jatinder Singh Bhangu vs. Union of India and others , passed in CWP No. 15745-2024 and connected matter, decided on 19.07.2024 and Jasjit Singh vs. Union of India and others (CWP No. 215092023 and other connected matters), decided on 29.07.2024. Learned counsel for the petitioner has further submitted that the petitioner has preferred an appeal and the same is pending before the Appellate Authority.

Learned counsel appearing for Union of India has also not

Gaurav Arora 2025.06.06 15:33 I attest to the accuracy and integrity of this document

CWP-15828-2025

2

disputed the same.

We have heard learned counsel for the parties and perused the whole records of the case.

The petitioner has challenged the notice dated 30.03.2023 issued under Section 148 of the Act, 1961 and all consequential actions, for AY 2018-2019 , on the ground that the Issuing Authority had no jurisdiction to issue the same, in view of the circular/notification dated 29.03.2022 of the CBDT, wherein, it has been specifically enumerated that the NFAC has exclusive power to issue the notice under Section 148 of the Act, 1961.

A Co-ordinate Bench of this Court in Jatinder Singh Bhangu’s case (supra) and Jasjit Singh’s case (supra), allowed the writ petitions on the same issue, as raised in the present writ petition, by granting liberty to the revenue to follow the procedure as laid down under the Act, 1961 and proceed accordingly, if so advised.

Since in the present case, the appeal is pending before the Appellate Authority, the writ petition is disposed of with a direction to the Appellate Authority to decide the appeal of the petitioner, in terms of the judgments mentioned above.

All the pending applications, if any, also stand disposed of.

(LISA GILL) (SUDEEPTI SHARMA) JUDGE JUDGE 28.05.2025 Gaurav Arora Whether speaking/reasoned : Yes/No Whether reportable : Yes/No

Gaurav Arora 2025.06.06 15:33 I attest to the accuracy and integrity of this document