Poonam Agarwal Vs Income Tax Officer, Ward 2(1)… — Income Tax | Punjab & Haryana HC (2025)

Poonam Agarwal Vs Income Tax Officer, Ward 2(1)… — Income Tax | Punjab & Haryana HC (2025)

What the court decided

AI extract

Outcome

Writ petition disposed of in terms of Jatinder Singh Bhangu's case (decided 19.07.2024) and Jasjit Singh's case (decided 29.07.2024); all pending applications, if any, also stand disposed of.

Issue for consideration

Whether the notice dated 29.05.2025 issued under Section 148 of the Income Tax Act, 1961 for AY 2022-2023 is without jurisdiction in view of the CBDT circular/notification dated 29.03.2022, which vests exclusive power in NFAC to issue notices under Section 148.

Court's answer

The issue raised in the writ petition — want of jurisdiction of the Issuing Authority in view of the CBDT circular/notification dated 29.03.2022 vesting exclusive power in NFAC to issue Section 148 notices — is covered by the Co-ordinate Bench decisions in Jatinder Singh Bhangu (decided 19.07.2024) and Jasjit Singh (decided 29.07.2024), which allowed writ petitions on the same issue; learned counsel for the Union of India did not dispute this.

Ratio / Principle

The writ petition is disposed of in terms of Jatinder Singh Bhangu (decided 19.07.2024) and Jasjit Singh (decided 29.07.2024), i.e., the challenge to the impugned Section 148 notice succeeds on the same terms as those cases, with all pending applications also disposed of.

Detailed headnote1 paragraphs

Direct taxation — Challenge to notice dated 29.05.2025 issued under Section 148 of the Income Tax Act, 1961 and consequential actions for AY 2022-2023 — Ground: Issuing Authority had no jurisdiction, as CBDT circular/notification dated 29.03.2022 specifically vests exclusive power in NFAC to issue Section 148 notices — Petitioner relied on Co-ordinate Bench decisions in Jatinder Singh Bhangu vs. Union of India (CWP No. 15745-2024, decided 19.07.2024) and Jasjit Singh vs. Union of India (CWP No. 21509-2023, decided 29.07.2024); counsel for the Union of India did not dispute coverage — Held: writ petition disposed of in terms of the said decisions, which had allowed similar petitions while granting liberty to the revenue to follow the procedure laid down under the Act, 1961 if so advised — Pending applications disposed of.

CWP-17647-2025 [1]

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

189

CWP-17647-2025 Date of decision: 01.07.2025

Poonam Agarwal

...Petitioner

Versus

Income Tax Officer, Ward 2 (1), Faridabad & others ...Respondents

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

Present: Mr. Kartik Bansal, Advocate for the petitioner.

Mr. Varun Issar, Sr. Standing counsel with Ms. Pridhi Sandhu, Jr. Standing counsel for the respondents

SUDEEPTI SHARMA, J.

Challenge in the present petition is to notice dated 29.05.2025 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961) and all consequential actions, for AY 2022-2023.

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. 21509-2023 and other connected matters), decided on 29.07.2024.

Learned counsel appearing for Union of India has also not disputed the same.

Gaurav Arora 2025.07.04 16:09 I attest to the accuracy and integrity of this document

CWP-17647-2025 [2]

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

The petitioner has challenged the notice dated 29.05.2025 issued under Section 148 of the Act, 1961 and all consequential actions, for AY 2022-2023 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.

In view of the above, the present writ petition is disposed of, in terms of Jatinder Singh Bhangu’s case (supra), decided on 19.07.2024 and Jasjit Singh’s case (supra), decided on 29.07.2024.

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

(LISA GILL) JUDGE

(SUDEEPTI SHARMA) JUDGE

01.07.2025

Gaurav

Whether speaking/reasoned:Whether reportable:-

Yes/No Yes/No

Gaurav Arora 2025.07.04 16:09 I attest to the accuracy and integrity of this document