Disposed¶25

Prerna Sindhwani v. Income Tax Officer and Another

Punjab & Haryana HC7 Apr 2025CWP/8303/2025

Case brief

AI extract

What is this about?

Jurisdiction of Issuing Authority to issue Section 148 notice; NFAC exclusive power per CBDT circular/notification dated 29.03.2022; notice dated 22.03.2024 and assessment order dated 27.02.2025 under Section 147 read with Section 144, Income Tax Act 1961, AY 2020-2021; ITO Ward-I Panipat; writ disposed of in terms of Jatinder Singh Bhangu (CWP 15745-2024, 19.07.2024) and Jasjit Singh (CWP 21509-2023, 29.07.2024); liberty to revenue to proceed afresh under the Act; Punjab and Haryana High Court, Chandigarh.

What did the court decide?

Writ petition disposed of in terms of the Co-ordinate Bench decisions in Jatinder Singh Bhangu (19.07.2024) and Jasjit Singh (29.07.2024), with liberty granted to the revenue to follow the procedure laid down under the Act, 1961 and proceed accordingly, if so advised. ¶25

Prerna Sindhwani Vs Income Tax Officer and Another — Income Tax | Punjab & Haryana HC (2025)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the notice dated 22.03.2024 under Section 148 of the Income Tax Act, 1961 and the consequential assessment order dated 27.02.2025 under Sections 147/144 of the Act for AY 2020-2021 were issued without jurisdiction, given the CBDT circular/notification dated 29.03.2022 vesting exclusive power to issue Section 148 notices in NFAC.

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Court's answer

A Co-ordinate Bench of this Court had already allowed writ petitions on the same jurisdictional issue (validity of Section 148 notices in view of the CBDT circular of 29.03.2022 vesting exclusive power in NFAC), as raised in the present writ petition.

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Ratio / Principle

Learned counsel appearing for Union of India did not dispute that the issue involved is covered by the said Co-ordinate Bench judgments.

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Key takeaways

The present writ petition stands disposed of in terms of Jatinder Singh Bhangu (decided 19.07.2024) and Jasjit Singh (decided 29.07.2024).ratio¶25
Liberty is granted to the revenue to follow the procedure as laid down under the Act, 1961 and proceed accordingly, if so advised.ratio¶24

Detailed headnote1 paragraphs

CWP-8303-2025 (O&M), High Court of Punjab and Haryana at Chandigarh, decided 07.04.2025 (Coram: Arun Palli and Sudeepti Sharma, JJ.; judgment by Sudeepti Sharma, J.) — Assessee's writ petition challenging (i) notice dated 22.03.2024 under Section 148 of the Income Tax Act, 1961 and (ii) assessment order dated 27.02.2025 under Section 147 read with Section 144 of the Act, 1961, with consequential actions, for AY 2020-2021, 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 NFAC. Held covered by Co-ordinate Bench decisions in Jatinder Singh Bhangu (CWP No. 15745-2024, decided 19.07.2024) and Jasjit Singh (CWP No. 21509-2023, decided 29.07.2024); the Union of India did not dispute coverage. Petition disposed of in terms of those decisions, with liberty to the revenue to follow the statutory procedure and proceed accordingly, if so advised. Pending applications also disposed of.

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CWP-8303-2025

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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

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131

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CWP-8303-2025 (O&M) Date of Decision:-07.04.2025

Prerna Sindhwani

....Petitioner

Vs.

Income Tax Officer, Ward-I, Panipat & anr. ...Respondents

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CORAM: HON'BLE MR. JUSTICE ARUN PALLI HON'BLE MRS. JUSTICE SUDEEPTI SHARMA

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Present: Mr. Nitin Kanwar and Ms. Nisha Rana, Advocates, for the petitioner

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Ms. Gauri Neo Rampal, Sr. Standing counsel (Through VC) with Mr. V. Vedika Rao, Advocate for the respondent.

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SUDEEPTI SHARMA, J.

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Challenge in the instant writ petition is to notice dated 22.03.2024 issued under Section 148 of the Income Tax Act, 1961 (for short ‘Act 1961”); assessment order dated 27.02.2025 issued under Section 147 read with Section 144 of the Act, 1961 and conseuqential actions, for AY 2020-2021.

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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 .

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Learned counsel appearing for Union of India has also not

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Gaurav Arora 2025.04.09 10:25 I attest to the accuracy and integrity of this document

CWP-8303-2025

disputed the same.

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

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The petitioner has challenged the notice dated 22.03.2024 issued under Section 148 of the Act, 1961; assessment order dated 27.02.2025 issued under Section 147 read with Section 144 of the Act, 1961 and conseuqential actions, for AY 2020-2021, 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.

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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.

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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.

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

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(ARUN PALLI) (SUDEEPTI SHARMA) JUDGE JUDGE

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07.04.2025 Gaurav Arora

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Whether speaking/reasoned : Yes/No Whether reportable : Yes/No

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Gaurav Arora 2025.04.09 10:25 I attest to the accuracy and integrity of this document

Prerna Sindhwani v. Income Tax Officer and Another

Case brief

What is this about?

What did the court decide?

Prerna Sindhwani v. Income Tax Officer and Another

Case brief

What is this about?

What did the court decide?

Why is it important?

What the court decided

Issues for consideration

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