[Cites 4, Cited by 0]
Karnataka High Court
Vyavasaya Seva Sahakari Sangh Ltd ... vs The Assesment Unit on 27 March, 2026
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NC: 2026:KHC-D:4815
WP No. 101431 of 2026
HC-KAR
IN THE HIGH COURT OF KARNATAKA, AT DHARWAD
DATED THIS THE 27TH DAY OF MARCH, 2026
BEFORE
THE HON'BLE MS. JUSTICE JYOTI M
WRIT PETITION NO. 101431 OF 2026 (T-IT)
BETWEEN:
VYAVASAYA SEVA SAHAKARI SANGH LTD.,
GOKARNA, A COOPERATIVE SOCIETY
REGISTERED UNDER COOPERATIVE CREDIT
SOCIETY ACT, 1959,
REPRESENTED BY ITS MANAGER,
SRI. K. PRADEEP ACHARYA
S/O GANAPATI I. ACHARYA,
AGED ABOUT 42 YEARS,
OFFICE AT VSS GOKARNA,
CAR STREET MAIN ROAD,
KUMTA, KARNATAKA-581 326.
PAN:AABAV9674K.
... PETITIONER
(BY SRI. S. ANNAMALAI, ADVOCATE)
AND:
Digitally signed
by
PREMCHANDRA
MR 1. THE ASSESSMENT UNIT,
Location: HIGH
COURT OF
KARNATAKA 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,
JAWAHARLAL NEHRU STADIUM,
DELHI-110 003.
2. THE INCOME TAX OFFICER,
WARD 2, SANTERI KRUPA,
HABBUWADA KAIGA ROAD,
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WP No. 101431 of 2026
HC-KAR
HABBUWADA,
KARWAD-581 306.
... RESPONDENTS
(BY SRI. M. THIRUMALESH AND
SMT. ROOPA ANAVEKAR, ADVOCATES)
THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND
227 OF THE CONSTITUTION OF INDIA, SEEKING CERTAIN
RELIEFS.
THIS WRIT PETITION IS LISTED FOR PRELIMINARY
HEARING IN 'B' GROUP, THIS DAY, AN ORDER IS MADE AS
UNDER:
ORAL ORDER
Sri.S.Annamalai., counsel for the petitioner and
Sri.M.Thirumalesh along with Smt.Roopa Anavekar., counsel for
the respondents have appeared in person.
2. Though the petition is listed for preliminary hearing,
with consent, it is heard.
3. The Writ Petition is filed seeking the following
prayers:
"i) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the assessment order passed by
the Respondent No.1 u/s 144 rws 144B dated 30/08/2022
bearing DIN and Notice No. ITBA/AST/S/144/2022-
23/1045068226(1) for the AY 2020-21 herein marked as
Annexure-A1.
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HC-KAR
ii) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the computation sheet issued by
the Respondent No.1 dated 30.08.2022 bearing DIN and
Document No.ITBA/AST/S/530/2022-23/1045068314(1) for
the AY 2020-21 herein marked as Annexure-A2.
iii) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the demand notice issued u/s 156
by the Respondent No.1 dated 30.08.2022 bearing DIN and
Notice No. ITBA/AST/S/156/2022-23/1045068262(1) for the
AY 2020-21 herein marked as Annexure-A3.
iv) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the penalty order passed u/s 270A
by the Respondent No.1 dated 16/03/2023 bearing DIN
No.ITBA/PNL/F/270A/2022-23/1050863415(1) for AY 2020-
21 herein marked as Annexure-A4.
v) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the computation sheet issued by
the Respondent No.1 dated 16.03.2023 bearing DIN and
Order No.ITBA/PNL/S/270A/2022-23/1045068718(1) for AY
2020-21 herein marked as Annexure-A5.
vi) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the demand notice issued u/s 156
by the Respondent No.1 dated 16/03/2023 bearing DIN and
Notice No.ITBA/PNL/S/156/2022-23/1050859005(1) for the
AY 2020-21 herein marked as Annexure-A6.
vii) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the penalty order passed u/s
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HC-KAR
272A(1)(d) by the Respondent No.2 dated 29/08/2022
bearing DIN No.ITBA/PNL/F/272A(1)(d)/2022-
23/1044999260(1) for the AY 2020-21 herein marked as
Annexure-A7.
viii) Issue a writ of Certiorari or direction in the nature of
a writ of certiorari quashing the computation sheet issued by
the Respondent No.2 dated 29/08/2023 bearing DIN and
Order No. ITBA/PNL/S/272A(1)(d)_FL/2021-
22/1041757001(1) for the AY 2020-21 herein marked as
Annexure-A8.
ix) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the demand notice issued u/s 156
by the Respondent No.2 dated 29/08/2022 bearing DIN and
Notice No.ITBA/PNL/S/156/2022-23/1044999197(1) for the
AY 2020-21 herein marked as Annexure-A9.
x) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the penalty notice u/s 270A vide
dated 30/08/2022 issued by the Respondent No.1 bearing
DIN:ITBA/PNL/S/270A/2022-23/1045068718(1), for the AY
2020-21 herein marked as Annexure A10.
xi) Issue a writ of Certiorari or direction in the nature of a
writ of certiorari quashing the penalty notice u/s 272A(1)(d)
vide dated 27/03/2022 issued by the Respondent No.1
bearing DIN: ITBA/PNL/S/272A(1)(d)_FL/2021-
22/1041757001(1), for the AY 2020-21 herein marked as
Annexure A11.
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xii) And pass such other orders as this Hon'ble Court
deems fit and proper in the interest of justice and equity."
4. Heard the counsel for the petitioner and the counsel
for the respondents. Perused the material on record.
5. Counsel for the petitioner, Sri S. Annamalai, submits
that in respect of penalty proceedings initiated under Section
272A(1)(d) of the Income Tax Act, 1961, the notices were issued
to an incorrect email ID, namely [email protected],
which does not belong to the petitioner. It is contended that the
petitioner's correct email ID is [email protected]. On
account of the notices being sent to the wrong email address,
the petitioner did not know of the proceedings and was thereby
prevented from submitting a reply. It is further submitted that
denial of an opportunity to respond amounts to a violation of
principles of natural justice. Hence, the petitioner seeks an
opportunity to submit a reply to the notice.
6. Per contra, counsel for the respondents, Sri M.
Thirumalesh, justifies the action of the Department and submits
that sufficient opportunity had been granted to the petitioner.
However, the petitioner failed to avail the same. Therefore, it is
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contended that the writ petition is devoid of merit and liable to
be dismissed.
7. Upon hearing the rival submissions and on careful
perusal of the material available on record, this Court finds that
the principal grievance of the petitioner is that notices pertaining
to the penalty proceedings were not served to the correct email
address.
It is not in dispute that the notices were sent to
[email protected], whereas the petitioner asserts that
his correct email ID is [email protected]. In the absence of
proper service of notice, the petitioner was deprived of an
effective opportunity to participate in the proceedings.
Service of notice is a foundational requirement in any
adjudicatory process. When notices are sent to an incorrect email
ID, it cannot be said that a reasonable opportunity has been
afforded. Such action results in a violation of the principles of
natural justice.
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In view of the above, this Court is of the considered opinion
that interference under Article 226 of the Constitution of India is
warranted.
8. Accordingly, the writ petition is allowed in part. The
impugned proceedings, namely Annexures-A1 to A11, are
hereby quashed. The petitioner is granted liberty to submit a
reply to the notice dated 29.06.2021 issued under Section
143(2) of the Income Tax Act, 1961. Upon receipt of such a
reply, the respondent Department shall consider the same and
pass appropriate orders in accordance with law, after affording a
reasonable opportunity of hearing to the petitioner. All
contentions of the parties are kept open.
9. The writ petition stands disposed of accordingly.
Sd/-
(JYOTI M)
JUDGE
RH/LIST NO.: 1 SL NO.: 4
