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Vanitha Govindappa Vs ITO (Karnataka High Court)
Karnataka HC quashes reassessment for AY 2020-21 as AO acted beyond scope of Section 151A; Revenue liberty kept open pending SC verdict
The Karnataka High Court (Justice M. Nagaprasanna) quashed the reassessment proceedings initiated against the Petitioner for AY 2020-21, holding that the show-cause notices issued by the jurisdictional AO were beyond the scope of Section 151A of the Income-tax Act, 1961.
The Petitioner had challenged a series of proceedings — including two notices u/s 148A(b) dated 23.03.2024 & 31.03.2024, an order u/s 148A(d) dated 12.04.2024, and a subsequent reassessment notice u/s 148 issued on the same date. It was contended that the jurisdictional officer had no authority to issue such notices, as the same were required to be initiated by the faceless regime under Section 151A.
The Court observed that the grounds raised were identical to those already considered in W.P. No. 28182/2024 & connected batch, disposed of on 28.08.2025, wherein similar reassessment proceedings were struck down on the same jurisdictional infirmity.
Following the earlier ruling, the Court held that the impugned show-cause notices & consequential reassessment proceedings stood obliterated. However, it granted liberty to the Revenue to revive the proceedings if the Supreme Court, in the pending matter, eventually decides in its favour.
Accordingly, the writ petition was allowed, and all other contentions were kept open to be considered afresh in case of such revival.
This decision reinforces that any reassessment action initiated outside the faceless assessment framework prescribed under Section 151A is without jurisdiction and liable to be quashed, unless validated by an eventual ruling of the Apex Court.
FULL TEXT OF THE JUDGMENT/ORDER OF KARNATAKA HIGH COURT
The petitioner is before this Court seeking the following prayer:
“a) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice passed under section 148A(b) of the Income Tax Act, 1961 dated 23.03.2024 for the Assessment Year 2020-21 by the Respondent No.1 bearing DINNo. ITBA/AST/F/148A(SCN)/202324/10632455 19(1) herein marked as Annexure – A1.
b) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice passed under section 148A(b) of the Income Tax Act, 1961 dated 31.03.2024 for the Assessment Year 2020-21 by the Respondent No.1 bearing DIN No.ITBA/AST/F/148A(SCN)/2023-/1063766824(1) herein marked as Annexure – A2.
c) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice of order passed under 148A(d) of the Income Tax Act, 1961 dated 12.04.2024 for the Assessment Year 2020-21 by the Respondent No.1 bearing DIN & Notice No. ITBA/AST/F/148_A/2024-25/1064073030(1) herein marked as Annexure – A3.
d) Issue a writ of Certiorari or direction in the nature of a writ of certiorari quashing the notice issued under section 148 dated 12.04.2024 of the Income Tax Act, 1961 for the assessment year 2020-21 by the Respondent No.1 bearing DIN & Order40 No. ITBA/AST/S/148_1/2024-
25/1064073161(1) herein marked as Annexure – A4.
e) And pass such other orders as this Hon’ble Court deems fit and proper in the interest of justice and equity.”
2. Heard Sri Madhusudhan U.A., learned counsel for the petitioner and Sri M. Thirumalesh, learned counsel along with Sri Ganesh Bhale, learned counsel for respondents.
3. The grounds projected in the subject petition in support of the prayer quoted supra are identical to the ones considered by this Court in W.P.No.28182/2024 and connected matters, disposed on 28.08.2025.
4. In the light of the issue being similar and the reasons rendered therein becomes applicable to the case at hand, the petition deserves to be disposed on the same lines. Therefore, I pass the following:
ORDER
(i) The impugned show cause notices issued by the jurisdictional Assessing Officer outside the scope of Section 151A of the Act stand obliterated. All further proceedings initiated thereto, challenged in this petition would stand quashed.
(ii) Liberty is reserved to the respondents – revenue to revive the petition in the event, the Apex Court would hold in favour of the Revenue in the matter pending before it.
(iii) With the aforesaid liberty and to the aforesaid extent, the petition is allowed.
(iv) Contentions of both the parties except the one noted hereinabove, shall remain open to be considered in the event revival of this petition would become necessary.
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