DEEPAK DHANARAJ Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) The petitioner has challenged the assessment order dated 24.12.2018 relating to the assessment year 2016-17 passed under Section 143[3] of the Income Tax Act, 1961 ['Act' for short] and the consequent demand notice dated 24.12.2018 issued under Section 156 of the Act, inter alia challenging the recovery notice dated 23.02.2019 issued by the respondent to Corporation Bank, Koramangala-PBB, Bengaluru.

(2.) The petitioner is an assessee borne on the files of the respondent, has been subjected to tax on income. It is submitted by the petitioner-assessee that he has filed a return of income on 30.03.2018 relating to the assessment year 2016-17, offering to tax the capital gains along with other sources of income. The said return is held to be a defective return. It is submitted that the petitioner filed a revised return on 18.09.2018 declaring the long term capital gains and claiming deduction under Section 48 and exemption under Section 54F of the Act. It is the grievance of the petitioner that the respondent without providing sufficient opportunity of hearing had proceeded to pass the impugned assessment order under Section 143[3] of the Act sans considering the return and the revised return vis- -vis the claims made towards deduction/exemption under Sections 48 and 54F of the Act.

(3.) Learned counsel Smt.Vani.H, appearing for the petitioner would contend that the order impugned is arbitrary and cannot be approved for lack of reasons. Non-consideration of the claims made towards deduction/exemption by the petitioner-assessee depicts non-application of mind by the respondent. The rectification application filed by the petitioner also has remained unconsidered. On this ground, it was argued that the alternative remedy of statutory appeal is no bar to invoke the writ jurisdiction. Reliance was placed on the judgment of the Hon'ble Apex Court in the case of Assistant Commissioner, Commercial Tax Department, Works Contract and Leasing, Kota V/s. Shukla and Brothers, 2010 4 SCC 785, as well as on the Division Bench Ruling of this Court in Wipro Limited and Others V/s. The Deputy Commissioner of Income Tax and Others,2015 3 LAWS(Kar) 497.