2022 (4) TMI 413 - HC - Income Tax

National Faceless assessment - Order under Section 147 read with Section 144 - appealable order under Section 246A or not - HELD THAT - Petitioner could not satisfy this Court when the query was made that is there any statutory bar under Section 246A in filing appeal against the impugned assessment order under Section 147 read with Section 144 of the Act. On the face of the grounds itself taken in the writ petition it appears to me that petitioner wants this Court to interfere with the impugned assessment order actually on merit by avoiding the remedy of statutory appeal available to him before the CIT appeal under the statute. Petitioner in support of his contention relies on a decision in the case of Gurgaon Realtech Ltd. Vs. National Faceless Assessment Centre Delhi 2021 (6) TMI 433 - DELHI HIGH COURT . On the proposition that the impugned assessment order is without jurisdiction and on perusal of the aforesaid decision, we find that in the said case subject matter of challenge in the said writ petition was assessment order passed under Section 143(3) which Section 143(3A) and 143(3B) of the Act and not under Section 147 read with Section 144 of the Act. We am not inclined to entertain this writ petition on the ground of availability of alternative remedy by way of statutory appeal and for the reason that the remedy petitioner wants in this writ petition if granted would amount to interference with the impugned assessment order on merit for which this is not the appropriate forum and all the issues raised in the writ petition can be adjudicated by the appellate authority since there is no statutory bar in raising the grounds of challenge made out for interfering with the impugned assessment order in this writ petition.

Summary

Issues: Challenge to impugned assessment order under Section 147 read with Section 144 of the Income Tax Act, 1961 for Assessment Year 2013-2014.

Analysis:
1. The petitioner challenged the impugned order dated 27th September, 2021 under Section 147 read with Section 144 of the Income Tax Act, 1961 for Assessment Year 2013-2014. The petitioner alleged that the demand raised was a high pitch demand and the computation sheet was illegal, violating a board notification. The court noted that the petitioner sought to challenge the assessment order on merit, bypassing the statutory appeal available under Section 246A of the Income Tax Act, 1961. The petitioner relied on a Delhi High Court decision but the court differentiated the case as it involved Section 143(3) and not Section 147 read with Section 144 of the Act.

2. The court observed that the petitioner's intention was to interfere with the assessment order on merit, which was not the appropriate forum. The court highlighted that there was no statutory bar preventing the petitioner from raising grounds of challenge before the appellate authority. Therefore, the court declined to entertain the writ petition due to the availability of the alternative remedy of statutory appeal. Granting the relief sought in the petition would amount to interfering with the assessment order on merit, which was not within the court's jurisdiction. The court emphasized that all issues raised in the writ petition could be addressed by the appellate authority.

3. In conclusion, the court dismissed the writ petition, stating that it was not inclined to entertain the petition due to the availability of the statutory appeal remedy. The court clarified that the appropriate forum for adjudicating the issues raised in the petition was the appellate authority, as there was no statutory bar preventing the petitioner from challenging the impugned assessment order through the statutory appeal process. The judgment highlighted the importance of following the prescribed legal procedures and utilizing the available remedies before seeking judicial interference with assessment orders.