9911796707
TMI Blog2024 (9) TMI 963X X X X Extracts X X X X X X X X Extracts X X X X ..... re conducted by the Kolkata Circle. Only the Kolkata Office Circle had seized some incriminating materials, which were directly linking the involvement of the petitioners into the business of Lotteries, which was carried out within the jurisdiction of Kolkata Office Circle. Therefore, they have requested the Coimbatore Office Circle to transfer the cases to Kolkata. Thereafter, the show cause notice was issued and a reply was also filed. Taking into consideration of all these aspects and non appearance of the petitioners for the personal hearing held on 02.01.2024, the Notification dated 25.04.2024 was issued, wherein it is stated that the case falls under the category of either 133A or 153A / 153C of the Income Tax Act having impounded materials or under FATCA / Benami or Black Money Act. As all the materials have been collected in Kolkata Office, the respondents, taking into consideration of the replies filed by the petitioners, have decided to transfer the petitioners' case to Central Circle, Kolkata. Of course, in the present case, since the incriminating materials were found by the Kolkata Office against the petitioners, connected with the search conducted with regard to L ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dents of Coimbatore having a registered office at Coimbatore. Under this circumstance, the show cause notification was issued by the 1st respondent on 26.12.2023 stating a Search and Seizure action was carried out under Section 132 of the Income Tax Act, 1961, in the petitioners' case on 12.10.2023 by Authorized Officer under the control of the Principal Director of Income Tax (Investigation), Kolkata, where they have seized number of incriminating documents and therefore, they have requested to transfer the case to the Central Circle at Kolkata. The present show cause notice was issued for the purpose of calling for reply. Subsequent to the said show cause notice, the petitioner in W.P.No.15500 of 2024 had filed a reply on 28.12.2023 and the petitioners in W.P.Nos.15524 and 15526 of 2024 had filed their reply on 27.12.2023. 3. The main grievance of the petitioners is that their reply was not considered while issuing the Notification dated 25.04.2024. Further, no opportunity of personal hearing was provided. On 07.05.2024, 11.05.2024 and 13.05.2024 respectively, the petitioners requested for personal hearing. However, the personal hearing was not afforded to. Therefore, the lea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ection to the contention of the learned counsel appearing for the petitioners and filed a detailed counter to all the Writ Petitions. He would submit that in the present case, the petitioners have been carrying on business within the jurisdiction of Kolkata Zone. Particularly, the petitioners have been carrying on the Lottery Business in Calcutta, Nagaland, Sikkim, Bhutan and Assam and all other North Eastern States and they have come across some incriminating materials and therefore, the case has been transferred from Coimbatore to Kolkata. In this regard, the show cause notice to the petitioners was issued on 26.12.2023. In the said show cause notice, the respondents have narrated the situation in which, they intend to transfer the petitioners' case to Kolkata. Further, he would submit that in the show cause notice, the petitioners were requested to file their reply on or before 02.01.2024 and personal hearing opportunity was also provided to the petitioners on 02.01.2024. After filing the reply, the petitioners have failed to appear for personal hearing on 02.01.2024. After taking into consideration the petitioners' reply, the Notification was issued on 25.04.2024 under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... petitioners, in Central Circle, Coimbatore, instead of Central Circle, Kolkata. In this regard, a detailed show cause notice was issued. The contents of the show cause notice read as follows:- A search and Seizure action was carried out u/s 132 of the Income Tax Act, 1961, in your case on 12.10.2023 by Authorized Office under the control of the Principal Director of Income Tax (Investigation), Kolkata. In this regard, a proposal to centralize your Income Tax file has been received in this office. Your proceedings under the Income Tax Act, 1961, is proposed to be centralized in any of Central Circle in Kolkata for the following reason: (a) As a result of the said search action a number of incriminating documents were seized. The documents are interconnected and affect your assessment. It is necessary to see their effect together on the assessments. It can only be done after analyzing and investigating the documents found at different places together. As documents have been seized at different places, it is necessary that all the cases should be considered together at one place so that harmonious and co-ordinated investigation be undertaken to arrive at just assessment. Since this t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... case in connection with the search in the case of Lottery Group. We are of the view that there is no finding in our case warranting centralisation of our file (PAN: ACTFS4390L). Further, our registered office is located in Coimbatore, Tamil Nadu, it is not possible for us to travel to Kolkata to present our case before the authorities there. It will also be very expensive for us to travel or hire a local lawyer to defend our case. The authorities in Coimbatore are well competent enough to undertake the assessment proceedings in our case which they have already been doing over the years. We, therefore, reiterate that centralization of our case at Kolkata shall devoid our right to fair and natural justice and therefore we request you not to transfer our file to Kolkata. If centralization of cases is required, we have no objection in having the case centralised with Central Circle, Coimbatore. 12. The reply filed by the petitioner in W.P.No.15524 of 2024 reads as follows:- Date: 27.12.2023 To The Principal Commissioner of Income Tax-1, 63, Race Course Road, Coimbatore - 641 018. Respected Sir, Ref: PAN: ABAPL5087F / My Own case. Sub: Your Notice u/s. 127 with DIN Notice No.ITBA/COM/F ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... adu. I have made the said arrangement for operational and administrative convenience. iv. My permanent establishment is in Chennai and Coimbatore. Hence, I will not be able to travel back and forth to Kolkata as it would affect both my personal and official commitments. Hence, it is needless to say that the centralization to Kolkata will cause under hardship and inconvenience to the undersigned. v. Hence, for the reasons explained above, it would be only a righteous arrangement that my jurisdiction is retained/continued in Coimbatore and if at all for any valid reason if the centralization is essential, I might agree for centralization of my files in Central Circle, Chennai. 14. A perusal of the above replies filed by the petitioners, the petitioners expressed their personal difficulties citing the age factor, costs of litigation as well as they are having the registered office at Coimbatore and the availability of documents at Coimbatore, etc. Therefore, they made an objection for transferring the case to Central Circle, Kolkata. 15. The petitioners are having their registered office at Coimbatore, but, they have a place of business directly or indirectly at Kolkata. Therefore, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urisdictional Officer will be directed to proceed with the assessment and it will be difficult for those officers to complete the assessment, since they neither have any material nor have any place of business within their jurisdiction. Hence, it would be appropriate to transfer the cases in the present matter, since the Kolkata Circle Officer have traced out and seized some incriminating material with regard to the involvement of the petitioner in the Lottery business for the evasion of taxes within their jurisdiction. Therefore, the respondent has rightly transferred the cases from Coimbatore jurisdiction to Kolkatta jurisdiction. Hence, I do not find any reasons to interfere with the notification dated 25.04.2024. In such case, the present writ petitions are liable to be dismissed. 19. I do not find any prejudice would be caused due to the present notification because no adverse order was passed except the transfer of the petitioners' case by the respondents from Coimbatore to Central Circle, Kolkata, and no show cause notice was issued for the purpose of making any assessment, whereby to affect the petitioners' interest. 20. The learned counsel had also raised an issue ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
