CWP-24802-2024 - 1 - IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 119 CWP-24802-2024 Decided on : 25.09.2024 Darshan Chand Mahendru . . . Petitioner(s) Versus Principal Commissioner of Income Tax-1, Chandigarh and others . . . Respondent(s) CORAM: HON’BLE MR. JUSTICE SANJEEV PRAKASH SHARMA HON'BLE MR. JUSTICE SANJAY VASHISTH PRESENT: Mr. Viraj Gandhi, Advocate for the petitioner(s). Mr. Yogesh Putney, Sr. Standing Counsel for the respondents – revenue. **** SANJEEV PRAKASH SHARMA , J. (Oral) 1. Notice of motion. 2. Mr. Yogesh Putney, Sr. Standing Counsel, accepts notice for the respondents – revenue. 3. Both the counsel are ad idem that the issue involved in the present petition stands finally examined and concluded by this Court in CWPNo.21509 of 2023 titled asJasjit Singh vs. Union ofIndia and others, decided on 29.07.2024, and by the Coordinate Bench in CWPNo.15745 of 2024 titledasJatinderSinghBhanguvs.Union ofIndia andothers, decided on 19.07.2024. This Court in Jasjit Singh (supra) held as under: “16. We are in agreement with the view taken by the Coordinate Bench and hold that such circular or instructions by the Board could not have been issued to override statutory provisions or to JAWALA RAM make them otiose or obsolete. Legislative enactments having 2024.09.26 18:03 I attest to the accuracy and authenticity of this document CWP-24802-2024 - 2 -

financial implications are required to be followed strictly and mandatorily. By exercising the powers contained in Sections 119 and 120 of the Act, 1961 as well as Section 144B (7 & 8), the authoritiescannotbeallowedto usurp thelegalprovisions totheir own satisfaction and convenience causing hardship to the assessees.Italsoleavesconfusioninthemindsofthetaxpayers.In the opinion of this Court, instructions and circulars can be issued onlyforthepurposeofsupplementingthestatutoryprovisionsand fortheirimplementation. 17. In view of the aforesaid discussion, there is no occasion to distinguish or take a different view as suggested by the learned counsel for the revenue from what has already been held by the CoordinateBench. 18. KeepinginviewthelawlaiddownbytheCoordinateBench (supra), notices issued by the JAO under Section 148 of the Act, 1961 and the proceedings initiated thereafter without conducting the faceless assessment as envisaged under Section 144B of the Act, 1961, have been foundto becontrary totheprovisionsofthe Act, 1961 and accordingly notices dated 28.02.2023, 16.03.2023, 20.03.2024 and 30.03.2023 and order dated 30.03.2023, are set asideforwantofjurisdiction. 19. The respondents-revenue would be, however, at liberty to followtheprocedureaslaiddownundertheAct,1961andproceed accordingly,ifsoadvised. 20. All the writ petitions are allowed. The interim order passed bytheCourtshallstandmergedwiththepresentorder.” JAWALA RAM 2024.09.26 18:03

I attest to the accuracy and authenticity of this document CWP-24802-2024 - 3 - 4. Keeping in view above, we allow this Writ Petition in the aforesaid terms. The observations and order passed above shall apply mutatis mutandis to the present case. Accordingly, notices issued by the Jurisdictional Assessing Officer u/s 148 dated 28.03.2024, 28.06.2024, 18.07.2024 and 22.08.2024, as well as consequential proceedings are set aside. 5. All pending applications also stand disposed of accordingly. (SANJEEV PRAKASH SHARMA) JUDGE (SANJAY VASHISTH) JUDGE September 25, 2024 J.Ram Whetherspeaking/reasoned: Yes/No WhetherReportable: Yes/No JAWALA RAM 2024.09.26 18:03 I attest to the accuracy and authenticity of this document

CWP-24802-2024 - 1 - IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 119 CWP-24802-2024 Decided on : 25.09.2024 Darshan Chand Mahendru . . . Petitioner(s) Versus Principal Commissioner of Income Tax-1, Chandigarh and others . . . Respondent(s) CORAM: HON’BLE MR. JUSTICE SANJEEV PRAKASH SHARMA HON'BLE MR. JUSTICE SANJAY VASHISTH PRESENT: Mr. Viraj Gandhi, Advocate for the petitioner(s). Mr. Yogesh Putney, Sr. Standing Counsel for the respondents – revenue. **** SANJEEV PRAKASH SHARMA , J. (Oral) 1. Notice of motion. 2. Mr. Yogesh Putney, Sr. Standing Counsel, accepts notice for the respondents – revenue. 3. Both the counsel are ad idem that the issue involved in the present petition stands finally examined and concluded by this Court in CWPNo.21509 of 2023 titled asJasjit Singh vs. Union ofIndia and others, decided on 29.07.2024, and by the Coordinate Bench in CWPNo.15745 of 2024 titledasJatinderSinghBhanguvs.Union ofIndia andothers, decided on 19.07.2024. This Court in Jasjit Singh (supra) held as under: “16. We are in agreement with the view taken by the Coordinate Bench and hold that such circular or instructions by the Board could not have been issued to override statutory provisions or to JAWALA RAM make them otiose or obsolete. Legislative enactments having 2024.09.26 18:03 I attest to the accuracy and authenticity of this document CWP-24802-2024 - 2 -

financial implications are required to be followed strictly and mandatorily. By exercising the powers contained in Sections 119 and 120 of the Act, 1961 as well as Section 144B (7 & 8), the authoritiescannotbeallowedto usurp thelegalprovisions totheir own satisfaction and convenience causing hardship to the assessees.Italsoleavesconfusioninthemindsofthetaxpayers.In the opinion of this Court, instructions and circulars can be issued onlyforthepurposeofsupplementingthestatutoryprovisionsand fortheirimplementation. 17. In view of the aforesaid discussion, there is no occasion to distinguish or take a different view as suggested by the learned counsel for the revenue from what has already been held by the CoordinateBench. 18. KeepinginviewthelawlaiddownbytheCoordinateBench (supra), notices issued by the JAO under Section 148 of the Act, 1961 and the proceedings initiated thereafter without conducting the faceless assessment as envisaged under Section 144B of the Act, 1961, have been foundto becontrary totheprovisionsofthe Act, 1961 and accordingly notices dated 28.02.2023, 16.03.2023, 20.03.2024 and 30.03.2023 and order dated 30.03.2023, are set asideforwantofjurisdiction. 19. The respondents-revenue would be, however, at liberty to followtheprocedureaslaiddownundertheAct,1961andproceed accordingly,ifsoadvised. 20. All the writ petitions are allowed. The interim order passed bytheCourtshallstandmergedwiththepresentorder.” JAWALA RAM 2024.09.26 18:03

I attest to the accuracy and authenticity of this document CWP-24802-2024 - 3 - 4. Keeping in view above, we allow this Writ Petition in the aforesaid terms. The observations and order passed above shall apply mutatis mutandis to the present case. Accordingly, notices issued by the Jurisdictional Assessing Officer u/s 148 dated 28.03.2024, 28.06.2024, 18.07.2024 and 22.08.2024, as well as consequential proceedings are set aside. 5. All pending applications also stand disposed of accordingly. (SANJEEV PRAKASH SHARMA) JUDGE (SANJAY VASHISTH) JUDGE September 25, 2024 J.Ram Whetherspeaking/reasoned: Yes/No WhetherReportable: Yes/No JAWALA RAM 2024.09.26 18:03 I attest to the accuracy and authenticity of this document