Feedback   New User   Login      
Tax Management India. Com TMI - Tax Management India. Com
Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Case Laws Manuals Short Notes Articles SMS News Highlights
        Home        
Extracts
Home List
← Previous Next →

Rasanteshwar Singh Dhariwal Versus Union of India and others

2018 (1) TMI 544 - PUNJAB AND HARYANA HIGH COURT

Validity of assessment u/s 153A - cash seized during the course of search of the vehicle of the petitioner - issuance of notices by the competent authority - Held that:- Admittedly, the cash amounting to ₹ 2,76,35,500/- was seized on 19.5.2015 during the course of search of the vehicle of the petitioner. The amount was in the possession of the petitioner though the petitioner claimed that it was the money belonging to the company. At this stage, there is no material on record to establish .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

authorization was in the name of the petitioner and the seizure was also from his possession of cash amounting to ₹ 2,76,35,500/-. In such circumstances, the issuance of notices by the competent authority under Sections 153A and 143(2) of the Act as noticed above cannot be held to be without jurisdiction so as to be amenable to challenge under Articles 226/227 of the Constitution of India. - CWP No.29244 of 2017 - Dated:- 20-12-2017 - MR. AJAY KUMAR MITTAL AND MR. AMIT RAWAL, JJ. For The .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

assessment year 2016-17 inspite of the fact that statement of the petitioner was recorded and income was surrendered as Director of the Company and assets sold belong to the company and not to the Director. Further prayer has been made for a direction to the respondents for release of cash amounting to ₹ 2,76,35,500/- seized by execution of invalid warrants issued under Section 132(1) of the Act in the name of the petitioner. 2. A few facts relevant for the decision of the controversy invo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

eas Private Limited with M/s C.G. Foods India Limited for sale of company s property at Gurgaon. As per original Memorandum of Understanding entered between the parties on 23.9.2014, the total sale consideration was settled at ₹ 6 crores but after further negotiations, it was reduced to ₹ 5.60 crores with ₹ 2.80 crores to be paid by cheque/draft and balance ₹ 2.80 crores to be paid in cash on execution of registered sale deed. The petitioner received ₹ 2.80 crores c .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

g to ₹ 2,76,35,500/- on 19.5.2015. The statement of the petitioner was again recorded under Section 132(4) of the Act during search wherein the petitioner surrendered ₹ 2.80 crores in the hands of his company and agreed to declare it in the return of the company to be filed for the assessment year 2016-17. The ADIT (Inv.) conducted survey at the business premises of the buyers of the above property i.e. M/s C.G.Foods India Pvt. Limited, Delhi and found initial agreement for sale for .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

adjustment thereof out of the company s seized cash of ₹ 2,76,35,500/-. The said return without payment of self assessment tax was held defective by the authorities. When no incriminating document or asset was found in search, notices under Sections 153A and 143(2) of the Act dated 25.11.2016 and 11.12.2017 respectively were issued to the petitioner. The petitioner submitted an application to Deputy Commissioner of Income Tax, Mohali (DCIT) for supply of copies of statements/documents sei .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

cash in the hands of the company being its sale receipt. Hence the instant writ petition by the petitioner. 3. Admittedly, the cash amounting to ₹ 2,76,35,500/- was seized on 19.5.2015 during the course of search of the vehicle of the petitioner. The amount was in the possession of the petitioner though the petitioner claimed that it was the money belonging to the company. At this stage, there is no material on record to establish the truthfulness of the assertion of the petitioner except .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

eizure was also from his possession of cash amounting to ₹ 2,76,35,500/-. In such circumstances, the issuance of notices by the competent authority under Sections 153A and 143(2) of the Act as noticed above cannot be held to be without jurisdiction so as to be amenable to challenge under Articles 226/227 of the Constitution of India. 4. The Apex Court in Commissioner of Income Tax and others vs. Chhabil Dass Agarwal, (2013) 357 ITR 357, considered the question of entertaining writ petition .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

fore discussing the fact proposition, we would notice the principle of law as laid down by this Court. It is settled law that non-entertainment of petitions under writ jurisdiction by the High Court when an efficacious alternative remedy is available is a rule of self-imposed limitation. It is essentially a rule of policy, convenience and discretion rather than a rule of law. Undoubtedly, it is within the discretion of the High Court to grant relief under Article 226 despite the existence of an .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rbanslal Sahnia vs. Indian Oil Corpn. Ltd., (2003) 2 SCC 107; State of H.P. vs. Gujarat Ambuja Cement Ltd., (2005) 6 SCC 499). 16. The Constitution Benches of this Court in K.S. Rashid and Sons vs. Income Tax Investigation Commission, AIR 1954 SC 207; Sangram Singh vs. Election Tribunal, Kotah, AIR 1955 SC 425; Union of India vs. T.R. Varma, AIR 1957 SC 882; State of U.P. vs. Mohd. Nooh, AIR 1958 SC 86 and K.S. Venkataraman and Co. (P) Ltd. vs. State of Madras, AIR 1966 SC 1089 have held that th .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

not been adopted. (See: N.T. Veluswami Thevar vs. G. Raja Nainar, AIR 1959 SC 422; Municipal Council, Khurai vs. Kamal Kumar, (1965) 2 SCR 653; Siliguri Municipality vs. Amalendu Das, (1984) 2 SCC 436; S.T. Muthusami vs. K. Natarajan, (1988) 1 SCC 572; Rajasthan SRTC vs. Krishna Kant, (1995) 5 SCC 75; Kerala SEB vs. Kurien E. Kalathil, (2000) 6 SCC 293; A. Venkatasubbiah Naidu vs. S. Chellappan, (2000) 7 SCC 695; L.L. Sudhakar Reddy vs. State of A.P., (2001) 6 SCC 634; Shri Sant Sadguru Janardan .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ansingh Nathmal v. Supdt. of Taxes, AIR 1964 SC 1419 this Court adverted to the rule of self-imposed restraint that the writ petition will not be entertained if an effective remedy is available to the aggrieved person and observed: (AIR p. 1423, para 7). 7. … The High Court does not therefore act as a court of appeal against the decision of a court or tribunal, to correct errors of fact, and does not by assuming jurisdiction under Article 226 trench upon an alternative remedy provided by .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

(1983) 2 SCC 433 this Court observed: (SCC pp. 440-41, para 11) 11. … It is now well recognised that where a right or liability is created by a statute which gives a special remedy for enforcing it, the remedy provided by that statute only must be availed of. This rule was stated with great clarity by Willes, J. in Wolverhampton New Waterworks Co. v. Hawkesford, 141 ER 486 in the following passage: (ER p. 495) … There are three classes of cases in which a liability may be establish .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of Lords in Neville v. London Express Newspapers Ltd., 1919 AC 368 and has been reaffirmed by the Privy Council in Attorney General of Trinidad and Tobago v. Gordon Grant and Co. Ltd., 1935 AC 532 (PC) and Secy. of State v. Mask and Co., AIR 1940 PC 105 It has also been held to be equally applicable to enforcement of rights, and has been followed by this Court throughout. The High Court was therefore justified in dismissing the writ petitions in limine. 14. In Mafatlal Industries Ltd. v. Union o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of the legislative intent manifested in the provisions of the Act and would exercise their jurisdiction consistent with the provisions of the enactment. (See: G. Veerappa Pillai v. Raman & Raman Ltd., AIR 1952 SC 192; CCE v. Dunlop India Ltd., (1985) 1 SCC 260; Ramendra Kishore Biswas v. State of Tripura, (1999) 1 SCC 472; Shivgonda Anna Patil v. State of Maharashtra, (1999) 3 SCC 5; C.A. Abraham v. ITO, (1961) 2 SCR 765; Titaghur Paper Mills Co. Ltd. v. State of Orissa, (1983) 2 SCC 433; H. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ourselves the observations made by this Court in Munshi Ram v. Municipal Committee, Chheharta, (1979) 3 SCC 83. In the said decision, this Court was pleased to observe that: (SCC p. 88, para 23). 23. … when a revenue statute provides for a person aggrieved by an assessment thereunder, a particular remedy to be sought in a particular forum, in a particular way, it must be sought in that forum and in that manner, and all the other forums and modes of seeking [remedy] are excluded. 19. Thus .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Discussion Forum
what is new what is new
 


Share:            

|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version