JUDGMENT

Ritu Bahri, J.

CM-12740-CWP-2022

Reply, filed on behalf of respondent No.2, is taken on record.

Misc. application stands allowed accordingly.

CWP No.9506 of 2022

Petitioner is seeking a writ in the nature of certiorari quashing the order dated 01.04.2022 (Annexure P-7) passed under section 148A (d) of the INCOME TAX ACT and notice dated 01.04.2022 (Annexure P-8) under section 148 of the INCOME TAX ACT on the ground that the respondents have not processed the application for surrender of PAN filed by the petitioner on 26.03.2014 (Annexure P-2).

2. As per petitioner, he is a regular income tax assessee and was allotted PAN ABJPK3615M by the Income Tax Department. However, due to some correction in PAN data undertaken by the petitioner, two PANs were issued. The second PAN was AFKPK8017L. The petitioner, thereafter, started filing his return of income on the PAN AKFPK8017L. After coming to know that petitioner was holding two PAN cards, he voluntarily filed an application dated 26.03.2014 (Annexure P-2) for surrender of PAN ABJPK3615M before respondent No.1. Keeping in view the above fact, petitioner received a letter dated 30.01.2016 (Annexure P-3) stating that return with respect to PAN ABJPK3615M had not been filed. Thereafter, the petitioner made a request on Centralised Public Grievance Redress and Monitoring System (CPGRAMS) before respondent No.3 on 14.08.2016 (Annexure P-4). The petitioner was under bonafide belief that application for surrender of PAN had been processed by respondent Nos.1 and 3. On 21.03.2022, the petitioner was issued a notice (Annexure P-5) under Section 148 A (b) of the INCOME TAX ACT to initiate re-assessment proceedings for the assessment year 2015-16. To the said notice, petitioner filed his reply (Annexure P-6) clarifying the fact that the aforesaid PAN had already been surrendered by him. Despite the clarification given by the petitioner vide his reply (Annexure P-6), respondent No.1 proceeded to conduct the assessment on the surrendered PAN by passing an order under Section 148 A (d) of the Act (Annexure P-7). Thereafter, a notice dated 01.04.2022 (Annexure P-8) under Section 148 of the Act was also issued to the petitioner. Hence, the present petition.

3. Upon notice, reply dated 02.08.2022 on behalf of respondent No.2, has been filed, wherein it has been stated that the petitioner has approached this Court at a pre-mature stage, as the proceedings initiated are yet to be completed by the adjudicating authority. On merits, it is stated that the petitioner was holding two PANs i.e. AKFPK8017L and ABJPK3615M during the financial year 2014-2015 and he had filed his income tax return under the PAN AKFPK8017L. Although he is claiming to have intimated the department for surrender of PAN ABJPK3615M vide letter dated 26.03.2014, but the fact of the matter is that he was using this PAN during the financial year 2014-2015 with the Bank of Baroda and was maintaining the bank account No.26190500000034, attached with PAN ABJPK3615M. As per information available with the department, the assessee had made transactions of Rs.1,31,62,300/- in this bank account. The second pan was being intentionally used by the assessee for depositing unexplained cash generated by him. He had not declared the given bank account in his books. In this backdrop, case of the petitioner was re-opened on the basis of the information available on database of the department under PAN ABJPK3615M and the re-assessment is to be completed on the same PAN of the assessee. Copies of the information available on the Insight Portal and undisclosed bank account are attached as Annexures R-1 and R-2. It is further stated that petitioner is maintaining three b