2024:BHC-AS:15659-DB IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURISDICTION WRIT PETITION NO.5862 OF 2021 Sar Senapati Santaji Ghorpade Sugar Factory ) Ltd., ) Through its Authorised Signatory having its ) address at 250, B/51 E Ward, Nagala Park, Off )

Shahu Blood Bank, Kolhapur – 416 003 ) ….Petitioner V/s.

1. Assistant Commissioner of Income Tax, ) Central Circle 1(1), Room No.607, 6^th Floor, ) Aaykar Sadan, Bodhi Towers, Salisbury Park, ) Gultekadi, Pune, Maharashtra – 411 037 ) 2. Central Board of Direct Taxes, ) North Block, Secretariat Building, ) New Delhi – 110 001 ) 3. Interim Board (Settlement Commission), ) North Block, Secretariat Building, ) New Delhi – 110 001 ) 4. Union of India, ) Through the Secretary, Department of ) Revenue, Ministry of Finance, Government of )

India, North Block, New Delhi – 110 001 ) ….Respondents ----

Mr. J.D. Mistri, Senior Advocate a/w. Mr. Madhur Agrawal and Mr. Atit Soni i/b. Mr. P.B. Gujar for petitioner.

Mr. Suresh Kumar for respondents.

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CORAM : K. R. SHRIRAM &

DR. NEELA GOKHALE, JJ.

RESERVED ON : 21^st MARCH 2024 PRONOUNCED ON : 2^nd APRIL 2024 JUDGMENT (PER K.R. SHRIRAM, J.) :

1 Since the pleadings are completed, by consent of the parties, we decided to dispose the petition at the admission stage itself.

2 Therefore, rule. Rule made returnable forthwith.

3 Petitioner is a company engaged in the business of manufacturing and trading in sugar, ethanol, power, etc. Petitioner received a notice dated 16^th September 2021 from Assistant Commissioner of Income Tax, Central Circle 1(1), Pune, who is respondent no.1, stating that a valid application for Assessment Years 2014-15 to 2020-21 has not been filed by petitioner before the Settlement Commission. It is this notice alongwith a condition in a Press Release dated 7^th September 2021 in so far as it seeks to make only those assessees eligible to file application before the Settlement Commission who were eligible as on 31^st January 2021 which was challenged in the petition. Subsequently, upon leave being granted, the petition was amended to also impugn a notification dated 28^th September 2021 in so far as it sought to make only those assessees eligible to file applications before the Interim Board Settlement Commission (IBSC), respondent no.3, who are eligible as on 31^st January 2021.

Facts in brief :

4 On 25^th July 2019 a search action under Section 132 of the Income Tax Act, 1961 (the Act) was conducted on petitioner and was concluded on 29^th August 2019. Thereafter, petitioner received a notice dated 5^th February 2021 under Section 153A of the Act for Assessment Years 2014-15 to 2020-21 calling upon petitioner to file return of income within 15 days. On 18^th March 2021 petitioner filed before the Settlement Commission an application under Section 245C of the Act for Assessment Years 2014-15 to 2020-21.

5 In the meantime, a Finance Bill, 2021 was laid before the legislature on 1^st February 2021. The Finance Bill proposed certain amendments to Chapter XIX-A of the Act including insertion of sub-section (5) to Section 245C of the Act to provide that “No application shall be made under this section on or after 1^st February 2021”.

6 It is stated in the petition that even though it was just the Bill and was not promulgated into the Act, certain benches of the Settlement Commission stopped accepting the applications after 1^st February 2021. Later, based on directions given by various Courts, the Settlement Commission accepted and entertained the applications filed by assessees as the Bill gets enacted only after the assent of the Hon’ble President of India and till such time, the Settlement Commission is duty bound to accept applications so filed by assessees. Accordingly, petitioner made application to the Settlement Commission on 18^th March 2021, which was accepted by the Settlement Commission.

7 The Hon’ble President of India gave assent to the Finance Bill on 28^th March 2021 after which sub-section (5) was inserted in Section 245C of