ALOOR SERVICE CO-OPERATIVE BANK LIMITED, V. THE INCOME TAX OFFICER,

WP(C)/29791/2019

AI Insights

The case involves Aloor Service Co-operative Bank Limited, which challenged the assessment orders under the Income Tax Act. The bank had filed appeals against these orders and sought a stay on the recovery of the disputed amounts. The Appellate Authority had conditionally granted the stay, requiring a 20% payment of the disputed demand. The petitioner contested this condition, leading to the High Court's intervention, which aligned with previous similar cases and directed a re-evaluation of the appeals without the conditional payment.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 761116 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 06-11-2019
• Assessment Year: misc
• Other Referred Cases: WP(C) No.24808/2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: C A JOJO; SWATHY S
• Keywords: Appeal; Assessment Order; Deduction; Income Tax; Section 80P; Stay Application
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR WEDNESDAY, THE 06TH DAY OF NOVEMBER 2019/15TH KARTHIKA, 1941 W.P(C).No.29791 OF 2019(Y) PETITIONER: ALOOR SERVICE CO-OPERATIVE BANK LIMITED, NO.693, REPRESENTED BY ITS SECRETARY, PHILO JOSEPH, AGED 56 YEARS, W/O.DAVIS, ALOOR P.O., VIA KALLETTUMKARA, THRISSUR DISTRICT, PIN - 680 683. BY ADVS.SRI.C.A.JOJO SMT.SWATHY S. RESPONDENTS: 1 THE INCOME TAX OFFICER, WARD 2(1), AYAKAR BHAVAN, NEAR SAKTHAN STAND, THRISSUR - 68001. 2 THE COMMISSIONER OF INCOME TAX (APPEALS), AYAKAR BHAVAN, NEAR SAKTHAN STAND, THRISSUR – 68001. BY SRI.JOSE JOSEPH, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06.11.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C).No.29791/2019 : 2 : J U D G M E N T Against Exts.P1 and P5 assessment orders under the Income Tax Act, the petitioner has preferred Exts.P3 and P7 appeals along with stay applications before the 2nd respondent. In the stay applications, by Ext.P8 order, the Appellate Authority directed the petitioner to pay 20% of the disputed demand as a condition for stay of recovery of balance amounts pending disposal of the appeals. Exts.P2 and P6 are the demand notices issued to the petitioner in this regard. 2. I have heard the learned counsel for the petitioner as also the learned Standing Counsel for the respondents. On a consideration of the facts and circumstances of the case as also the submissions made across the bar, I find that the issue involved in the appeals is the permissibility of deduction under Section 80P of the Income Tax Act. In connected matters, this Court has directed the Appellate Authority to consider and W.P.(C).No.29791/2019 : 3 : pass orders on the appeals and granted a stay of recovery of the disputed demands pending disposal of the appeals by the Appellate Authority. Following the said orders, I quash Ext.P8 order, and direct the 2nd respondent Appellate Authority to consider and pass orders on Exts.P3 and P7 appeals within an outer time limit of three months from the date of receipt of a copy of this judgment, after hearing the petitioner. Recovery steps, pursuant to Exts.P2 and P6 demand notices, shall be kept in abeyance till such time as orders are passed by the 2nd respondent, as directed, and the order communicated to the petitioner. The petitioner shall produce a copy of the writ petition together with a copy of this judgment, before the 2nd respondent, for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE prp/6/11/19 W.P.(C).No.29791/2019 : 4 : APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE ASSESSMENT ORDER AY 2008-08 DATED 22/03/2016 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P2 A TRUE COPY OF THE DEMAND NOTICE DATED 22/03/2016 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P3 A TRUE COPY OF THE APPEAL FOR AY 2008-09 DATED 18/04/2016 FILED BEFORE THE 2ND RESPONDENT. EXHIBIT P4 A TRUE COPY OF THE STAY PETITION DATED 20/04/2016 FILED BEFORE THE 2ND RESPONDENT. EXHIBIT P5 A TRUE COPY OF THE ASSESSMENT ORDER FOR AY 2016-17 DATED 23/12/2018 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P6 A TRUE COPY OF THE DEMAND NOTICE DATED 23/12/2018 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P7 A TRUE COPY OF THE APPEAL FOR AY 2016-17 DATED 23/01/2019 FILED BEFORE THE 2ND RESPONDENT. EXHIBIT P8 A TRUE COPY OF THE ORDER OF THE 2ND RESPONDENT DATED 26/09/2019. EXHIBIT P9 RESPONDENTS EXHIBITS: A TRUE COPY OF THE JUDGMENT IN WP(C) NO.24808/2019 DATED 19/09/2019. NIL. //TRUE COPY// P.S. TO JUDGE "