M/S.ARDRA ASSOCIATES V. THE ASSISTANT COMMISSIONER OF INCOME TAX

WP(C)/7324/2017

AI Insights

The case involves M/s. Ardra Associates, represented by Mr. V. Parameswaran, who filed a writ petition against the Assistant Commissioner of Income Tax and other tax authorities. The petitioner challenged the initiation of coercive proceedings for tax assessments before the stay petitions were considered by the Commissioner of Income Tax (Appeals). The assessments were made under section 143(3) of the Income Tax Act, 1961, for several assessment years. The petitioner argued that the coercive actions were premature as the appeals and stay petitions were still pending consideration. The court's decision focused on ensuring that the petitioner's appeals and stay requests were duly considered before any further coercive actions were taken.

• Counselvise Citation: [2017] 140 COUNSELVISE.COM (IT) 755453 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 06-03-2017
• Assessment Year: misc
• Other Referred Cases: WPC NO.2700 OF 2017
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: SHERRY OOMMEN; NEMISH ZAVERI
• Keywords: Coercive Proceedings; Income tax assessment; Stay Petition
• Section: 143(3); 246; 156

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN MONDAY, THE 6TH DAY OF MARCH 2017/15TH PHALGUNA, 1938 WP(C).No. 7324 of 2017 (M) --------------------------- PETITIONER(S): ------------- M/S.ARDRA ASSOCIATES, REPRESENTED BY MR.V.PARAMESWARAN, MANAGING PARTNER, CAPITAL TOWERS, PATTURAIKKAL JUNCTION, TRICHUR-680 022. BY ADVS.SRI.SHERRY SAMUEL OOMMEN SRI.NEMISH NIRANJAN ZAVERI RESPONDENT(S): -------------- 1. THE ASSISTANT COMMISSIONER OF INCOME TAX, (CENTRAL CIRCLE)-1, AAYKAR BHAVAN (NORTH BLOCK), KOZHIKODE-673 001. 2. THE COMMISSIONER OF INCOME TAX (APPEALS)-IV, POORNIMA BUILDINGS, PANAMPILLY NAGAR, KOCHI-682 036. 3. THE PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX, KERALA, C.R.BUILDING, I.S.PRESS ROAD, KOCHI-682 018. BY SRI.JOSE JOSEPH, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06-03-2017, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: msv/ WP(C).No. 7324 of 2017 (M) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS ----------------------- EXHIBIT P1 TRUE COPY OF THE ORDER OF ASSESSMENT U/S 143(3) OF THE INCOME TAX ACT, 1961 DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2008-09. EXHIBIT P1(A) TRUE COPY OF THE ORDER OF ASSESSMENT U/S 143(3) OF THE INCOME TAX ACT, 1961 DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2009-10. EXHIBIT P1(B) TRUE COPY OF THE ORDER OF ASSESSMENT U/S 143(3) OF THE INCOME TAX ACT, 1961 DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2010-11. EXHIBIT P1(C) TRUE COPY OF THE ORDER OF ASSESSMENT U/S 143(3) OF THE INCOME TAX ACT, 1961 DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2011-12. EXHIBIT P1(D) TRUE COPY OF THE ORDER OF ASSESSMENT U/S 143(3) OF THE INCOME TAX ACT, 1961 DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2012-13. EXHIBIT P2 TRUE COPY OF THE NOTICE OF DEMAND UNDER SECTION 156 OF THE ACT DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2008-09. EXHIBIT P2(A) TRUE COPY OF THE NOTICE OF DEMAND UNDER SECTION 156 OF THE ACT DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2009-10. EXHIBIT P2(B) TRUE COPY OF THE NOTICE OF DEMAND UNDER SECTION 156 OF THE ACT DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2010-11. EXHIBIT P2(C) TRUE COPY OF THE NOTICE OF DEMAND UNDER SECTION 156 OF THE ACT DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2011-12. EXHIBIT P2(D) TRUE COPY OF THE NOTICE OF DEMAND UNDER SECTION 156 OF THE ACT DATED 01-11-2016 FOR THE ASSESSMENT YEAR 2012-13. EXHIBIT P3 TRUE COPY OF THE MEMORANDUM OF APPEAL UNDER SECTION 246 BEARING NO.553328431061216 FOR THE ASSESSMENT YEAR 2008-09 EXHIBIT P3(A) TRUE COPY OF THE MEMORANDUM OF APPEAL UNDER SECTION 246 BEARING NO.554056431071216 FOR THE ASSESSMENT YEAR 2009-10. msv/ -2- -2- WP(C).No. 7324 of 2017 (M) --------------------------- EXHIBIT P3(B) TRUE COPY OF THE MEMORANDUM OF APPEAL UNDER SECTION 246 BEARING NO.555560771081216 FOR THE ASSESSMENT YEAR 2010-11. EXHIBIT P3(C) TRUE COPY OF THE MEMORANDUM OF APPEAL UNDER SECTION 246 BEARING NO.555713151081216 FOR THE ASSESSMENT YEAR 2011-12. EXHIBIT P3(D) TRUE COPY OF THE MEMORANDUM OF APPEAL UNDER SECTION 246 BEARING NO.556166871091216 FOR THE ASSESSMENT YEAR 2012-13. EXHIBIT P4 TRUE COPY OF THE STAY OF APPLICATION OF RECOVERY FOR THE ASSESSMENT YEAR 2008-09. EXHIBIT P4(B) TRUE COPY OF THE STAY OF APPLICATION OF RECOVERY FOR THE ASSESSMENT YEAR 2010-11. EXHIBIT P4(C) TRUE COPY OF THE STAY OF APPLICATION OF RECOVERY FOR THE ASSESSMENT YEAR 2011-12. EXHIBIT P4(D) TRUE COPY OF THE STAY OF APPLICATION OF RECOVERY FOR THE ASSESSMENT YEAR 2012-13. EXHIBIT P5 TRUE COPY OF JUDGMENT DATED 27-01-2017 OF THIS HON'BLE COURT IN WPC NO.2700 OF 2017. EXHIBIT P6 TRUE COPY OF LETTER DATED 10-01-2017. EXHIBIT P6(A) TRUE COPY LETTER DATED 23-1-17 PREFERRED BY PETITIONER. RESPONDENT(S)' EXHIBITS ----------------------- NIL //TRUE COPY// P.S.TO JUDGE Msv/ K. VINOD CHANDRAN, J. ------------------------------------------ W.P.(C) No. 7324 of 2017 (M) ------------------------------------------ Dated: 6th March, 2017 J U D G M E N T The petitioner preferred Ext.P3 series of appeals and Ext.P4 series of stay petitions under the Income Tax Act, 1961, against Ext.P1 series of assessment orders, before the 2nd respondent. The grievance of the petitioner is that even before the stay petitions have been considered by the 2nd respondent, coercive proceedings have been initiated. 2. In the above circumstance, there shall be a direction to the 2nd respondent to consider and pass orders on Ext.P4 series of stay petitions, within a period of two months from the date of receipt of the certified copy of this judgment and coercive proceedings shall W.P.(C) No. 7324/2017 -2- stand stayed until such orders are passed, which order shall determine the matter thereafter. Writ petition disposed of. Sd/- K.VINOD CHANDRAN, JUDGE jjj 6/3/17 "