CHERUPURHPANIVAS CONVENT, INDUSTRIAL ESTATE, KOLLAM V. THE INCOME TAX OFFICER

WP(C)/34736/2014

AI Insights

The case involves Cherupushpa Nivas Convent, represented by Sister Shanthi Antony, challenging the coercive steps taken by the Income Tax Officer, Ward-1, Kollam, regarding an income tax assessment. Initially, the assessment was finalized under Section 143(3) of the Income Tax Act on January 1, 2013. Subsequently, the assessment was reopened, leading to a new order under Section 154, which the petitioner contested by filing a rectification application and an appeal. The petitioner had already paid a significant portion of the assessed tax but sought to halt further coercive measures pending the decision on the stay petition filed with the appellate authority. The court's decision focused on ensuring a timely review of the stay petition to prevent undue coercive actions against the petitioner.

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 699621 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 19-12-2014
• Assessment Year: misc
• Laws Referred To: Income Tax Act 1961
• Result in Favour of: Applicant
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH; SHOBA EAPEN
• Assessee Lawyers: K LATHA
• Keywords: Coercive Steps; Income tax assessment; Rectification Application; Reopening of assessment; Stay Petition
• Section: 143(3); 154; 156

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE P.R.RAMACHANDRA MENON FRIDAY, THE 19TH DAY OF DECEMBER 2014/28TH AGRAHAYANA, 1936 WP(C).No. 34736 of 2014 (N) ---------------------------- PETITIONER: ------------------- CHERUPUSHPA NIVAS CONVENT, INDUSTRIAL ESTATE, UAMAYANALLOOR, KOLLAM - 691589, REPRESENTED BY ITS SUPERIOR GENERAL SISTER SHANTHI ANTONY. BY ADV. SMT.K.LATHA RESPONDENT(S): -------------------------- 1. THE INCOME TAX OFFICER, WARD-1, OFFICE OF THE ADDITIONAL COMMISSIONER OF INCOME TAX, KOLLAM RANGE, KOLLAM - 691 501. 2. THE COMMISSIONER OF APPEALS, AAYAKAR BHAVAN, KOWDIAR.P.O., TRIVANDRUM - 695 001. R1 BY SRI.JOSE JOSEPH, SC R2 BY SENIOR GOVT. PLEADER SMT.SHOBA ANNAMMA EAPEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 19-12-2014, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: mbr/ WP(C).No. 34736 of 2014 (N) --------------------------------------- APPENDIX PETITIONER(S)' EXHIBITS: ------------------------------------- EXHIBIT P1: THE TRUE COPY OF THE ASSESSMENT ORDER U/S. 143 (3) OF THE INCOME TAX ACT 1961 DATED 1-1-2013 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER. EXT P2(A): THE TRUE COPY OF THE REPLY TO THE NOTICE U/S. 154 OF THE INCOME TAX ACT 1961 FOR RE-OPENING THE ASSESSMENT FOR THE YEAR 2010-11 DATED 18-1-2014. EXT.P2B: THE TRUE COPY OF THE ACKNOWLEDGMENT DATED 11-2-2014. EXHIBIT P3: THE TRUE COPY OF THE ASSESSMENT ORDER U/S. 154 OF THE INCOME TAX ACT 1961 DATED 3-6-2014 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER. EXHIBIT P4: THE TRUE COPY OF THE NOTICCE NO. PAN. AAA TC 0971A/WD- 1/KLM/2014-2015 DATED 30TH OCTOBER 2014 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER. EXHIBIT P5: THE TRUE COPY OF RECTIFICATION APPLICATION AND REPLY TO THE P4 NOTICE FILED BY THE PETITIONER BEFORE THE FIRST RESPONDENT DATED 11-11-2014. EXHIBIT P6: THE TRUE COPY OF THE APPEAL IN FORM NO. 35 FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT AGAINST THE P1 ASSESSMENT ORDER. EXHIBIT P7: THE TRUE COPY OF THE DEMAND NOTICE U/S 156 OF THE INCOME TAX ACT 1961 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER FOR THE YEAR 2010-11 DATED 3-6-2014. EXHIBIT P8: THE TRUE COPY OF THE CHALLAN COUNTERFOIL DATED 30-7-2014 FOR RS. 5,00,000/- AND CHALLAN COUNTERFOIL DATED 21ST OCTOBER, 2014 FOR RS. 1,00,000/- REMITED BY THE PETITIONER FOR THE ASSESSMENT YEAR 2010-11. EXHIBIT P9: THE TRUE COPY OF THE NOTICE NO. AAA TC 0971A/WD-1/KLM/2014- 2015 DATED 8-8-2014 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER. EXHIBIT P10: THE TRUE COPY OF THE STAY PETITION DATED 19TH AUGUST, 2014 FILED BY THE PETITIONER BEFORE THE SECOND RESPONDENT IN THE P2 APPEAL. RESPONDENT(S)' EXHIBITS: - NIL --------------------------------------- /TRUE COPY/ P.A. TO JUDGE mbr/ P.R. RAMACHANDRA MENON, J. ----------------------------------- W.P(C). No. 34736 of 2014 ------------------------------------------- Dated this the 19th day of December, 2014 J U D G M E N T The assessment was finalised in the case of the petitioner under Section 143(3) of the Income Tax Act on 01.01.2013 by the 1st respondent. Subsequently, the assessment was sought to be reopened by issuing notice under Section 154 of the Income Tax Act, to which the petitioner submitted reply as borne by Exts.P2 (a)&P2(b). The proceedings came to be finalsied by the 1st respondent passing Ext.P3 order dated 03.06.2014. Pointing out certain errors apparent of the face of the records, the petitioner preferred Ext.P5 application for rectification, which is stated as pending. The petitioner has also approached the appellate authority by way of Ext.P6 appeal along with Ext.P10 petition for stay, which are still pending consideration. In the meanwhile, as against the total liability of nearly `17 lakhs, the petitioner satisfied a sum or `6 lakhs as borne by Ext.P8 and hence, further coercive steps are sought to be interfered by way of the present writ petition. 2. Heard the learned standing counsel as well. WP(c). No. 34736 of 2014 2 3. Considering the fact and circumstances, there will be a direction to the 2nd respondent to consider and pass appropriate orders on Ext.P10 I.A. for stay, in accordance with law, as expeditiously as possible, at any rate, within one month from the date of receipt of a copy of this judgment. Coercive proceedings, if any, shall be kept in abeyance till such time. The petitioner shall produce a copy of this judgment along with a copy of this writ petition before the 2nd respondent for further steps. The writ petition stands disposed of. Sd/- P.R. RAMACHANDRA MENON, JUDGE. Pn "