DR.VIVEK S. V. DEPUTY COMMISSIONER OF INCOME TAX

WP(C)/15848/2021

AI Insights

The case involves Dr. Vivek S., the petitioner, who was employed by Al-Azhar Medical College & Super Specialty Hospital, the additional 3rd respondent. The petitioner approached the court aggrieved by the delayed remittance of tax deducted at source (TDS) from his salary for the financial year 2016-17, which led to an interest liability as per the order of assessment for the assessment year 2017-18. The respondents, represented by the learned Standing Counsel, submitted that the TDS amount had been remitted and credited to the petitioner's account, thus resolving the issue of the principal tax liability. The court noted that the interest liability due to the delayed payment of TDS would now be the responsibility of the additional 3rd respondent.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 751141 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 25-07-2022
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM; V K KHAN; GIRISH V C
• Assessee Lawyers: S BHAT; ANAGHA RAMAN; GREESHMA R
• Keywords: Assessment Year; Delayed Payment; Income Tax; Interest liability; TDS
• Section: 203AA

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE GOPINATH P. MONDAY, THE 25TH DAY OF JULY 2022 / 3RD SRAVANA, 1944 WP(C) NO. 15848 OF 2021 PETITIONER: DR.VIVEK S. AGED 43 YEARS, SON OF A.N.SUKUMARAN NAIR, AMBATTUKUNNEL HOUSE, M.A.COLLEGE JUNCTION, KOTHAMANGALAM. BY ADVS. S.VINOD BHAT ANAGHA LAKSHMY RAMAN GREESHMA CHANDRIKA.R RESPONDENTS: 1 DEPUTY COMMISSIONER OF INCOME TAX, CENTRALISED PROCESSING CENTRE, 1ST FLOOR, PRESTIAGE ALPHA NO.1, 48/1, BERATENAAGRAHA, BEGUR, HOSUR ROAD, BANGALORE - 560 100. 2 COMMISSIONER OF INCOME TAX, CR BUILDING, I.S.PRESS ROAD, KOCHI - 682 018. 3 ADDL.R3.AL-AZHAR MEDICAL COLLEGE & SUPER SPECIALTY HOSPITAL, EZHALLOOR, THODUPUZH, REPRESENTED BY ITS CHAIRMAN, PIN – 685 605. ADDL.R3 IS IMPLEADED AS PER ORDER DATED 05.11.2021 IN IA 1/2021 IN WPC NO. 15848/2021 BY ADVS. CHRISTOPHER ABRAHAM, INCOME TAX DEPARTMENT V.K.PEERMOHAMED KHAN GIRISH KUMAR V.C THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 25.07.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 15848 OF 2021 2 JUDGMENT The petitioner, who was employed by the additional 3rd respondent has approached this Court being aggrieved by the fact that the additional 3rd respondent had not remitted the amounts of tax deducted at source for the financial year 2016-17 from the salary paid to the petitioner to the Income Tax Department in time, as a result of which, certain demands have now been raised on the petitioner through Ext.P13 order of assessment for the assessment year 2017-18. 2. Today, when the matter is taken up for consideration, it is submitted by the learned Standing Counsel appearing for respondents 1 and 2 that a statement has been filed on behalf of respondents 1 and 2, from which it is pointed out that an amount of Rs.79,207/- representing the amount of TDS deducted from the petitioner's salary has been remitted by the additional 3rd respondent on 08.07.2022. It is submitted that the additional 3rd respondent has also filed a revised TDS statement for financial year 2016-2017 and the petitioner has therefore obtained a credit of Rs.79,207/- pertaining to assessment year 2017-2018 in respect of his PAN number. It is submitted that the said amount is now reflected in the 26AS account of the petitioner. WP(C) NO. 15848 OF 2021 3 3. The learned counsel for the petitioner would point out that on account of non payment of TDS in time, the petitioner was mulcted with a liability to pay interest as is evident from Ext.P13. It is submitted that for no fault of the petitioner, he has been mulcted with a liability to pay interest as the total tax liability of the petitioner as seen in Ext.P13, dehors the interest is only Rs.73,027/-, which is less than the amount of TDS credit now available to the petitioner, for the relevant assessment year. 4. The learned Standing Counsel would submit that on the credit of the TDS amount being given to the petitioner, the entire demand including the interest shown in Ext.P13 will be wiped out and the petitioner will be entitled to a small amount of refund. It is submitted that the liability to pay interest for the delayed payment will now be raised on the additional 3rd respondent. This is recorded and the writ petition is closed, making it clear that the petitioner may, if necessary, prefer appropriate application before the competent authority for the above. Sd/- GOPINATH P. JUDGE DK WP(C) NO. 15848 OF 2021 4 APPENDIX OF WP(C) 15848/2021 PETITIONER EXHIBITS Exhibit P1 COPY OF EXPERIENCE CERTIFICATE DATED 08/06/2017 ISSUED BY AL-AZHAR MEDICAL COLLEGE HOSPITAL, THODUPUZHA. Exhibit P2 COPY OF APPOINTMENT ORDER DATED 01/06/2014 ISSUED BY AL-AZHAR MEDICAL COLLEGE SUPER SPECIALITY HOSPITAL, THODUPUZHA. Exhibit P3 COPY OF TABULAR CHART SHOWING THE TOTAL INCOME DRAWN BY THE PETITIONER FOR THE ASSESSMENT YEAR 2015-16. Exhibit P4 COPY OF TABULAR CHART SHOWING THE TOTAL INCOME DRAWN BY THE PETITIONER FOR THE ASSESSMENT YEAR 2016-17. Exhibit P5 COPY OF TABULAR CHART SHOWING THE TOTAL INCOME DRAWN BY THE PETITIONER FOR THE ASSESSMENT YEAR 2017-18. Exhibit P6 COPY OF FORM 26AS EVIDENCING DEDUCTION OF INCOME TAX AT SOURCE FOR THE ASSESSMENT YEAR 2015-2016. Exhibit P7 COPY OF FORM 26AS EVIDENCING DEDUCTION OF INCOME TAX AT SOURCE FOR THE ASSESSMENT YEAR 2016-2017. Exhibit P8 COPY OF INCOME TAX RETURNS FILED BY THE PETITIONER FOR THE ASSESSMENT YEAR 2015- 2016. Exhibit P9 COPY OF INCOME TAX RETURNS FILED BY THE PETITIONER FOR THE ASSESSMENT YEAR 2016- 2017. Exhibit P10 COPY OF E-MAIL LETTER DATED 16/03/2018 SENT BY THE PETITIONER TO EMPLOYER. WP(C) NO. 15848 OF 2021 5 Exhibit P11 COPY OF E-MAIL LETTER DATED 12/05/2018 SENT BY THE PETITIONER TO EMPLOYER. Exhibit P12 COPY OF INCOME TAX RETURNS FILED BY THE PETITIONER FOR THE ASSESSMENT YEAR 2017- 2018. Exhibit P13 COPY OF COMPUTERIZED INTIMATION DATED 13/06/2018 ISSUED BY THE 1ST RESPONDENT. Exhibit P14 COPY OF OFFICE MEMORANDUM DATED 11/03/2016. Exhibit P15 COPY OF LETTER DATED 28/04/2021 SENT BY THE PETITIONER TO THE 2ND RESPONDENT. Exhibit P16 COPY OF FORM 26AS UNDER SECTION 203AA OF INCOME TAX ACT FOR THE ASSESSMENT YEAR 2017-2018. Exhibit P17 COPY OF ACCOUNT STATEMENT PERTAINING TO THE FINANCIAL YEAR 2016-2017 Exhibit P18 COPY OF ACCOUNT STATEMENT PERTAINING TO THE MONTH OF APRIL, 2017 "