Hari Prasad Nair V. The Income Tax Officer Ward 34(1)(4) and National Faceless Appeal Centre Delhi and The Income Tax Officer Ward - 42(2)(3)

WP(C)/5059/2024

AI Insights

The case involves Hari Prasad Nair, the petitioner, who contested an income tax assessment order for the year 2017-18, which assessed a tax amount of Rs.50,90,879. The petitioner filed an appeal and a stay petition against this assessment, which were pending before the National Faceless Appeal Centre. Meanwhile, a recovery notice was issued, prompting the petitioner to seek judicial intervention to delay the enforcement of this notice until the stay petition and appeal were resolved. The court's decision aimed to balance the urgency of tax recovery with the petitioner's right to contest the assessment.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 796247 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 14-02-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM
• Assessee Lawyers: HARISANKAR MENON; MEERA MENON; R SREEJITH; K MENON; K V PADMANATHAN
• Keywords: Income tax assessment; Recovery notice; Stay Petition; Writ of Mandamus
• Section: 143(3)

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH WEDNESDAY, THE 14TH DAY OF FEBRUARY 2024 / 25TH MAGHA, 1945 WP(C) NO. 5059 OF 2024 PETITIONER/S: HARI PRASAD NAIR AGED 53 YEARS 1/ USHAS, AYNAMPADAM, NEMMARA, PALAKKAD, PIN - 678508 BY ADVS. HARISANKAR V. MENON MEERA V.MENON R.SREEJITH K.KRISHNA PARVATHY MENON PADMANATHAN K.V. RESPONDENT/S: 1 THE INCOME TAX OFFICER WARD 34(1)(4), INCOME TAX DEPARTMENT, 8TH FLOOR, KAUTILYA BHAVAN, C-41 TO C-43, G BLOCK, BANDRA KURLA COMPLEX, BANDRA (EAST) MUMBAI, PIN - 400051 2 NATIONAL FACELESS APPEAL CENTRE DELHI , REPRESENTED BY THE COMMISSIONER OF INCOME TAX (APPEALS)., PIN - 110001 3 THE INCOME TAX OFFICER WARD - 42(2)(3), ROOM NO. 804, KAUTILYA BHAVAN, C-41 TO C-43, G BLOCK, BANDRA KURLA COMPLEX, BANDRA (EAST), MUMBAI, PIN - 400051 BY ADV CHRISTOPHER ABRAHAM, INCOME TAX DEPARTMENT OTHER PRESENT: P.R AJITH KUMAR-SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 14.02.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC No.5059 of 2024 2 JUDGMENT Dated this the 14th day of February, 2024 The present writ petition has been filed by the petitioner seeking the following reliefs: (i) To direct the 2nd respondent to dispose of Ext.P2 appeal and Ext.P3 stay petition by the issue of a writ of mandamus or such other writ or order or direction. (ii) To grant the petitioner such other incidental reliefs including the costs of these proceedings. 2. The assessment order in Ext.P1 got completed in respect of the assessment year 2017-18 on 24.12.2019 under Section 143(3) of the Income Tax Act, 1961. The tax amount assessed is Rs.50,90,879/-. 3. The petitioner being aggrieved by the said assessment order, has filed Ext.P2 appeal before the 2nd respondent along with Ext.P3 stay petition. While the appeal and the stay petition are pending consideration before this Hon’ble Court, impugned recovery notice in Ext.P4 has been issued. 4. Ms.Parvathy Menon, learned counsel for the petitioner submits that the petitioner is seeking only limited relief of direction to the 2nd respondent for early WPC No.5059 of 2024 3 disposal of stay petition and appeal is still pending in a time bound manner and till the decision at least on the stay petition, the impugned recovery notice in Ext.P4 may not be enforced. 5. The assessment order is of 2019. We are in 2024. Five years have gone back. Admittedly, the petitioner has not paid any single penny in pursuance to the assessment order and the interest liability itself should have been more than the tax amount. In view thereof, I direct the petitioner to remit 20% of the assessed tax within a period of two weeks from today, and if the petitioner remits the 20% of the assessed tax, the proceedings in pursuance to Ext.P4 shall be kept in abeyance till disposal of the appeal. The 2nd respondent is directed to dispose of the appeal expeditiously, Preferably within a period of six months. With the aforesaid direction, the present writ petition stands finally disposed of. Sd/- DINESH KUMAR SINGH JUDGE AP WPC No.5059 of 2024 4 APPENDIX OF WP(C) 5059/2024 PETITIONER EXHIBITS Exhibit P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2017-18 DTD. 24-12- 2019 Exhibit P2 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DTD. 04-02-2020 Exhibit P3 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DTD. NIL Exhibit P4 COPY OF NOTICE ISSUED BY THE 3RD RESPONDENT DTD. 12-01-2024 "