K.V.J. Builders & Developers Pvt. Ltd V. The Assistant Commissioner (WC), Commercial Taxes, Works Contract, Ernakulam and The Deputy Commissioner (Appeals)-II, Commercial Taxes, Ernakulam

WP(C)/12694/2014

AI Insights

The case involves M/S. K.V.J. Builders & Developers Pvt. Ltd, a works contractor, who filed writ petitions challenging the interim order imposed by the appellate authority, which required the petitioner to deposit 30% of the outstanding dues as per the assessment order for the years 2009-10 and 2010-11. The petitioner argued that more than 50 lakhs had been deducted as tax at source by the awarder, and all relevant documents were submitted to evidence this before the appellate authority. The government contended that the TDS amounts were considered by the Assessing Officer in computing the outstanding dues. The court decided to direct the Assessing Authority to re-evaluate the dues considering the TDS and issue a new computation statement.

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 689891 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 21-05-2014
• Assessment Year: misc
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH; SHOBA EAPEN
• Assessee Lawyers: K N CHANDRABABU
• Keywords: Appeal; Assessment; Computation Statement; Interim order; Tax deduction at source; Works contractor

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN WEDNESDAY, THE 21ST DAY OF MAY 2014/31ST VAISAKHA, 1936 WP(C).No. 12694 of 2014 (J) ---------------------------- PETITIONER : ------------------ M/S. K.V.J. BUILDERS & DEVELOPERS PVT. LTD, KURICKAL BUILDING, NH 47, OPP IBP PETROL PUMP EDAPPALLY REPRESENTED BY ITS MANAGING DIRECTOR BINU GEROGE BY ADV. SRI.K.N.CHANDRABABU RESPONDENTS : ------------------------ 1. THE ASSISTANT COMMISSIONER (WC), COMMERCIAL TAXES, WORKS CONTRACT, ERNAKULAM 682030 2. THE DEPUTY COMMISSIONER (APPEALS)-II, COMMERCIAL TAXES, ERNAKULAM 682030 BY SRI.JOSE JOSEPH, SC, FOR INCOME TAX BY GOVERNMENT PLEADER SMT. SHOBA ANNAMMA EAPEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21-05-2014 ALONG WITH WP(C) NO. 12695/2014, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: BP WP(C).No. 12694 of 2014 (J) ---------------------------- APPENDIX PETITIONER(S)' EXHIBITS ------------------------------------- P1: TRUE COPY OF THE ORDER OF ASSESSMENT DATED 23-07-2012 ISSUED BY THE FIRST RESPONDENT TO THE PETITIONER FOR THE YEAR 2009-10. P2: TRUE COPY OF THE NOTICE OF DEMAND DATED 12-03-2014 ISSUED BY THE FIRST RESPONDENT TRUE COPY OF THE ALONG WITH EXHIBIT P1. P3: TRUE COPY OF THE APPEAL WITH EXHIBITS PREFERRED BY THE PETITIONER BEFORE THE SECOND RESPONDENT . P4: TRUE COPY OF THE STAY PETITION FILED BY THE PETITIONER ALONG WITH EXHIBIT P3 APPEAL P5: TRUE COPY OF THE ORDER DATED 25-04-2014 PASSED BY THE SECOND RESPONDENT. P6: TRUE COPY OF THE FORM NO 13 SUBMITTED BY THE PETITIONER BEFORE THE ASSESSING OFFICER. P6(A): TRUE COPY OF THE FORM NO 13A SUBMITTED BY THE PETITIONER BEFORE THE ASSESSING OFFICER RESPONDENT(S)' EXHIBITS : NIL. --------------------------------------- //TRUE COPY// P.S. TO JUDGE BP K.Vinod Chandran, J. ---------------------------------------- W.P.(C).Nos.12694 of 2014 & 12695 of 2014 ----------------------------------------- Dated this the 21st day of May, 2014 J U D G M E N T The subject matter of the above writ petitions relate to the assessment made against the petitioner, a works contractor, for the years 2009-10 and 2010-11. More specifically the petitioner is aggrieved by the interim order passed in the First Appeal filed by the petitioner, wherein a condition has been imposed directing the petitioner to satisfy 30% of the outstanding dues as per the assessment order. The petitioners contention is that in fact more than 50 lakhs has been deducted by the awarder as tax deduction at source and the petitioner has produced the entire documents to evidence the same, before the appellate authority. A mere perusal of the same and computation thereon would reveal that WPC No.12694/2014&con. ::2:: there is no amount due from the petitioner and hence he need not necessarily comply with the order of deposit of 30% of the outstanding dues, is the contention. 2. The learned Government Pleader, however, submits that the documents to evidence the TDS, produced by the petitioner has been taken into account by the Assessing Officer and the outstanding dues have been computed only after deducting such amount. There is a controversy with respect to whether the petitioner has produced the entire documents before the Appellate Authority or the Assessing Authority. In any event, considering the contention raised as also looking at the orders passed, it is deemed fit that the writ petition be disposed of with a direction to the Assessing Authority-first respondent in both the writ petitions to WPC No.12694/2014&con. ::3:: consider the amounts received by the Department as tax deducted at source and issue a computation statement as to the outstanding dues, if any, as on today, from the petitioner. The petitioner shall be obliged to pay only 30% of such amount after giving credit to the entire TDS credited and paid to the State. 3. The petitioner shall produce a certified copy of this judgment before the 1st respondent within a period of two weeks from today. The petitioner shall also produce the entire documents evidencing TDS. The Assessing Officer shall afford an opportunity of hearing to the petitioner and shall prepare computation statement as directed above within two weeks thereafter. The petitioner shall be issued with a copy of such computation statement clearly showing the dues as per the Assessment WPC No.12694/2014&con. ::4:: Order, amounts deducted by the awarder and paid to the State, as also the outstanding amounts, if any, due. Recovery proceedings shall be kept in abeyance till orders, as directed above are passed by the Assessing Officer. Writ petitions are disposed of as above. Sd/- K.VINOD CHANDRAN, jma Judge //true copy// P.A to Judge "