KANNUR BUILDING MATERIALS MARKETING CO-OPERATIVE SOCIETY LTD. NO.C-1741 V. THE JOINT COMMISSIONER OF INCOME TAX,

WP(C)/8194/2019

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The case involves the Kannur Building Materials Marketing Co-operative Society Ltd., which appealed against the orders passed by the assessing authority under the Income Tax Act. During the appeal process, the petitioner's bank accounts were frozen by the income tax authorities to recover the demanded amount. The petitioner sought relief from the High Court of Kerala, which resulted in the court directing the Commissioner of Income Tax (Appeals) to expedite the decision on the stay applications and temporarily halt the recovery actions.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 754819 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 18-03-2019
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: M SASEENDARAN
• Assessee Lawyers: C A JOJO; JACOB CHACKO; MATHEWS JOSEPH
• Keywords: Bank account freeze; Co-operative Society; Income Tax; Stay Application
• Section: 226(3); 2718; 27IF

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE MONDAY, THE 18TH DAY OF MARCH 2019 / 27TH PHALGUNA, 1940 WP(C).No.8194 of 2019 PETITIONER: KANNUR BUILDING MATERIALS MARKETING CO-OPERATIVE SOCIETY LTD. NO.C-1741 REPRESENTED BY ITS SECRETARY, PAPPINISSERY P.O, KANNUR DISTRICT-670561. BY ADVS. SRI.C.A.JOJO SRI.JACOB CHACKO SRI.MATHEWS JOSEPH RESPONDENTS: 1 THE JOINT COMMISSIONER OF INCOME TAX, CIRCLE -1, AAYAKAAR BHAVAN, KANNOTHUMCHAL, PIN-670006. 2 THE DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-1, AAYAKAR BHAVAN, KANNOTHUMCHAL, PIN-670006. 3 THE ASST. COMMISIONER OF INCOME TAX, CIRCLE-1, AAYAKAR BHAVAN, KANNOTHUMCHAL, PIN-670006. 4 THE COMMISSIONER OF INCOME TAX(APPEALS) OFFICE OF THE COMMISSIONER OF INCOME TAX(APPEALS), MANANCHIRA, KOZHIKODE-671003. 5 THE BRANCH MANAGER, KANNUR DISTRICT CO-OPERATIVE BANK LTD, MAIN BRANCH, KANNUR-670006. 6 THE BRANCH MANAGER, S B I, PAPPINISSERY, BRANCH, KANNUR-670006. 7 THE MANAGER PAPPINISSERY SERVICE CO-OP. BANK, PAPPINISSERY P.O,, KANNUR-670006. W.P.(C) No.8194/2019 2 8 THE BRANCH MANAGER, KANNUR DISTRICT CO-OPERATIVE BANK LTD, PUTHIYATHERU BRANCH, KANNUR-670006. 9 THE BRANCH MANAGER, THE MATHIL SERVICE CO-OPERATIVE BANK LTD, CHOORAL BRANCH, KANNUR-670006. 10 THE BRANCH MANAGER, ERAMAM KUTTOOR SERVICE CO-OPERATIVE BANK LTD, KUTTOOR BRANCH, KANNUR - 670 006. 11 THE BRANCH MANAGER, PAPPNISSERY SERVICE CO-OPERATIVE BANK LTD, EVENING BRANCH, KANNUR-670006. 12 THE BRANCH MANAGER, PAPPINISSERY CO-OPERATIVE RURAL BANK LTD, EVENING BRANCH, PAPPINISSERY, KANNUR-670006. OTHER PRESENT: SRI.M.SASEENDARAN, SC, KANNUR DIST.CO-OP BANK. SRI.S.EASWARAN SRI.CHRISTOPHER ABRAHAM THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 18.03.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) No.8194/2019 3 J U D G M E N T The petitioner, a co-operative society, filed appeals as against the orders passed by the assessing authority under the Income Tax Act. In the meanwhile, the account maintained with respondents 5 to 12 has been freezed to recover the amount. In the light of the above, there shall be a direction to the 4th respondent to dispose the stay applications filed by the petitioner within a period of two months. Till then, recovery proceedings shall be deferred. Accordingly, it is ordered to defreeze the Bank Account of the petitioner forthwith. This writ petition is disposed of as above. Sd/- A.MUHAMED MUSTAQUE JUDGE smp W.P.(C) No.8194/2019 4 APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE ASSESSMENT ORDER DATED 21.12.2017 WITH DEMAND NOTICE ISSUED BY THE FIRST RESPONDENT. EXHIBIT P2 A TRUE COPY OF THE DEMAND NOTICE DATED 21.12.2017 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P3 A TRUE COPY OF THE ASSESSMENT ORDER DATED 27.12.2018 WITH DEMAND NOTICE ISSUED BY THE FIRST RESPONDENT. EXHIBIT P4 A TRUE COPY OF THE DEMAND NOTICE DATED 27.12.2018 ISSUED BY THE 3RD RESPONDENT. EXHIBIT P5 A TRUE COPY OF THE APPEAL BEFORE THE 4TH RESPONDENT FOR AY 2015-16 DATED 21.01.2018. EXHIBIT P6 A TRUE COPY OF THE STAY PETITION BEFORE THE 4TH RESPONDENT FOR AY 2015-16 DATED 14.02.2018. EXHIBIT P7 A TRUE COPY OF THE APPEAL BEFORE THE 4TH RESPONDENT FOR AY 2016-17 DATED 26.01.2019. EXHIBIT P8 A TRUE COPY OF THE STAY PETITION BEFORE THE 4TH RESPONDENT FOR AY 2016-17 DATED 04.02.2019. EXHIBIT P9 A TRUE COPY OF THE DEMAND NOTICE U/S.2718 FOR RS.1,50,000/- DATED 31.05.2018. EXHIBIT P10A A TRUE COPY OF THE DEMAND NOTICE U/S.27IF FOR RS.5000/- DATED 15.05.2018 ISSUED BY THE 3RD RESPONDENT. EXHIBIT P11 A TRUE COPY OF THE REVISION PETITION BEFORE THE 4TH RESPONDENT DATED 22.06.2018. EXHIBIT P12 A TRUE COPY OF THE A NOTICE UNDER S.226(3) ISSUED BY THE 1ST RESPONDENT TO THE 5TH RESPONDENT DATED 11.03.2019. EXHIBIT P13 A TRUE COPY OF A NOTICE UNDER S.226(3) ISSUED BY THE 1ST RESPONDENT TO THE 6TH RESPONDENT DATED 11.03.2019. W.P.(C) No.8194/2019 5 EXHIBIT P14 A TRUE COPY OF THE A NOTICE UNDER S.226(3) ISSUED BY THE 1ST RESPONDENT TO THE 6TH RESPONDENT DATED 11.03.2019. RESPONDENTS' EXHIBITS: NIL. True Copy P.S to Judge smp "