KERALA LIVESTOCK DEVELOPMENT BOARD LTD. V. THE ASSSISTANT COMMISSIONER OF INCOME TAX

WP(C)/5527/2018

AI Insights

The case involves the Kerala Livestock Development Board, which contested an assessment order and subsequent demand for payment under the Income Tax Act, 1961. The Board sought a stay on the payment demanded by the Assistant Commissioner of Income Tax, which was partially granted by paying 15% and later 20% of the demanded amount. The Board, referencing a previous Tribunal order, argued for an absolute stay. The High Court, considering the ongoing appeal and stay petition, directed the Commissioner of Income Tax (Appeals) to decide on the stay petition within a month and deferred further proceedings until then.

• Counselvise Citation: [2018] 140 COUNSELVISE.COM (IT) 755349 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 19-02-2018
• Assessment Year: misc
• Other Referred Cases: ITA NOS.474,484, AND 485/COCH/2016
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM
• Assessee Lawyers: SUMATHY DANDAPANI; MILLU DANDAPANI
• Keywords: Assessment Order; Income Tax; Realisation of Amount; Stay Petition
• Section: 143(3); 220(6)

Judgement Text

" IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR. JUSTICE P.B.SURESH KUMAR MONDAY, THE 19TH DAY OF FEBRUARY 2018 / 30TH MAGHA, 1939 WP(C).No. 5527 of 2018 ------------------------- PETITIONER(S) -------------- KERALA LIVESTOCK DEVELOPMENT BOARD LTD. GOKULAM, PATTOM, TRIVANDRUM-695004, REPRESENTED BY ITS MANAGING DIRECTOR. BY ADVS.SMT.SUMATHY DANDAPANI (SR.) SRI.MILLU DANDAPANI RESPONDENT(S): -------------- 1. THE ASSSISTANT COMMISSIONER OF INCOME TAX CIRCLE 1(1), KOWDIAR, TRIVANDRUM-695003 2. PRINCIPAL COMMISSIONER OF INCOME TAX, OFFICE OF THE PRINCIPAL COMMISSIONER OF INCOME TAX, KOWDIAR, TRIVANDRUM.695003 3. THE COMMISSIONER OF INCOME TAX(APPEALS) KOWDIAR, TRIVANDRUM. 695003 R BY SRI.CHRISTOPHER ABRAHAM, INCOME TAX DEPARTMENT,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 19-02-2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 5527 of 2018 (M) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS ----------------------- EXHIBIT P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 24.3.2016 EXHIBIT P2 TRUE COPY OF THE DEMAND NOTICE DATED 24.3.2016 ISSUED BY THE 1ST RESPONDENT FOR A SUM OF RS.17,36,70,360/- EXHIBIT P3 TRUE COPY OF THE APPEAL FILED BY THE PETITIONER BEFORE THE COMMISSIONER OF INCOME TAX (APPEALS) VIDE REFERENCE NO.FC1404/AY 2013-14 DTD.14.4.2016 EXHIBIT P3(A) TRUE COPY OF THE STAY PETITION FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT DATED NIL. EXHIBIT P4 TRUE COPY OF THE STAY PETITION FILED BY THE PETITIONER BEFORE THE 1ST RESPONDENT DATED NIL. EXHIBIT P5 TRUE COPY OF THE LETTER BEARING NO.CIR-1(1)TVM/STAY/16-17 ISSUED BY THE 1ST RESPONDENT TO THE PETITIONER DATED 5.10.2016 EXHIBIT P6 TRUE COPY OF THE PETITION FOR STAY FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DATED 02.03.2017 EXHIBIT P7 TRUE COPY OF THE REPRESENTATION SUBMITTED BY THE PETITIONER BEFORE THE 1ST RESPONDENT DTD.7.4.2017 EXHIBIT P8 TRUE COPY OF THE ORDER BEARING NO.C.NO.701/J/CIT/STAY/86/2016-17 DATED 24.1.2018 PASSED BY THE 2ND RESPONDENT. EXHIBIT P9 TRUE COPY OF THE LETTER BEARING NO.AAACK9533D/CIR-1(1)/TVM/17-18 DATED 12.02.2018 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P10 TRUE COPY OF THE COMMON ORDER IN ITA NOS.474,484, AND 485/COCH/2016 DATED 1.2.2018 RESPONDENT'S EXHIBITS : NIL ----------------------- // True copy // Sd/- PA to Judge hmh P .B.SURESH KUMAR, J. ...................................................... W .P .(C).No.5527 of 2018 ...................................................... Dated this the 19th day of February, 2018 JUDGMENT Petitioner is an assessee under the Income T ax Act, 1961(the Act) on the files of the first respondent. The self assessment made by the petitioner for the year 2013-14 has been revised in terms of Section 143(3) of the Act as per Ext.P1 order. Petitioner challenged Ext.P1 order in Ext.P3 appeal before the third respondent. Ext.P3(a) is the application for stay filed by the petitioner before the third respondent in the said appeal. When the matter was pending before the third respondent, proceedings have been initiated by the first respondent for realisation of the amount covered by Ext.P1 order. The petitioner then preferred an application for stay before the first respondent, invoking the power under Section 220(6) of the Act. In terms of Ext.P5 order, the first respondent granted the stay sought for by the petitioner on condition that the petitioner shall pay 15% of the amount covered by Ext.P1 order. Aggrieved by Ext.P5, the petitioner W .P .(C).No.5527 of 2018 : 2 : filed a review petition before the second respondent and in terms of Ext.P8 order, the second respondent directed the petitioner to pay 20% of the amount covered by Ext.P1 order. The petitioner is aggrieved by Exts.P5 and P8 orders. According to the petitioner, in the light of Ext.P10 order passed by the Income T ax Appellate Tribunal in respect of the assessment of the petitioner for some of the previous years, the petitioner is entitled to an absolute stay in the matter. The petitioner, therefore, seeks appropriate directions in this regard, in this writ petition. 2. Heard the learned counsel for the petitioner as also the learned Standing Counsel for the respondents. 3. In so far as the stay petition preferred by the petitioner in Ext.P3 appeal is pending consideration, I deem it appropriate to dispose of the writ petition directing the third respondent to take a decision on Ext.P3(a) stay petition preferred by the petitioner in Ext.P3 appeal. This shall be done within one month from the date of receipt of a copy of this judgment. Needless to say that when a decision is taken as directed above, the third respondent shall certainly advert to Ext.P10 order passed by the Tribunal. Needless also to say that W .P .(C).No.5527 of 2018 : 3 : until orders are passed as directed above, further proceedings for realisation of the amounts covered by Ext.P1 order shall be deferred. Sd/- P .B. SURESH KUMAR, JUDGE hmh "