M/S.KUNNEL ENGINEERS AND CONSTRUCTORS PVT LTD V. UNION OF INDIA

WP(C)/34498/2018

AI Insights

In this case, M/s. Kunnel Engineers and Contractors Pvt Ltd, represented by its director Mr. Michael Xavier, filed a writ petition challenging the coercive steps taken by the tax authorities despite the pendency of their stay petitions and appeals against the assessment orders. The petitioner had previously filed an appeal and a stay petition concerning the assessment orders for various assessment years, which were still pending. The court considered the procedural fairness and the statutory remedies exercised by the petitioner and decided to intervene to prevent any premature coercive actions by the tax authorities until the stay petitions were resolved.

• Counselvise Citation: [2018] 140 COUNSELVISE.COM (IT) 722300 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 24-10-2018
• Assessment Year: misc
• Result in Favour of: Others
• Court: HIGH COURT
• Assessee Lawyers: JOSE JACOB
• Keywords: Assessment Order; Coercive Steps; Procedural fairness; Stay Petition

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DAMA SESHADRI NAIDU WEDNESDAY,THE 24TH DAY OF OCTOBER 2018 / 2ND KARTHIKA, 1940 WP(C).No. 34498 of 2018 PETITIONER/S: M/S.KUNNEL ENGINEERS AND CONTRACTORS PVT LTD 2ND FLOOR, MAREENA BUILDING, MG ROAD, RAVIPURAM, ERNAKULAM - 682 018. REPRESENTED BY ITS DIRECTOR AND AUTHORISED SIGNATORY MR. MICHAEL XAVIER. BY ADV. SRI.JOSE JACOB RESPONDENT/S: 1 UNION OF INDIA REPRESENTED BY SECRETARY, MINISTRY OF FINANCE, DEPARTMENT OF REVENUE, NORTH BLOCK, NEW DELHI - 110 001 AND OTHERS. 2 ASSISTANT COMMISSIONER OF INCOME TAX CORPORATE CIRCLE-1(2), C.R.BUILDING, IS PRESS ROAD, KOCHI - 69500 3 COMMISSIONER OF INCOME TAX (APPEALS)-1 POORNIMA, 28/243, NEAR MANORAMA JUNCTION, PANAMPILLY NAGAR, COCHIN - 682 036. OTHER PRESENT: SRI. JOSE JOSEPH THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.10.2018, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: JUDGMENT The petitioner, questioning the Ext.P1 assessment order, filed an appeal before the third respondent and Ext.P3 stay petition before the second WPC No.34498 of 2018 2 respondent. Though the second respondent rejected the stay petition through Ext.P4, the appeal is pending before the third respondent. After the rejection of the Ext.P3 stay petition, the petitioner filed the Ext.P5 stay petition before the third respondent which is also pending. Ventilating his grievance that the authorities are taking coercive steps before the appellate authority could consider the stay petition, the petitioner has filed this writ petition. 2. Heard the learned counsel for the petitioner and the learned Government Pleader. 3. I reckon the petitioner has exercised his statutory remedy of filing an appeal. It appears that he has also filed a stay petition. Procedural fairness demands that the authorities may wait, before taking further steps, until the appellate authority decides on the stay petition. Therefore, I dispose of the writ petition directing the respondent authority to defer coercive steps until the third respondent considers the stay petition. I also hope that the third respondent will dispose of the stay petition expeditiously. Sd/- DAMA SESHADRI NAIDU JUDGE WPC No.34498 of 2018 3 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 COPY OF THE ASSESSMENT ORDER AND 30/03/2015 DEMAND NOTICE RELATING TO AY 2012-13. EXHIBIT P2 COPY OF APPEAL IN FORM 35 RELATING TO 30/04/2015 AY 2012-13. EXHIBIT P3 COPY OF THE APPLICATION FILED FOR STAY 01/08/2015 OF DEMAND WITH THE ASSESSING OFFICER. EXHIBIT P4 COPY OF THE LETTER FROM THE ASSESSING 31/12/2015 OFFICER REJECTING THE APPLICATION MADE FOR STAY OF DEMAND - AY 2012-13. EXHIBIT P5 COPY OF THE APPLICATION FILED FOR STAY 11/01/2016 OF DEMAND WITH THE CIT-AY 2012- 13. EXHIBIT P6 COPY OF PETITION FOR STAY OF 17/10/2018 COLLECTION OF TAX FILED WITH CIT (A)-AY 2012-13. EXHIBIT P7 COPY OF THE ASSESSMENT ORDER DATED 30/09/2016 DEMAND NOTICE RELATING TO AY 2014-15. EXHIBIT P8 COPY OF APPEAL IN FORM 35 RELATING TO 04/11/2016 AY 2014-15. EXHIBIT P9 COPY OF PETITION FOR STAY OF 17/10/2018 COLLECTION OF TAX FILED WITH CIT()-AY 2014- 15. EXHIBIT P10 COPY OF THE ASSESSMENT ORDER AND 30/11/2017 DEMAND NOTICE RELATING TO AY 2015-16. EXHIBIT P11 COPY OF APPEAL INFORM 35 RELATING 19/01/2018 TO AY 2015-16. EXHIBIT P12 COPY OF PETITION FOR STAY OF 17/10/2018 COLLECTION OF TAX FILED WITH CIT (A)-AY 2015-16. EXHIBIT P13 COPY OF DEMAND NOTICE 27/09/2018. EXHIBIT P14 COPY OF CHALLAN PAID FOR AY 2008-09, AY 2009-10 AND AY-2013-14. WPC No.34498 of 2018 4 EXHIBIT P15 COPY OF RECTIFICATION APPLICATION 22/10/2018 MADE FOR AY 2016-17. Css/ "