KUTTIKAD FARMERS SERVICE CO-OPERATIVE BANK LTD., V. INCOME TAX OFFICER,

WP(C)/28347/2019

AI Insights

Kuttikad Farmers Service Co-operative Bank Ltd. filed a writ petition against the stay orders issued by the Commissioner of Income Tax (Appeals), which required the bank to pay 20% of the tax demand as a condition for staying the recovery of the remaining amount pending the disposal of their appeals. The bank contested this requirement, referencing a previous judgment by the same court that granted a complete stay on similar grounds. The High Court, acknowledging the precedent and the need for a timely resolution, ordered the Commissioner to decide on the appeals within six months and to halt any recovery actions until then.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 695429 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 24-10-2019
• Assessment Year: misc
• Other Referred Cases: WA NO.1536 OF 2019, WP(C) 21375/2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: K S NAIR; HARIMA HARIHARAN; RAJATH NATH
• Keywords: Appeal; Assessment Order; Income Tax; Stay Petition
• Section: 143(3)

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR THURSDAY, THE 24TH DAY OF OCTOBER 2019 / 2ND KARTHIKA, 1941 WP(C).No.28347 OF 2019(P) PETITIONER: KUTTIKAD FARMERS SERVICE CO-OPERATIVE BANK LTD., KUTTIKKAD P.O., THRISSUR, PIN - 680721, REPRESENTED BY ITS AUTHORISED SIGNATORY SMT.LISSY K.G.. BY ADVS. SRI.K.S.HARIHARAN NAIR SMT.HARIMA HARIHARAN RAJATH R.NATH RESPONDENTS: 1 INCOME TAX OFFICER, WARD 2(2), AAYAKAR BHAVAN, SAKTHAN THAMPURAM NAGAR, THRISSUR, PIN- 680001. 2 THE COMMISSIONER OF INCOME TAX (APPEALS), AAYAKAR BHAVAN, SAKTHAN THAMPURAN NAGAR, THRISSUR, PIN - 680 001. BY ADV.SRI.JOSE JOSEPH,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.10.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.28347 OF 2019(P) 2 JUDGMENT Against Exts.P1 and P1(a) assessment orders under the Income Tax Act, the petitioner has preferred Exts.P2 and P2(a) appeals before the 2nd respondent. Along with the appeals the petitioner had also preferred Ext.P3 and P3(a) stay petitions, which came to be disposed by Exts.P4 and P4(a) orders directing the petitioner to pay 20% of the demand confirmed against him by the assessment orders as a condition for grant of stay of recovery of the balance amount pending disposal of the appeals. In the Writ Petition, the petitioner impugns the said stay orders, inter alia, by placing reliance on Ext.P5 judgment of this Court, where this Court granted a complete stay against recovery pending disposal of the appeals by the first appellate authority. Taking cue from the said judgment, this Writ Petition is disposed by directing the 2nd respondent to consider and pass orders on Exts.P2 and P2(a) appeals within an outer time limit of six months from the date of receipt of a copy of this judgment, after hearing the petitioner. Recovery steps for recovery of amounts confirmed against the petitioner by Exts.P1 and P1(a) assessment orders shall be kept in abeyance till such time as orders are passed by the 2nd respondent as directed above and communicated to the petitioner. The petitioner shall produce a copy of the writ petition together with a copy of this judgment, before the 2nd respondent, for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE mns WP(C).No.28347 OF 2019(P) 3 APPENDIX PETITIONERS EXHIBITS EXHIBIT P1 COPY OF ASSESSMENT ORDER DATED 07/12/2018 ISSUED BY THE 1ST RESPONDENT FOR THE ASSESSMENT YEAR 2011-12. EXHIBIT P1 A COPY OF ASSESSMENT ORDER DATED 07/12/2018 ISSUED BY THE 1ST RESPONDENT FOR THE ASSESSMENT YEAR 2016-17. EXHIBIT P2 COPY OF APPEAL MEMORANDUM DATED 17/01/2019 AGAINST EXT.P1. EXHIBIT P2 A COPY OF APPEAL MEMORANDUM DATED 17/01/2019 AGAINST EXT.P1(A). EXHIBIT P3 COPY OF THE STAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DATED 20/02/2019. EXHIBIT P3 A COPY OF THE STAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DATED 20/02/2019. EXHIBIT P4 COPY OF STAY ORDER ISSUED BY THE 2ND RESPONDENT FOR THE ASSESSMENT YEAR 2011-12 DATED 26/09/2019. EXHIBIT P4 A COPY OF STAY ORDER ISSUED BY THE 2ND RESPONDENT FOR THE ASSESSMENT YEAR 2016-17 DATED 26/09/2019. EXHIBIT P5 COPY OF JUDGMENT OF DIVISION BENCH OF THIS HON'BLE HIGH COURT IN WA NO.1536 OF 2019 PASSED ON 01/07/2019. EXHIBIT P6 COPY OF THE JUDGMENT ISSUED BY SINGLE JUDGE BENCH IN WP(C) 21375/2019 DATED 09/08/2019. RESPONDENTS EXHIBITS:NIL //TRUE COPY// P.A TO JUDGE "