AMALGAM AQUACULTURE APPLICATIONS LTD., V. PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX,

WP(C)/3264/2019

AI Insights

The case involves two writ petitions filed by M/S Amalgam Aquaculture Applications Ltd. and M/S Amalgam Nutrients and Feeds Ltd. against the Principal Chief Commissioner of Income Tax and the Income Tax Officer, Corporate Ward-1(1), Kochi. The petitions challenged the demand notices issued to the petitioners, arguing that these were issued without considering a prior court judgment (Ext.P1) which directed the respondents to consider the petitioners' compounding applications after notice and hearing. The respondents acknowledged that the demand notices were issued before the Ext.P1 judgment was noticed, and agreed to reconsider the applications as per the court's directions.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 754759 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 04-06-2019
• Assessment Year: misc
• Other Referred Cases: WPC.24615 OF 2018, WPC.28486/2018
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: C K KARUNAKARAN; LEKSHMI NAIR; ARJUN KUMAR
• Keywords: Compounding application; Demand notices; Consideration of applications

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN TUESDAY, THE 04TH DAY OF JUNE 2019 / 14TH JYAISHTA, 1941 WP(C).No. 3264 of 2019 PETITIONER: M/S AMALGAM AQUACULTURE APPLICATIONS LTD., AMALGAM HOUSE, BRISTOW ROAD, WILLINGDON ISLAND, COCHIN-682003, REP. BY ITS EXECUTIVE DIRECTOR. BY ADVS. SRI.C.K.KARUNAKARAN SMT.LEKSHMI P. NAIR SRI.ARJUN SATHISH KUMAR RESPONDENTS: 1 PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX, INCOME TAX BHAVAN, I.S. PRESS ROAD, ERNAKULAM-682018. 2 INCOME TAX OFFICER, CORPORATE WARD-1(1), KOCHI, OFFICE OF THE ADDITIONAL COMMISSIONER OF INCOME TAX, CORPORATE RANGE-1, KOCHI, 5TH FLOOR, R.C. BUILDING, I.S. PRESS ROAD, KOCHI-682018. BY ADV. SRI.JOSE JOSEPH, SC, FOR INCOME TAX THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04.06.2019, ALONG WITH WP(C).3278/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).Nos. 3264/2019 & 3278/2019 2 IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MRS. JUSTICE ANU SIVARAMAN TUESDAY, THE 04TH DAY OF JUNE 2019 / 14TH JYAISHTA, 1941 WP(C).No. 3278 of 2019 PETITIONER: M/S. AMALGAM NUTRIENTS AND FEEDS LTD., AMALGAM HOUSE, BRISTOW ROAD, WILLINGDON ISLAND, COCHIN-682003, REP. BY EXECUTIVE DIRECTOR. BY ADVS. SRI.C.K.KARUNAKARAN SMT.LEKSHMI P. NAIR SRI.ARJUN SATHISH KUMAR RESPONDENTS: 1 PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX, INCOME TAX BHAWAN, I.S.PRESS ROAD, ERNAKULAM-682018. 2 INCOME TAX OFFICER, CORPORATE WARD-1(1), KOCHI, OFFICE OF THE ADDITIONAL COMMISSIONER OF INCOME TAX, CORPORATE RANGE-1, KOCHI, 5TH FLOOR, C.R.BUILDING, I.S.PRESS ROAD, KOCHI-682018. BY ADV. SRI.JOSE JOSEPH, SC, FOR INCOME TAX THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 04.06.2019, ALONG WITH WP(C).3264/2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).Nos. 3264/2019 & 3278/2019 3 JUDGMENT These writ petitions are filed challenging Ext.P2 in WP(C)No.3278 of 2019 and Ext.P3 in WP(C)No.3264 of 2019 seeking direction to the first respondent to consider the compounding application submitted by the petitioner after hearing the petitioner. 2. It is submitted by the learned counsel for the petitioner that by Ext.P1 judgment, this Court has specifically directed the respondents to consider the compounding application submitted by the petitioner after notice and after giving an opportunity of hearing to the petitioner. It is submitted that the demand notices are issued without an order being passed in terms of Ext.P1 judgment. 3. Heard the learned counsel for the petitioner and the learned Standing Counsel appearing for the respondents. 4. A statement has been placed on record on WP(C).Nos. 3264/2019 & 3278/2019 4 behalf of the respondents in both the writ petitions stating that before Ext.P1 judgment was brought to the notice of the authority, action had already been initiated by issuing the demand notices. It is stated that in the light of the directions contained in Ext.P1, the issue will be reconsidered with notice to the petitioner and after hearing the petitioner also. 5. Having considered the contentions advanced, I am of the opinion that the demand notices which are issued without reference to Ext.P1 judgment cannot survive. Ext.P2 in WP(C)No.3278 of 2019 and Ext.P3 in WP(C)No.3264 of 2019 are accordingly set aside. The respondents shall consider the applications preferred by the petitioner for compounding, subject to maintainability as directed in Ext.P1 within a period of three months from the date of receipt of a copy of this judgment. Needless to say, as directed in Ext.P1, coercive proceedings against the petitioner shall be deferred until the WP(C).Nos. 3264/2019 & 3278/2019 5 compounding applications are duly considered and disposed of. The petitioner shall produce a copy of this judgment along with a copy of the writ petitions before the first respondent for compliance. Writ petitions are ordered accordingly. SD/- ANU SIVARAMAN, JUDGE ACM / 10/6/19 WP(C).Nos. 3264/2019 & 3278/2019 6 APPENDIX OF WP(C) 3264/2019 PETITIONER'S/S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE JUDGMENT DATED 8.8.2018 PASSED IN WPC.24615 OF 2018 EXHIBIT P2 A TRUE COPY OF THE JUDGMENT DATED 3.10.2018 PASSED IN WPC.28486/2018 EXHIBIT P3 A TRUE COPY OF THE 2ND RESPONDENT'S LETTER DATED 1.1.2019 WP(C).Nos. 3264/2019 & 3278/2019 7 APPENDIX OF WP(C) 3278/2019 PETITIONER'S/S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE JUDGMENT DATED 8.8.2018 PASSED IN WPC.NO.24615 OF 2018. EXHIBIT P2 A TRUE COPY OF THE 2ND RESPONDENT'S LETTER DATED 1.1.2019. "