THE MANNARKKAD TALUK AIDED SCHOOL V. THE INCOME TAX OFFICER,

WP(C)/32422/2019

AI Insights

The case involves the Mannarkkad Taluk Aided School Employees Co-operative Credit Society Ltd, which challenged a conditional stay order imposed by the Commissioner of Income Tax (Appeals) regarding a tax assessment. The petitioner had filed an appeal against the assessment order and a stay petition, which was conditionally granted, requiring a 20% deposit of the disputed amount. The petitioner argued that similar cases had seen the appellate authority decide without such a deposit. The court, referencing similar precedents, quashed the conditional stay order and directed a timely decision on the appeal without the deposit condition.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 695391 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 29-11-2019
• Assessment Year: misc
• Other Referred Cases: W.A.NO.1649/2019, W.P.(C) NOS.21015 & 20995/2019, W.P.(C) NO.22496/2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: HARISANKAR MENON
• Keywords: Appeal; Assessment Order; Conditional order of stay; Deduction; Income Tax; Stay Petition
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR FRIDAY, THE 29TH DAY OF NOVEMBER 2019 / 8TH AGRAHAYANA, 1941 WP(C).No.32422 OF 2019(C) PETITIONER : THE MANNARKKAD TALUK AIDED SCHOOL EMPLOYEES CO-OPERATIVE CREDIT SOCIETY LTD NO.P 945, MANNARKKAD, PALAKKAD - 678 582, REPRESENTED BY ITS SECRETARY, VINEETHA M.S. BY ADV. SRI.HARISANKAR V. MENON RESPONDENTS : 1 THE INCOME TAX OFFICER, WARD-4, AYAKAR BHAVAN, PALAKKAD - 678 014. 2 THE COMMISSIONER OF INCOME TAX (APPEALS), SAKTHAN NAGAR, THRISSUR - 680 021. BY SRI.JOSE JOSEPH, STANDING COUNSEL THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 29.11.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.32422 OF 2019(C) 2 JUDGMENT Against Ext.P1 assessment order under the Income Tax Act, the petitioner has preferred Ext.P2 appeal together with Ext.P3 stay petition before the 2nd respondent. The 2nd respondent by Ext.P4 order passed a conditional order of stay in the stay application directing the petitioner to deposit 20% of the disputed amount as a condition for grant of stay of recovery of the balance amount pending disposal of the appeal. It is submitted by the learned counsel for the petitioner that the issue involved in the appeal is the deduction allowable under Section 80P of the Income Tax Act, and in similar cases, this Court has directed the Appellate Authority to consider and pass orders in the appeal without insisting on the deposit of any disputed amount as a condition for grant of stay of recovery of the assessed amount pending disposal of the appeal. 2. I have heard the learned counsel appearing for the petitioner and also the learned Standing counsel appearing for the respondents. On a consideration of the facts and circumstances of the case as also the submissions made across the Bar and taking note of the fact that in similar matters, this Court has directed the Appellate Authority to consider and pass orders in the appeal and stayed the recovery of disputed amounts pending disposal of the appeal, this Writ petition is disposed by quashing WP(C).No.32422 OF 2019(C) 3 Ext.P4 conditional order, and directing the 2nd respondent to consider and pass orders on Ext.P2 appeal within an outer time limit of six months from the date of receipt of a copy of this judgment, after hearing the petitioner. It is made clear that recovery steps for recovery of amounts confirmed against the petitioner by Ext.P1 assessment order 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 RKM WP(C).No.32422 OF 2019(C) 4 APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2016-17 EXHIBIT P2 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR THE YEAR 2016-17 EXHIBIT P3 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR THE YEAR 2016-17 EXHIBIT P4 EXHIBIT P5 EXHIBIT P6 EXHIBIT P6(a) COPY OF ORDER ISSUED BY THE 2ND RESPONDENT COPY OF JUDGMENT IN W.A.NO.1649/2019 OF THIS HON'BLE COURT COPY OF JUDGMENT IN W.P.(C) NOS.21015 & 20995/2019 OF THIS HON'BLE COURT COPY OF JUDGMENT IN W.P.(C) NO.22496/2019 OF THIS HON'BLE COURT. EXHIBIT P5 COPY OF JUDGMENT IN WA NO.1649/2019 OF THIS HON'BLE COURT EXHIBIT P6 COPY OF JUDGMENT IN WP(C)NOS.21015 AND 20995/2019 OF THIS HON'BLE COURT EXHIBIT P6 A COPY OF JUDGMENT WP(C)NO.22496/2019 OF THIS HON'BLE COURT "