MLC ESTATES LLP V. ASSISTANT COMMISSIONER OF INCOME TAX

WP/11747/2023

AI Insights

The case involves MLC Estates LLP, which filed a writ petition against various authorities under the Income Tax Act, 1961, seeking refunds and interest for several assessment years. The petitioner contended that despite previous orders from the Income Tax Appellate Tribunal (ITAT) and subsequent rectification orders, the refunds due were not issued, and the interest on these refunds was also not paid. The respondents argued that the petitioner's grievances would be addressed if he submitted the necessary documents. The court, after hearing both parties, decided to dispose of the petition by setting a date for the petitioner to submit documents and directing the respondent to resolve the matter within a specified timeframe.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 766137 (HC-KARNATAKA)
• Appeal Type: Others
• Pronouncement Date: 13-02-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961, LLP Act, 2008
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: E I SANMATHI
• Assessee Lawyers: SHREEHARI
• Keywords: Income Tax Refund; Interest on Refund; ITAT; Mandamus; Rectification Order
• Section: 244A(1A); 116; 58(1); 244A(1)

Judgement Text

" - 1 - NC: 2024:KHC:5996 WP No. 11747 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 13TH DAY OF FEBRUARY, 2024 BEFORE THE HON'BLE MR JUSTICE S.R.KRISHNA KUMAR WRIT PETITION NO. 11747 OF 2023 (T-IT) BETWEEN: MLC ESTATES LLP A LIMITED LIABILITY PARTNERSHIP REGISTERED UNDER SECTION 58(1) OF THE LLP ACT, 2008, FORMERLY MLC ESTATES PVT LTD., NO.1 AND 2 MURPHY ROAD, ULSOOR, BENGALURU-560 008 REPRESENTED BY ITS MANAGING DIRECTOR, SRI S. SHANMUGAM SON OF SRI. SUBRAMANIAM, AGED 82 YEARS …PETITIONER (BY SRI. SHREEHARI, ADVOCATE) AND: 1. ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE 1(2) (1), BENGALURU, THE ASSESSING OFFICER UNDER THE INCOME TAX ACT, 1961 ROOM NO.123, 1ST FLOOR, BMTC BUILDING, 80 FT ROAD, KORAMANGALA BENGALURU- 560 095 2. ADDITIONAL/JOINT COMMISSIONER OF INCOME TAX RANGE-1, BENGALURU AN AUTHORITY UNDER INCOME TAX ACT, 1961, BMTC BUILDING, 80FT ROAD, KORAMANGALA , BENGALURU- 560 095 3. PRINCIPAL COMMISSIONER OF INCOME TAX-1 BENGALURU AN AUTHORITY UNDER SECTION 116 OF Digitally signed by R DEEPA Location: HIGH COURT OF KARNATAKA - 2 - NC: 2024:KHC:5996 WP No. 11747 of 2023 THE INCOME TAX ACT, 1961, BMTC BUILDING, 80FT ROAD, KORAMANGALA , BENGALURU- 560 095 4. PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX KARNATAKA AND GOA REGION AN AUTHORITY UNDER SECTION 116 OF THE INCOME TAX ACT, 1961 CENTRAL REVENUE BUILDING, QUEENS ROAD, BENGALURU- 560 001 5. UNION OF INDIA DEPARTMENT OF REVENUE, MINISTRY OF FINANCE REPRESENTED BY DIRECTOR, ROOM NO.46, NORTH BLOCK, DELHI- 110 001 …RESPONDENTS (BY SRI. E.I. SANMATHI, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT THE R-1 TO FORTHWITH REFUND THE TAX DUE TO THE PETITIONER AS PER ANNX-W FOR THE PERIODS AY 2004-05 AND AY 2010-2011 IN ACCORDANCE WITH LAW AND DIRECTING THE R-1 TO FORTHWITH PAY THE INTEREST STATUTORILY DUE UNDER SECTION 244A(1) AS PER ANNX-W, FOR THE AY 2005-06 , 2006-07 AND 2008-09 IN ACCORDANCE WITH LAW AND DIRECTING THE R-1 TO FORTHWITH PAY THE ADDL. INTEREST STATUTORILY DUE UNDER SECTION 244A(1A) AS PER ANNX-W FOR THE AY 2004-05, 2005-06, 2006-07, 2008-09, 2010-2011 IN ACCORDANCE WITH LAW AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, THE COURT MADE THE FOLLOWING: ORDER 1. In this petition, the petitioner seeks for the following reliefs: i. Issue a Writ of mandamus or any other suitable writ directing the respondent No.1 to forthwith refund the tax due to the petitioner as per annexure-W for the periods A.Y.2004-05 and A.Y.2010-11 in accordance with law. - 3 - NC: 2024:KHC:5996 WP No. 11747 of 2023 ii. Issue a Writ of mandamus or any other suitable writ directing the respondent No.1 to forthwith pay the interest statutorily due under section 244(A) as per Annexure annexure- W for the periods A.Y.2005-06, 2006-07 & 2208-09 in accordance with law. iii. Issue a Writ of mandamus or any other suitable writ directing the respondent No.1 to forthwith pay the addl. interest statutorily due under section 244(A) as per Annexure-w annexure-W for the periods A.Y.2004-05, 2005-06, 2006-07 & 2208-09, 2010-11 in accordance with law. iv. Issue a writ of mandamus or any other suitable writ directing the respondent No.1 to pay such amount as compensation as this Hon'ble Court deems fit having regard to the facts and circumstances of the case. v. Cost of this petition. vi. And pass such other orders as this Hon'ble Court deems fit and proper in the interest of justice and equity. 2. Heard learned counsel for the petitioner and learned counsel for the respondents and perused the material on record. 3. The material on record discloses that pursuant to the order dated 24.06.2016, passed by the Income Tax Appellate Tribunal (hereinafter referred to as 'the ITAT' for brevity) allowing the appeals filed by the petitioner-assessee and dismissing the appeal filed by the respondents, the respondents issued orders giving effect to on 15.05.2018. Subsequently, the respondents issued rectification orders giving effect to on 28.11.2019, which have been produced as Annexures F1 to F6 to the present petition. It is the grievance of the petitioner that since there were mistakes in the aforesaid orders giving effect to at Annexures F1 to F6, he submitted repeated representations between 09.12.2019 and - 4 - NC: 2024:KHC:5996 WP No. 11747 of 2023 13.10.2022, requesting them to grant him the actual refund that he was entitled to and since the respondents have only issued communication dated 15.02.2022, and not taken any steps to grant refund in favour of the petitioner, he is before this Court by way of present petition. 4. Per contra, learned counsel for the respondent-revenue invited my attention to the statement of objections in order to contend that if the petitioner appears before respondent No.1 and submits relevant documents, his grievance would be addressed and representation for refund would be considered in accordance with law, within a reasonable time. 5. In view of the aforesaid facts and circumstances made by both sides, I deem it just and appropriate to dispose of the petition issuing certain directions to the petitioner as well as the respondents. 6. In the result, I pass the following: ORDER i) The petition is hereby disposed of. ii) Petitioner is directed to appear before respondent No.1 on 26.02.2024, without awaiting further notice. iii) Petitioner shall submit all relevant documents, pleadings, etc., in support of his claim to respondent No.1. - 5 - NC: 2024:KHC:5996 WP No. 11747 of 2023 iv) Respondent No.1 is directed to address the grievance of the petitioner and consider and pass appropriate orders on the refund request made by the petitioner, bearing in mind the earlier representations submitted by the petitioner and the order dated 24.06.2016, passed by the ITAT and grant refund that the petitioner is entitled to, together with applicable interest, in accordance with law, within a period of six weeks from 26.02.2024. Subject to the aforesaid directions, the petition stands disposed off. Sd/- JUDGE RD "