Mr. B.R. Ajit, Managing Director and Good Homes Pvt. Ltd. and Elton Technologies Pvt. Ltd. and Capvest Wealth Management Services Pvt. Ltd. and Beaver Estates Pvt. Ltd. V. Union of India and Central Board of Direct Taxes and The Commissioner of Income Tax (IT), South Zone and The Principal Chief Commissioner of Income Tax and Commissioner of Income Tax (Appeals)-I

WA/552/2021

AI Insights

The case involves an appeal against an interim order that refused to grant relief concerning the Direct Taxes Vivad Se Viswas Act, 2020. The appellants, including Mr. B.R. Ajit and several companies he represents, challenged the vires of Section 9(a)(ii) of the Act, claiming it violated Articles 14, 19, and 21 of the Constitution of India. They sought an interim order to allow their application under the Act without complying with the contested conditions. The High Court of Kerala dismissed the appeal, affirming the lower court's decision and maintaining the statutory requirements of the Act until a final decision on its constitutionality is made.

• Counselvise Citation: [2021] 140 COUNSELVISE.COM (IT) 702498 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 25-03-2021
• Assessment Year: misc
• Laws Referred To: Direct Taxes Vivad Se Viswas Act, 2020, Constitution of India
• Result in Favour of: Revenue
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM
• Assessee Lawyers: BABU KARUKAPADATH; M A BABU; P U KUMAR; ARYA RAGHUNATH; VAISAKHI V; T M MUSTHAQ; MOHAMED P
• Keywords: Article 14; Article 19; Article 21; Direct Taxes Vivad se Viswas Act; Interim relief; Vires
• Section: 9(a)(ii)

Judgement Text

"WA.No.552 OF 2021 -1- IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI & THE HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS THURSDAY, THE 25TH DAY OF MARCH 2021 / 4TH CHAITHRA, 1943 WA.No.552 OF 2021 AGAINST THE INTERIM ORDER DTD 25-02-2021 IN WP(C) 4964/2021(U) OF HIGH COURT OF KERALA APPELLANTS/APPELLANTS: 1 MR.B.R.AJIT S/O.KESHAVAN B.UNNITHAN, AJIT ASSOCIATES, PUTHURAN PLAZA, KPCC JUNCTION, KOCHI-682011. 2 M/S.GOOD HOMES PVT.LTD., PUTHURAN PLAZA, K.P.C.C.JUNCTION, ERNAKULAM, KOCHI-682011, REPRESENTED BY ITS MANAGING DIRECTOR MR.B.R.AJIT. 3 M/S.ELTON TECHNOLOGIES PVT.LTD., PUTHURAN PLAZA, KPCC JUNCTION, KOCHI-682011, REPRESENTED BY ITS MANAGING DIRECTOR MR.B.R.AJIT. 4 M/S.CAPVEST WEALTH MANAGEMENT SERVICES PVT.LTD., PUTHURAN PLAZA, K.P.C.C.JUNCTION, ERNAKULAM, KOCHI-682011, REPRESENTED BY ITS MANAGING DIRECTOR MR.B.R.AJIT. 5 M/S.BEAVER ESTATES PVT. LTD., PUTHURAN PLAZA, K.P.C.C.JUNCTION, ERNAKULAM, KOCHI-682011, REPRESENTED BY ITS MANAGING DIRECTOR MR.B.R.AJIT. BY ADVS. SRI.BABU KARUKAPADATH SMT.M.A.VAHEEDA BABU SHRI.P.U.VINOD KUMAR SMT.ARYA RAGHUNATH SMT.VAISAKHI V. SRI.T.M.MUHAMMED MUSTHAQ WA.No.552 OF 2021 -2- SHRI.MOHAMED HISHAM P RESPONDENTS/RESPONDENTS: 1 UNION OF INDIA REPRESENTED BY ITS CABINET SECRETARY, PARLIAMENT HOUSE, NEW DELHI-110001. 2 CENTRAL BOARD OF DIRECT TAXES, NORTH BLOCK, CENTRAL SECRETARIAT, NEW DELHI-110001, REPRESENTED BY ITS CHAIRMAN. 3 THE COMMISSIONER OF INCOME TAX (IT), CCIT (IT), SOUTH ZONE, NUNGAMBAKKAM, CHENNAI- 600034. 4 THE PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX, CENTRAL REVENUE TOWER, I.S.PRESS ROAD, ERNAKULAM, KOCHI-682018. 5 COMMISSIONER OF INCOME TAX( APPEALS)-I PANAMBILLY NAGAR, ERNAKULAM, KOCHI-682 036 SC CHRISTOPHER ABRAHAM THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 25.03.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No.552 OF 2021 -3- JUDGMENT Dated this the 25th day of March 2021 S.V.Bhatti,J. Writ petitioner is the appellant. The intra court appeal is directed against the interim order dated 25.02.2021 in W.P.(C) No.4964 of 2021 of the learned single judge in refusing to grant the interim relief as prayed for. The appellants in W.P(C) No.4964/2021 challenge the vires of Section 9(a)(ii) of the Direct Taxes Vivad Se Viswas Act, 2020 (for short, 'the Act 2020') as violative of Article 14, 19 and 21 of the Constitution of India. The interim relief sought for by the appellants is to direct the respondents herein to receive the application of appellant under the Act 2020 without insisting on complying with the conditions stipulated under Section 9(a)(ii) of Act, 2020. 2. The order under appeal, in our view, rightly recorded that the interim relief if granted, the same would amount to allowing the writ petition. The appellant wants WA.No.552 OF 2021 -4- consideration of application under the Act 2020 and as on date must confirm to the requirements of the Scheme. While the challenge to the requirement of Section 9(a)(ii) of Act 2020 is pending before the Court, no independent consideration of applications of appellant under the Act 2020 can be made by relaxing the conditions of Section 9(a) (ii) of Act 2020. We are of the view that as long as provisions remain in the statute book, interim relief as sought is unavailable and can't be considered. We find no reason to entertain the writ appeal. Accordingly, the writ appeal fails, dismissed. No order as to costs. Sd/- S.V.BHATTI JUDGE Sd/- BECHU KURIAN THOMAS JUDGE JS "