NAVAIKULAM SERVICE CO-OPERATIVE BANK LIMITED , NO.964, V. THE DEPUTY COMMISSIONER OF INCOME TAX,

WP(C)/33382/2019

AI Insights

The case involves the NavaiKulam Service Co-operative Bank Limited, which challenged the garnishee proceedings initiated by the Income Tax Department against it for the assessment years 2014-15 and 2015-16. The bank had previously filed rectification applications regarding the orders issued by the Income Tax Appellate Tribunal, which were still pending. The High Court's intervention was sought to delay the enforcement of the garnishee notices until the rectification applications were resolved. The court's decision emphasized the need for a timely and reasoned response from the Tribunal to the bank's applications, highlighting the procedural fairness in tax assessment disputes.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 754461 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 06-12-2019
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM; THOMAS ABRAHAM
• Assessee Lawyers: C A JOJO; SWATHY S
• Keywords: Appellate order; Assessment Order; Coercive Steps; Demand notice; Garnishee proceedings; Income Tax; Rectification Application
• Section: 250; 226(3)

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR FRIDAY, THE 06TH DAY OF DECEMBER 2019/15TH AGRAHAYANA, 1941 W.P(C).No.33382 OF 2019 PETITIONER: NAVAIKULAM SERVICE CO-OPERATIVE BANK LIMITED, NO.964, REPRESENTED BY ITS SECRETARY BINDU.S., W/O.ANILKUMAR.N., AGED 47 YEARS, NAVAIKULAM.P.O., THIRUVANANTHAPURAM DISTRICT, KERALA, PIN-695603. BY ADVS.SRI.C.A.JOJO SMT.SWATHY S. RESPONDENTS: 1 THE DEPUTY COMMISSIONER OF INCOME TAX, INCOME TAX OFFICER, CIRCLE-2(1), KOWDIAR, TRIVANDRUM-695003. 2 THE ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-2(1), KOWDIAR, TRIVANDRUM-695003. 3 COMMISSIONER OF INCOME TAX (APPEALS)-I, OFFICE OF THE COMMISSIONER OF INCOME TAX (APPEALS), TRIVANDRUM-695003. 4 THE ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, COCHIN BENCH, KAKKANAD, COCHIN-682037. 5 BRANCH MANAGER, ICICI BANK, KALLAMBALAM BRANCH, THIRUVANANTHAPURAM-695605. 6 THE BRANCH MANAGER, THIRUVANANTHAPURAM DISTRICT CO-OPERATIVE BANK, KALLAMBALAM BRANCH, THIRUVANANTHAPURAM-695605. BY SRI.CHRISTOPHER ABRAHAM, SC FOR INCOME TAX BY SRI.THOMAS ABRAHAM, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06.12.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W .P .(C).No.33382/2019 :: 2 :: J U D G M E N T Against Ext.P11 common order of the 4th respondent Tribunal, for the assessment years 2014-15 and 2015-16, under the Income Tax Act, the petitioner has preferred Exts.P18 and P19 rectification applications before the 4th respondent Tribunal. It is stated that in the meanwhile, Exts.P14 and P15 garnishee proceedings have been initiated by the 1st respondent. 2. I have heard the learned counsel for the petitioner, the learned Standing counsel for the Income Tax Department as also the learned Standing counsel for the 6th respondent bank. On a consideration of the facts and circumstances of the case as also the submissions made across the bar, I dispose the writ petition with a direction to the 4th respondent Tribunal to consider and pass reasoned orders on Exts.P18 and P19 rectification applications within a period of one month from the date of receipt of a copy of this judgment, after hearing the petitioner. Coercive steps, pursuant to Exts.P14 and P15 notices, shall be kept in abeyance till such time as orders are passed by the 4th respondent, as directed, and communicated to the petitioner. It is made W .P .(C).No.33382/2019 :: 3 :: clear that during the time when the stay granted by this Court is in operation, the petitioner will be free to operate the bank accounts covered by Exts.P14 and P15 notices. The petitioner shall produce a copy of the writ petition together with a copy of this judgment, before the 4th respondent, for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE prp/6/12/19 W .P .(C).No.33382/2019 :: 4 :: APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE ASSESSMENT ORDER DATED 29.12.2016 AY 2014-15 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P2 A TRUE COPY OF THE DEMAND NOTICE DATED 29.12.2016 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P3 A TRUE COPY OF THE ASSESSMENT ORDER DATED 29.12.2017 AY 2015-16 ISSUED BY THE 2ND RESPONDENT. EXHIBIT P4 A TRUE COPY OF THE DEMAND NOTICE DATED 29.12.2017 ISSUED BY THE 2ND RESPONDENT. EXHIBIT P5 A TRUE COPY OF THE APPELLATE ORDER DATED 18.12.2018 FOR AY 2014-15 ISSUED BY THE 3RD RESPONDENT. EXHIBIT P6 A TRUE COPY OF THE APPELLATE ORDER DATED 18.12.2018 AY 2015-16 ISSUED BY THE 3RD RESPONDENT. EXHIBIT P7 A TRUE COPY OF ORDER GIVING EFFECT TO ORDER U/S 250 ISSUED BY THE 1ST RESPONDENT FOR AY 2014-15 DATED 22.1.2019. EXHIBIT P8 A TRUE COPY OF ORDER GIVING EFFECT TO ORDER U/S 250 ISSUED BY THE 1ST RESPONDENT FOR AY 2015-16 DATED 21.1.2019. EXHIBIT P9 A TRUE COPY OF THE APPEAL FOR AY 2014-15 DATED 20.2.2019 BEFORE THE 4TH RESPONDENT. EXHIBIT P10 A TRUE COPY OF THE APPEAL FOR AY 2015-16 DATED 20.2.2019 BEFORE THE 4TH RESPONDENT. EXHIBIT P11 A TRUE COPY OF THE COMMON ORDER OF THE 4TH RESPONDENT FOR BOTH AYS DATED 24.6.2019. W .P .(C).No.33382/2019 :: 5 :: EXHIBIT P12 A TRUE COPY OF THE ORDER OF THE 1ST RESPONDENT DATED 25.10.2019 FOR AY 2014-15. EXHIBIT P13 A TRUE COPY OF THE ORDER OF THE 1ST RESPONDENT DATED 25.10.2019 FOR AY 2015-16. EXHIBIT P14 A TRUE COPY OF THE NOTICE U/S.226(3) OF THE INCOME TAX ACT ISSUED TO THE THE 5TH RESPONDENT BY THE 1ST RESPONDENT DATED 4.12.2019. EXHIBIT P15 A TRUE COPY OF THE NOTICE U/S.226(3) OF THE INCOME TAX ACT ISSUED TO THE 6TH RESPONDENT BY THE 1ST RESPONDENT DATED 4.12.2019. EXHIBIT P16 A TRUE COPY OF THE RECTIFICATION PETITION FILED BEFORE THE 1ST RESPONDENT DATED 5.12.2019 FOR AY 2014-15. EXHIBIT P17 A TRUE COPY OF THE RECTIFICATION PETITION FILED BEFORE THE 1ST RESPONDENT DATED 5.12.2019 FOR AY 2015-16. EXHIBIT P18 A TRUE COPY OF THE RECTIFICATION PETITION FILED BEFORE THE 4TH RESPONDENT FOR AY 2014-15 DATED 5.12.2019. EXHIBIT P19 A TRUE COPY OF THE RECTIFICATION PETITION FILED BEFORE THE 4TH RESPONDENT FOR AY 2015-16 DATED 5.12.2019. RESPONDENTS EXHIBITS: NIL. //TRUE COPY// P.S. TO JUDGE "