NEDUMON SERVICE CO-OPERATIVE BANK V. UNION OF INDIA

WP(C)/27428/2020

AI Insights

The case involves the Nedumon Service Co-operative Bank, which appealed against an assessment order under the Income Tax Act, contesting the denial of a deduction under Section 80P and the rejection of a belated return. The petitioner sought relief from the High Court to stay the recovery proceedings and expedite the appeal process. The court, referencing similar cases, decided to stay the recovery proceedings and mandated a timely decision on the appeal by the tax appellate authority.

• Counselvise Citation: [2020] 140 COUNSELVISE.COM (IT) 740614 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 09-12-2020
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM
• Assessee Lawyers: K SHAJ
• Keywords: Appeal; Assessment Order; Deduction; Income Tax; Recovery proceedings
• Section: 143(1); 80P; 238

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR WEDNESDAY, THE 09TH DAY OF DECEMBER 2020 / 18TH AGRAHAYANA, 1942 WP(C).No.27428 OF 2020(C) PETITIONER/S: NEDUMON SERVICE CO-OPERATIVE BANK NEDUMON P.O., PATHANAMTHITTA-691556, REPRESENTED BY ITS SECRETARY, K.P.HUSSAIN, AGED 54 YEARS, S/O. FAKEER RAWTHER, RESIDING AT SHAHANA MANZIL, NEDUMON P.O., EZHAMKULAM-691 556. BY ADV. SRI.K.SHAJ RESPONDENT/S: 1 UNION OF INDIA REPRESENTED BY JOINT SECRETARY, MINISTRY OF FINANCE, DEPARTMENT OF ECONOMIC AFFAIRS, ROOM NO.67 B, NEW DELHI-110001. 2 THE PRINCIPAL COMMISSIONER (APPEALS) OF INCOME TAX OFFICE OF THE COMMISSIONER OF INCOME TAX, THIRUVANANTHAPURAM-695 003. 3 ASSISTANT DIRECTOR OF INCOME TAX CENTRALIZED PROCESSING CENTER, INCOME TAX DEPARTMENT, BENGALURU, KARNATAKA DISTRICT-560 500. 4 INCOME TAX OFFICER INCOME TAX OFFICE, WARD-5, NEAR KARBALA JUNCTION, RAILWAY STATION ROAD, KOLLAM-691 001. OTHER PRESENT: SC:SRI.CHRISTOPHER ABRAHAM THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 09.12.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.27428 OF 2020(C) 2 JUDGMENT Against Ext.P6 assessment order under the Income Tax Act, the petitioner has preferred Ext.P7 appeal before the 2nd respondent. It is the case of the petitioner that the issue involved in the appeal is the permissibility of deduction under Section 80P as also the legality of the rejection of return filed by the petitioner on the ground that it was belated. It is pointed out that in similar matters this Court has directed the appellate authority to consider and pass orders in the appeal and stayed the recovery proceedings, in the meanwhile. 2. I have heard the learned counsel appearing for the petitioner as also the learned Standing Counsel appearing for the respondents. On a consideration of the facts and circumstances of the case and the submissions made across the Bar and taking note of the fact that in similar cases this Court has granted stay of recovery proceedings, pending disposal of the appeal by the appellate authority, I dispose the writ petition by directing the 2nd respondent to consider and pass orders on Ext.P7 appeal preferred by the petitioner within an outer time limit of six months from the date of receipt of a copy of this judgment, after hearing the petitioner. I also make it clear that till such time as orders are passed by the 2nd respondent in the appeal as directed above, and the order communicated to the petitioner, recovery steps for recovery of amounts confirmed against the petitioner by Ext.P6 assessment order shall be kept in abeyance. The petitioner shall produce a copy of this judgment together with a copy of the writ petition before the 2nd respondent for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE sd WP(C).No.27428 OF 2020(C) 3 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 THE TRUE COPY OF THE CERTIFICATE DATED 5.1.2017 ISSUED BY THE JOINT REGISTRAR OF CO-OPERATIVE SOCIETIES (GENERAL), PATHANAMTHITTA. EXHIBIT P2 THE TRUE COPY OF THE DELAY CONDONATION APPLICATION DATED 7.1.2020 FILED BY THE PETITIONER FOR CONDONING THE DELAY IN FILING REVISED RETURN BEFORE THE SECOND RESPONDENT. EXHIBIT P3 THE TRUE COPY OF THE INTIMATION LETTER DATED 16.1.2020 BEARING NUMBER ITBA/COM/F/17/2019-20/1023931510(1) ISSUED BY THE FORUTH RESPONDENT TO THE PETITIONER SOCIETY. EXHIBIT P4 THE TRUE COPY OF THE LETTER DATED 12.3.2020 VIDE NO.ITBA/COM/F/17/2019-20/1026520908(1) ISSUED BY THE SECOND RESPONDENT TO THE PETITIONER. EXHIBIT P5 THE TRUE COPY OF THE COMMUNICATION DATED 25.6.2020 ISSUED BY THE THIRD RESPONDENT TO THE PETITIONER. EXHIBIT P6 THE TRUE COPY OF THE INTIMATION DATED 20.10.2020 BEARING DOCUMENT IDENTIFICATION NO.CPC/1920/V5/2011279822 ISSUED BY THE THIRD RESPONDENT UNDER SECTION 143(1) OF INCOME TAX ACT 1961. EXHIBIT P7 THE TRUE COPY OF THE APPEAL DATED 14.11.2020 FILED UNDER SECTION 238 OF THE INCOME TAX ACT, 1961 BEFORE THE SECOND RESPONDENT. "