P.A.JINAS V. COMMISSIONER OF INCOMT TAX (APPEALS)-II

WP(C)/18690/2014

AI Insights

The case involves a writ petition filed by P.A. Jinas against the orders related to a stay application in a statutory appeal concerning the assessment year 2011-12. The petitioner challenged the order directing the payment of Rs.25,00,000 as a condition for the stay of the demand raised by the income tax authorities. The High Court had previously granted a stay and directed the appellate authority to consider the stay application. The appellate authority's decision to require the payment was contested by the petitioner in this writ petition. The court found no reason to interfere with the appellate authority's decision, given the amount required was only about 20% of the total demand.

• Counselvise Citation: [2014] 140 COUNSELVISE.COM (IT) 727022 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 21-07-2014
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: HIGH COURT
• Department Lawyers: P K R MENON; JOSE JOSEPH
• Assessee Lawyers: SAIBY KIDANGOOR; VINOD V
• Keywords: Appeal; Assessment Order; Demand notice; Income Tax; Stay Application
• Section: 143(3); 271(1)(c); 274; 156

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN MONDAY, THE 21ST DAY OF JULY 2014/30TH ASHADHA, 1936 WP(C).No. 18690 of 2014 (I) -------------------------------------- PETITIONER: ------------------- P.A.JINAS, NO:6, GALAXY SQUARE, RAJAJI ROAD JUNCTION, M.G. ROAD, KOCHI - 682 035. BY ADVS.SRI.SAIBY JOSE KIDANGOOR, SRI.VINOD.V. RESPONDENTS: ------------------------ 1. COMMISSIONER OF INCOME TAX (APPEALS)-II, `KERA BHAVAN', OPP: S.R.V. HIGH SCHOOL, KOCHI - 682 011. 2. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE - 1 (2), C.R. BUILDING, I.S. PRESS ROAD, KOCHI - 682 018. BY SRI. P.K.R. MENON, SENIOR COUNSEL FOR GOVT. OF INDIA (TAXES) SRI.JOSE JOSEPH, S.C. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 21-07-2014, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Prv. W.P.(C).NO.18690/2014 - I: APPENDIX PETITIONER'S EXHIBITS: EXT.P.1 : TRUE COPY OF THE ASSESSMENT ORDER UNDER SECTION 143 (3) OF THE I.T. ACT, 1961 DTD. 28/03/14. EXT.P.1 .(a): TRUE COPY OF THE DEMAND NOTICE UNDER SECTION 156 OF I.T. ACT, 1961 DTD. 28/03/14. EXT.P.1 .(b): TRUE COPY OF THE NOTICE UNDER SECTION 274 R/W SECTION 271 (1) (c) OF I.T. ACT, 1961 DTD. 28/03/14. EXT.P.2 : TRUE COPY OF APPEAL DTD. 30/04/2014. EXT.P.3 : TRUE COPY OF PETITIONER'S REPRESENTATION DTD. 30/04/2014. EXT.P.4 : TRUE COPY OF THE AFFIDAVIT WITH STAY PETITION DTD. 15/05/2014. EXT.P.5 : TRUE COPY OF THE AFFIDAVIT WITH PETITION FOR WAIVER OF PRE- DEPOSIT DTD. 15/05/2014. EXT.P.6 : TRUE COPY OF THE NOTICE I.T.A. NO.38/R- I/CIT (A)-II/14-15 DTD. 27/06/2014. EXT.P.7 : TRUE COPY OF THE ORDER ISSUED BY THE 1ST RESPONDENT DTD. 11/07/2014. EXT.P.8 : TRUE COPY OF THE LETTER NO.DCIT/CIR.1(2)/EKM/2014-15 DTD. 18/07/2014 ISSUED BY THE 2ND RESPONDENT. RESPONDENTS' EXHIBITS: NIL. //TRUE COPY// P.S. TO JUDGE. Prv. K.Vinod Chandran, J. -------------------------------------- W.P.(C).No.18690 of 2014-I -------------------------------------- Dated this the 21st day of July, 2014 JUDGMENT The challenge made in the present writ petition is, against the order passed in the stay application in the statutory appeal filed by the petitioner. The appeal was filed for the assessment year 2011-12. The petitioner had also come before this Court to obtain a stay when the application for stay was pending. That was granted, with consequential direction to the appellate authority to consider the stay application. The first appellate authority, on a prima facie consideration, has directed payment of Rs.25,00,000/- [Rupees twenty five lakhs only]. 2. This Court finds that the amount directed to be paid is only around 20% of the total demand made. In such circumstance, this Court is not convinced that the discretionary power exercised by the appellate authority is liable to be interfered with. However, to enable the petitioner to satisfy the condition imposed in the order passed in the stay application, WP(C).18690 of 2014 - 2 - the petitioner shall be granted two instalments, one on 29.08.2014 and the other on 29.09.2014. Till such time, the coercive steps initiated shall be kept in abeyance. On default of any of the above instalments, the Revenue will be entitled to proceed with the recovery proceedings. The writ petition is disposed of as above. Sd/- K.Vinod Chandran, Judge vku. ( true copy ) "