PULLUKULANGARA SERVICE CO-OPERATIVE BANK LTD V. THE COMMISSIONER OF INCOME TAX (APPEALS)

WP(C)/8966/2020

AI Insights

The case involves Pullukulangara Service Co-operative Bank Ltd, which challenged an assessment order under the Income Tax Act concerning the deductibility under Section 80P applicable to Co-operative Societies. The bank had filed an appeal against the assessment order, which was still pending. The High Court intervened to ensure a timely decision on the appeal and to halt any recovery actions based on the disputed assessment until the appeal was resolved.

• Counselvise Citation: [2020] 140 COUNSELVISE.COM (IT) 758208 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 30-07-2020
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: THUSHARA JAMES; JOSE JOSEPH
• Assessee Lawyers: V NARASIMHAM
• Keywords: Appeal; Assessment Order; Co-operative societies; Deduction; Income Tax; Recovery proceedings
• Section: 144; 80P; 246

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR THURSDAY, THE 30TH DAY OF JULY 2020 / 8TH SRAVANA, 1942 WP(C).No.8966 OF 2020(U) PETITIONER: PULLUKULANGARA SERVICE CO-OPERATIVE BANK LTD NO.2992,KAYAMKULAM P.O., ALAPPUZHA-690 502, REPRESENTED BY ITS SECRETARY,M.Y SAMEENA BY ADV. SRI.V.DEVANANDA NARASIMHAM RESPONDENTS: 1 THE COMMISSIONER OF INCOME TAX (APPEALS) PUBLIC LIBRARY BUILDING, SHASTRI ROAD, KOTTAYAM-686 001 2 THE INCOME TAX OFFICER, WARD -3,A.N.PURM, ALAPPUZHA-688 011 BY GOVT.PLEADER DR.THUSHARA JAMES, BY ADV.SRI.JOSE JOSEPH,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30.07.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.8966 OF 2020(U) 2 JUDGMENT Against Ext.P2 assessment order under the Income Tax Act (hereinafter referred to as 'the Act'), the petitioner has preferred Ext.P3 appeal before the 1st respondent. Ext.P4 is the demand notice. It is pointed out by the counsel for the petitioner that the issue involved in the appeal is the permissibility of a deduction under Section 80P of the Act as applicable to Co-operative Societies. 2. I have heard the learned counsel appearing for the petitioner and also the learned Standing counsel appearing for the Income Tax Department. On a consideration of the facts and circumstances of the case as also the submissions made across the Bar, and taking note of the decisions of this Court whereby this Court has, in identical matters, directed the appellate authority to consider and pass orders in the appeal, and stayed the recovery proceedings pending disposal of the appeal by the appellate authority, I dispose this Writ Petition by directing the 1st respondent to consider and pass orders on Ext.P3 appeal within an outer time limit of six months from the date of receipt of a copy of this judgment, after hearing the petitioner. It is made clear that recovery WP(C).No.8966 OF 2020(U) 3 steps for recovery of amounts confirmed against the petitioner by Ext.P2 assessment order, including further proceedings pursuant to Ext.P4 demand notice, shall be kept in abeyance till such time as orders are passed by the 1st respondent as directed, and the order communicated to the petitioner,. The petitioner shall produce a copy of the writ petition together with a copy of this judgment, before the 1st respondent, for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE mns WP(C).No.8966 OF 2020(U) 4 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF THE ACKNOWLEDGMENT GENERATED THOUGH INCOME TAX PORTAL ELECTRONICALLY N 29.09.19 F INCOME TAX RETURN FILED FOR THE AY 2017-18 BY THE PETITIONER EXHIBIT P2 TRUE COPY OF THE ASSESSMENT ORDER PASSED BY THE 2ND RESPONDENT ON 21.12.2O19 FOR THE AY 2017-18 U/S. 144 OF THE INCOME TAX ACT FIXING TAXABLE INCOME OF RS 11,71,02,643/- EXHIBIT P3 TRUE COPY OF ONLINE APPEAL FOR THE AY 2017-18 FILED U/S. 246 OF THE INCOME TAX ACT ON 20.01.2020 AGAINST EXT P2 ASSESSMENT ORDER FOR THE AY 2017-18 BEFORE THE 1ST RESPONDENT EXHIBIT P4 TRUE COPY OF THE DEMAND NOTICE DATED 21.12.19 ISSUED BY 2ND RESPONDENT DEMANDING ASSESSED INCOME TAX FOR THE AY 2017-18 TO THE PETITIONER RESPONDENTS EXHIBITS:NIL //TRUE COPY// P.A TO JUDGE "