M/S.SMART RESIDENCY HOTELS INDIA PRIVATE LTD., V. THE ASSISTANT COMMISSIONER OF INCOME TAX,

WP(C)/5825/2020

AI Insights

The case involves M/s. Smart Residency Hotels India Private Ltd., represented by its director, Shri Arun Raj Pillai, who filed a writ petition against the Assistant Commissioner of Income Tax and the Commissioner of Income Tax (Appeals)-II. The petitioner was aggrieved by the assessment orders issued under the Income Tax Act for the assessment years 2012-13 and 2013-14. The petitioner had filed appeals and stay petitions against these orders, which were not being addressed expeditiously by the appellate authority. The petitioner sought the court's intervention to expedite the consideration of these stay petitions to prevent the assessing officer from recovering the disputed tax amounts, which would render the appeals academic or ineffective.

• Counselvise Citation: [2020] 140 COUNSELVISE.COM (IT) 764580 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 27-02-2020
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: S HANEEFF; M H ASIF ALI
• Keywords: Appeal; Assessment Order; Income Tax; Stay Petition
• Section: 143(3)

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI THURSDAY, THE 27TH DAY OF FEBRUARY 2020 / 8TH PHALGUNA, 1941 WP(C).No.5825 OF 2020(C) PETITIONER: M/S.SMART RESIDENCY HOTELS INDIA PRIVATE LTD., XIII-325A, MARATHAKKARA, BYE PASS ROAD, OLLUR(P.O.), THRISSUR-680306, REPRESENTED BY ITS DIRECTOR, SHRI ARUN RAJ PILLAI. BY ADVS. SRI.S.MUHAMMED HANEEFF SRI.M.H.ASIF ALI RESPONDENTS: 1 THE ASSISTANT COMMISSIONER OF INCOME TAX, CENTER CIRCLE, AAYAKAR BHAVAN, KARBALA JUNCTION, KOLLAM-691001. 2 THE COMMISSIONER OF INCOME TAX (APPEALS)-II, 28/243, 'POORNIMA', PANAMPILLY NAGAR, COCHIN-682036. BY SRI. JOSE JOSEPH,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 27.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.5825 OF 2020(C) 2 JUDGMENT Dated this the 27th day of February 2020 The petitioner filed appeals in Exts.P3 and P4 aggrieved by the orders of assessment in Exts.P1 and P2 made under the Income Tax Act. The petitioner has filed the appeals with Exts.P5 and P6 stay petitions. The petitioner prays for appropriate direction to the appellate authority to consider and dispose of Exts.P5 and P6 expeditiously. 2. The case of petitioner is that either the mere filing of appeal or pendency of appeal does not amount to granting stay by the appellate authority. The delay in considering and disposing of Exts.P5 and P6 stay petitions results in the assessing officer taking steps for recovering the tax amount which is under challenge in Exts.P3 and P4. The assessing officer, if is successful in his effort the statutory appeals would become either academic or ineffective. It is further contended by the petitioner that in the manner the law provides for protecting the interest of appellant pending appeals, the WP(C).No.5825 OF 2020(C) 3 orders on stay petitions are passed expeditiously. Hence the writ petition. 3. Perused Exts.P1 to P6. Prima facie I am satisfied that a case is made out for issuing necessary directions to second respondent to dispose of stay petitions in Exts. P5 and P6. Having regard to the limited prayer and the grounds referred to above, this Court is satisfied that the writ petition can be disposed of by this order: (a) The appellate authority/the second respondent considers and disposes of Exts.P5 and P6 stay petitions as early as possible, preferably within two months from the date of receipt of copy of this judgment. (b) The respondents are directed not to take coercive steps or recover the amount determined in the orders under appeal for ten weeks from today. SD/- S.V.BHATTI JUDGE DCS WP(C).No.5825 OF 2020(C) 4 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 30.12.2019 PASSED BY THE 1ST RESPONDENT FOR AY-S012-13 ALONG WITH DEMAND NOTICE & COMPUTATION OF INCOME. EXHIBIT P2 TRUE COPY OF THE ASSESSMENT ORDER DATED 30.12.2019 PASSED BY THE 1ST RESPONDENT FOR AY-2013-14 ALONG WITH DEMAND NOTICE & COMPUTATION OF INCOME. EXHIBIT P3 TRUE COPY OF THE MEMORANDUM OF APPEAL DATED 21.1.2020 FOR AY-2012 - 13 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT. EXHIBIT P4 TRUE COPY OF THE MEMORANDUM OF APPEAL DATED 21.1.2020 FOR AY-2013-14 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT. EXHIBIT P5 TRUE COPY OF THE STAY PETITION DATED 1.2.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY-2012-13. EXHIBIT P6 TRUE COPY OF THE STAY PETITION DATED 1.2.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY-2013-14. "