THE ARTHAT ANJOOR SERVICE CO-OPERATIVE SOCIETY LTD. NO. R.106 V. THE COMMISSIONER OF INCOME TAX (APPEALS)

WP(C)/27356/2022

AI Insights

The case involves the Arthat Anjoor Service Co-operative Society Ltd., a Primary Agricultural Credit Society, which contested an assessment order rejecting its claim for deduction under Section 80P of the Income Tax Act. The assessment order, issued on 23.03.2022, was challenged based on the Supreme Court's judgment in Mavilayi Service Co-operative Bank Ltd. v. Commissioner of Income Tax, which the petitioner argued rendered the assessment incorrect. The appeal against the assessment order was pending before the Commissioner of Income Tax (Appeals) at the time of this writ petition.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 750578 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 24-08-2022
• Assessment Year: misc
• Other Referred Cases: Mavilayi Service Co-operative Bank Ltd. v. Commissioner of Income Tax [2021 (1) KLT 485]
• Laws Referred To: Kerala Co-operative Societies Act, 1969, Section 80P
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: P C SASIDHARAN
• Keywords: Appeal; Assessment Order; Coercive Steps; Deduction; Income Tax; Primary Agricultural Credit Society
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE GOPINATH P. WEDNESDAY, THE 24TH DAY OF AUGUST 2022 / 2ND BHADRA, 1944 WP(C) NO. 27356 OF 2022 PETITIONER/S: THE ARTHAT ANJOOR SERVICE CO-OPERATIVE SOCIETY LTD. NO. R.106 P.O. ARTHAT, THRISSUR - 680 521 REPRESENTED BY ITS SECRETARY., PIN - 680521 BY ADV P.C.SASIDHARAN RESPONDENT/S: 1 THE COMMISSIONER OF INCOME TAX (APPEALS) NATIONAL FACELESS APPEAL CENTRE, ROOM NO.356 C.R. BUILDINGS, IP ESTATE, DELHI- 110 002., PIN - 110002 2 THE PRINCIPAL COMMISSIONER OF INCOME TAX O/O THE PRINCIPAL COMMISSIONER OF INCOME TAX, AYAKAR BHAVAN, MANANCHIRA, KOZHIKODE, KERALA - 673001., PIN - 673001 3 THE INCOME TAX OFFICER WARD I & TPS, INCOME TAX OFFICE, CITY PLAZA, WEST NADA, GURUVAYOOR- 680 101., PIN - 680101 BY ADV JOSE JOSEPH, SC, INCOME TAX DEPARTMENT, KERALA THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.08.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 27356 OF 2022 2 JUDGMENT Petitioner is a Primary Agricultural Credit Society registered under the Kerala Co-operative Societies Act, 1969. Ext.P1 order of assessment for the year 2015-16 was issued against the petitioner on 23.03.2022. In the assessment order, petitioner's claim for deduction under Section 80P was rejected on the ground that there was no evidence to show that petitioner satisfied the ingredients of the Primary Agricultural Credit Society as contemplated under the Kerala Co-operative Societies Act. 2. While assailing the assessment order before the 1st respondent, petitioner has sought to canvass that the judgment of the Supreme Court in Mavilayi Service Co- operative Bank Ltd. v. Commissioner of Income Tax [2021 (1) KLT 485] now governs the field thereby rendering the assessment itself as incorrect. 3. Since the petitioner has already preferred an appeal as Ext.P3 and the same is pending consideration before the 1st respondent, I deem it fit that this writ petition be disposed of directing the Appellate Authority to consider the appeal in a time bound manner. WP(C) NO. 27356 OF 2022 3 4. Accordingly, there will be a direction to the 1st respondent to consider and pass appropriate orders on Ext.P3 as expeditiously as possible. 5. Till the disposal of the appeal, no coercive steps shall be initiated against the petitioner pursuant to Ext.P1 assessment order and Ext.P2 demand notice. The writ petition is disposed of as above. sd/- GOPINATH P. JUDGE ajt WP(C) NO. 27356 OF 2022 4 APPENDIX OF WP(C) 27356/2022 PETITIONER EXHIBITS Exhibit P1 THE TRUE COPY OF THE ASSESSMENT ORDER DATED 23/03/2022 Exhibit P2 THE TRUE COPY OF THE DEMAND NOTICE FOR THE ASSESSMENT YEAR 2008-2009 DATED 23.03.2022 Exhibit P3 THE TRUE COPY OF THE APPEAL DATED 03/08/2022 Exhibit P4 THE TRUE COPY OF THE ACKNOWLEDGMENT OF RECEIPT OF FORM SHOWING THE DATE OF FILING AS 03/08/2022 Exhibit P5 THE TRUE COPY OF THE STAY PETITION DATED 22- 08-2022 Exhibit P6 THE TRUE COPY OF THE JUDGMENT IN W.P(C) NO. 14282/2021 DATED 19/07/2021 OF THIS HONOURABLE COURT Exhibit P7 THE TRUE COPY OF THE JUDGMENT IN W.P(C) NO. 14314/2022 DATED 22-04-2022 "