THE MANICKAL SERVICE CO-OPERATIVE BANK LTD. NO.1910 V. THE INCOME TAX OFFICER,

WP(C)/32064/2019

AI Insights

The case involves the Manickal Service Co-operative Bank Ltd., which filed a writ petition against the Income Tax Officer and the Commissioner of Income Tax (Appeals) concerning recovery actions taken from the bank's account pending the disposal of an appeal. The petitioner contested the recovery of amounts based on a rectification order under Section 154 of the Income Tax Act, which was under appeal. The High Court of Kerala initially ordered the amounts to be re-credited to the petitioner's account and directed the Appellate Authority to expedite the hearing of the appeal.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 754392 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 16-12-2019
• Assessment Year: misc
• Other Referred Cases: WA NO 1415 OF 2018, WPC NO 13355 OF 2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: CHRISTOPHER ABRAHAM; THOMAS ABRAHAM
• Assessee Lawyers: T R HARIKUMAR; ARJUN RAGHAVAN; ADITHYA RAJEEV
• Keywords: Appeal; Income Tax; Recovery; Rectification Order; Stay Petition
• Section: 154

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR MONDAY, THE 16TH DAY OF DECEMBER 2019/25TH AGRAHAYANA, 1941 W.P(C).No.32064 OF 2019(G) PETITIONER: THE MANICKAL SERVICE CO-OPERATIVE BANK LTD. NO.1910 REPRESENTED BY ITS SECRETARY, PIRAPPANCOE P.O.THIRUVANANTHAPURAM DISTRICT-695 607. BY ADVS.SRI.T.R.HARIKUMAR SRI.ARJUN RAGHAVAN SRI.ADITHYA RAJEEV RESPONDENTS: 1 THE INCOME TAX OFFICER, WARD-2(3), OFFICE OF THE JOINT COMMISSIONER OF INCOME TAX, RANGE-2, 1ST FLOOR, AYAKAR BHAVAN, KOWDIAR, THIRUVANANTHAPURAM DISTRICT-695 003. 2 THE COMMISSIONER OF INCOME TAX (APPEALS) AAYAKAR BHAVAN, KOWDIAR, THIRUVANANTHAPURAM-695 003. 3 THE THIRUVANANTHAPURAM DISTRICT CO-OPERATIVE BANK LTD, REPRESENTED BY ITS GENERAL MANAGER, HEAD OFFICE, EAST FORT, THIRUVANANTHAPURAM-695 023. R1-R2 BY SRI.CHRISTOPHER ABRAHAM, SC R3 BY SRI.THOMAS ABRAHAM SC THIRUVANANTHAPURAM DIST. CO.OP BANK THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 16.12.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C).No.32064/2019 :: 2 :: J U D G M E N T The petitioner had approached this Court aggrieved by the steps taken by the respondent Income Tax authorities to recover amounts from the petitioner's bank account pending disposal of the appeal preferred by the petitioner, before the 2nd respondent. 2. When the matter came up for admission on 27.11.2019, this Court had, taking note of the fact that the recovery had been effected from the petitioner even while an appeal and stay petition had been filed by the petitioner before the Appellate Authority against the order confirming a demand against him, directed the respondents to forthwith re-credit the amounts recovered from the petitioner through its account from the 3rd respondent, into the said account. When the matter came up for orders today, it is submitted by the learned counsel for the petitioner that pursuant to the directions issued on 27.11.2019, the amounts have since been re-credited to the petitioner's bank account. Taking note of the said compliance by the respondents, I close the writ petition, by directing the 2nd respondent Appellate Authority to consider W.P.(C).No.32064/2019 :: 3 :: and pass orders in the 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 till such time as orders are passed by the 2nd respondent, as directed, and the order communicated to the petitioner, recovery steps for recovery of amounts confirmed against the petitioner by the rectification order shall be kept in abeyance. The petitioner shall produce a copy of the writ petition together with a copy of this judgment, before the Appellate Authority, for further action. The writ petition is disposed as above. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE prp/16/12/19 W.P.(C).No.32064/2019 :: 4 :: APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE JUDGMENT DATED 2.8.2018 IN WA NO 1415 OF 2018 EXHIBIT P2 A TRUE COPY OF THE RECTIFICATION ORDER UNDER SECTION 154 OF THE INCOME TAX ACT ISSUED BY THE 1ST RESPONDENT DATED 18.1.2019 EXHIBIT P3 A TRUE COPY OF THE ONLINE APPEAL DATED 29.1.2019 FILED BEFORE THE 2ND RESPONDENT EXHIBIT P4 A TRUE COPY OF THE STAY PETITION DATED 10.2.2019 FILED IN EXT P3 APPEAL EXHIBIT P5 A TRUE COPY OF THE RECTIFICATION ORDER UNDER SECTION 154 OF THE INCOME TAX ACT, ISSUED BY THE 1ST RESPONDENT DATED 9.3.2019 EXHIBIT P6 A TRUE COPY OF THE NOTICE DATED 26.4.2019 ISSUED BY THE 1ST RESPONDENT EXHIBIT P7 A TRUE COPY OF THE ONLINE APPEAL DATED 27.4.2019 FILED BEFORE THE 2ND RESPONDENT, AGAINST EXHIBIT P-5 ORDER EXHIBIT P8 A TRUE COPY OF THE STAY PETITION DATED 1.5.2019 FILED IN EXHIBIT P7 APPEAL EXHIBIT P9 A TRUE COPY OF THE JUDGMENT DATED 10.5.2019 IN WPC NO 13355 OF 2019 EXHIBIT P10 A TRUE COPY OF THE COMMUNICATION DATED 8.11.2019 ISSUED BY THE 2ND RESPONDENT EXHIBIT P11 A TRUE COPY OF THE COMMUNICATION DATED 13.11.2019, ISSUED BY THE 2ND RESPONDENT W.P.(C).No.32064/2019 :: 5 :: EXHIBIT P12 A TRUE COPY OF THE COMMUNICATION ISSUED BY THE 1ST RESPONDENT TO THE 3RD RESPONDENT DATED 15.11.2019 EXHIBIT P13 A TRUE COPY OF THE APPEAL ALONG WITH THE GROUNDS OF APPEAL FILED BEFORE THE 2ND RESPONDENT DATED 16.11.2019 EXHIBIT P14 RESPONDENTS EXHIBITS: A TRUE COPY OF THE STAY PETITION FILED IN EXT P13 APPEAL DATED 21.11.2019. NIL. //TRUE COPY// P.S. TO JUDGE "