THE MANKARA SERVICE CO-OPERATIVE BANK LTD., V. THE INCOME TAX OFFICER

WP(C)/9179/2020

AI Insights

The case involves The Mankara Service Co-operative Bank Ltd., which filed writ petitions against the recovery actions initiated by the Income Tax Department for various assessment years. The primary legal issue revolves around the applicability of Section 80P of the Income Tax Act, 1961, which was under dispute and pending adjudication in appeals before the Income Tax Appellate Tribunal. The bank sought a stay on the recovery actions during the pendency of these appeals. The court, considering the precedents and the ongoing legal interpretations, granted a stay on the recovery actions until the appeals are resolved.

• Counselvise Citation: [2020] 140 COUNSELVISE.COM (IT) 753405 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 23-03-2020
• Assessment Year: misc
• Other Referred Cases: Mavilayil Service Co-operative Bank Limited v. Commissioner of Income Tax, Calicut [2019 (2) KHC 287 (FB)]
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: HARISANKAR MENON; MEERA MENON
• Keywords: Appeal; Assessment Year; Income Tax; Recovery; Stay of recovery
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN MONDAY, THE 23RD DAY OF MARCH 2020 / 3RD CHAITHRA, 1942 WP(C).No.9163 OF 2020 PETITIONER/S: THE MANKARA SERVICE CO-OPERATIVE BANK LTD., NO.P-363, MANKARA, PALAKKAD - 678 613, REPRESENTED BY ITS SECRETARY-IN-CHARGE, K.K.RADHAKRISHNAN, AGED 46, S/O.LATE P.K.KRISHNANKUTTY. BY ADVS. SRI.HARISANKAR V. MENON SMT.MEERA V.MENON RESPONDENT/S: 1 THE INCOME TAX OFFICER, WARD 1 AND TPS, AYAKAR BHAVAN, PALAKKAD - 678 014. 2 THE COMMISSIONER OF INCOME TAX (APPEALS) THRISSUR - 680 021. 3 THE INCOME TAX APPELLATE TRIBUNAL, AYAKAR BHAVAN, KAKKANADU, KOCHI - 682 030, REPRESENTED BY ITS REGISTRAR. OTHER PRESENT: R1 & R2 BY SRI.JOSE JOSEPH, SC, IT THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23.03.2020, ALONG WITH WP(C).9178/2020, WP(C).9179/2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.9163 of 2020 & - 2 - connected cases IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN MONDAY, THE 23RD DAY OF MARCH 2020 / 3RD CHAITHRA, 1942 WP(C).No.9178 OF 2020 PETITIONER/S: THE MANKARA SERVICE CO-OPERATIVE BANK LTD. NO.P-363, MANKARAI, PALAKKAD - 678 613, REPRESENTED BY ITS SECRETARY IN CHARGE, K. K. RADHAKRISHNAN, AGED 46, S/O. LATE P. K. KRISHNANKUTTY. BY ADVS. SRI.HARISANKAR V. MENON SMT.MEERA V.MENON SMT.K.KRISHNA RESPONDENT/S: 1 THE INCOME TAX OFFICER, WARD 1, AYAKAR BHAVAN, PALAKKAD - 678 014. 2 THE COMMISSIONER OF INCOME TAX (APPEALS) THRISSUR - 680 021. 3 THE INCOME TAX APPELLATE TRIBUNAL AYAKAR BHAVAN, KAKKANADU, KOCHI - 682 030, REPRESENTED BY ITS REGISTRAR. OTHER PRESENT: R1 & R2 BY SRI.JOSE JOSEPH, SC, IT THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23.03.2020, ALONG WITH WP(C).9163/2020, WP(C).9179/2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.9163 of 2020 & - 3 - connected cases IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE K.VINOD CHANDRAN MONDAY, THE 23RD DAY OF MARCH 2020 / 3RD CHAITHRA, 1942 WP(C).No.9179 OF 2020 PETITIONER/S: THE MANKARA SERVICE CO-OPERATIVE BANK LTD., NO.P-363, MANKARAI, PALAKKAD - 678 613, REPRESENTED BY ITS SECRETARY IN CHARGE, K. K. RADHAKRISHNAN, AGED 46, S/O. LATE P. K. KRISHNANKUTTY. BY ADVS. SRI.HARISANKAR V. MENON SMT.MEERA V.MENON RESPONDENT/S: 1 THE INCOME TAX OFFICER WARD 1, AYAKAR BHAVAN, PALAKKAD - 678 014. 2 THE COMMISSIONER OF INCOME TAX (APPEALS) THRISSUR - 680 021. 3 THE INCOME TAX APPELLATE TRIBUNAL AYAKAR BHAVAN, KAKKANADU, KOCHI - 682 030, REPRESENTED BY ITS REGISTRAR. OTHER PRESENT: R1 & R2 BY SRI.JOSE JOSEPH, SC, IT THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 23.03.2020, ALONG WITH WP(C).9163/2020, WP(C).9178/2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.9163 of 2020 & - 4 - connected cases K. Vinod Chandran, J. ------------------------------------- W.P(C) No.9163, 9178 and 9179 of 2020 ------------------------------------- Dated this the 23rd day of March, 2020 JUDGMENT These writ petitions are against the recovery initiated while appeals are pending. The issue is also with respect to the coverage of the petitioner under Section 80P of the Income Tax Act, 1961, which has to be adjudicated on the basis of the Full Bench decision in Mavilayil Service Co - operative Bank Limited v. Commissioner of Income Tax, Calicut [2019 (2) KHC 287 (FB)]. 2. In the present case, the demand is with respect to assessment years 2016-17, 2010-11 and 2015-16. Exhibit P3 second appeal along with Exhibit P4 stay petition in the respective writ petitions are pending before the Tribunal. In the circumstance of the case, I am of the opinion that there shall be a stay of recovery till the appeals are disposed of. The writ petitions are disposed of with the above direction, without any observation on the merits of the matter. Sd/- K.VINOD CHANDRAN JUDGE Vku/- WP(C).No.9163 of 2020 & - 5 - connected cases APPENDIX OF WP(C) 9163/2020 PETITIONER'S/S EXHIBITS: EXHIBIT P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2016-17. EXHIBIT P2 COPY OF APPELLATE ORDER ISSUED BY THE 2ND RESPONDENT FOR THE YEAR 2016-17. EXHIBIT P3 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT 2016-17. EXHIBIT P4 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT. WP(C).No.9163 of 2020 & - 6 - connected cases APPENDIX OF WP(C) 9178/2020 PETITIONER'S/S EXHIBITS: EXHIBIT P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2010-11. EXHIBIT P2 COPY OF APPELLATE ORDER ISSUED BY THE 2ND RESPONDENT FOR THE YEAR 2010-11. EXHIBIT P3 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT 2010-11. EXHIBIT P4 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT. WP(C).No.9163 of 2020 & - 7 - connected cases APPENDIX OF WP(C) 9179/2020 PETITIONER'S/S EXHIBITS: EXHIBIT P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2015-16. EXHIBIT P2 COPY OF APPELLATE ORDER ISSUED BY THE 2ND RESPONDENT FOR THE YEAR 2015-16. EXHIBIT P3 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT 2015-16. EXHIBIT P4 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT. [TRUE COPY] "