M/S. MANNARKKAD TALUK CO-OPERATIVE EMPLOYEES CO-OP. SOCIETY LTD. V. THE ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/INCOME TAX OFFICER

WP(C)/30668/2022

AI Insights

The case involves the Mannarkkad Taluk Co-operative Employees Co-op. Society Ltd., which contested an income tax assessment order rejecting their claim for deduction under Section 80P of the Income Tax Act. The assessment order was challenged based on a Supreme Court judgment that the petitioner argued rendered the assessment incorrect. The petitioner had filed an appeal against the assessment order, which included a delay petition and a stay application, both of which were pending before the National Faceless Appeal Centre. The High Court's intervention was sought to expedite the consideration of these applications.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 750553 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 27-09-2022
• 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: HARISANKAR MENON; MEERA MENON; R SREEJITH; K KRISHNA
• Keywords: Assessment Order; Condonation of delay; Deduction; Income Tax; Primary Agricultural Credit Society; Stay Petition
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE GOPINATH P. TUESDAY, THE 27TH DAY OF SEPTEMBER 2022 / 5TH ASWINA, 1944 WP(C) NO. 30668 OF 2022 PETITIONER/S: THE MANNARKKAD TALUK CO-OPERATIVE EMPLOYEES CO-OP. SOCIETY LTD.NO. P 629, MANNARKKAD, PALAKKAD, REPRESENTED BY ITS SECRETARY, P.K. MOHANDAS, , PIN - 678582 BY ADVS. HARISANKAR V. MENON MEERA V.MENON R.SREEJITH K.KRISHNA RESPONDENT/S: 1 THE ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/INCOME TAX OFFICER NATIONAL FACELESS ASSESSMENT CENTRE DELHI , PIN - 110001 2 NATIONAL FACELESS APPEAL CENTRE NATIONAL FACELESS APPEAL CENTRE, DELHI , REPRESENTED BY THE COMMISSIONER OF INCOME TAX (APPEALS). , PIN - 110001 ADV. JOSE JOSEPH (SC) THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 27.09.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 30668 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 was issued against the petitioner on 29.03.2022. 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 2nd 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.P2 along with Ext.P4 application for stay and an application for condonation of delay (Ext.P3) of 137 days, and the same is pending consideration before the 2nd respondent, I deem it fit that this writ petition be disposed of, directing the Appellate Authority to consider the delay petition and the stay WP(C) NO. 30668 OF 2022 3 petition in a time bound manner. 4. Having regard to the facts and circumstances of the case, this writ petition is disposed of, directing the 2nd respondent to consider and pass orders on Ext.P3 application for condonation of delay and also on Ext.P4 application for stay filed in Ext.P2 appeal, after affording to the petitioner an opportunity of hearing, within a period of two months from the date of receipt of a certified copy of this judgment. It is made clear that orders need to be passed on the stay petition on merits, only if the the delay in filing the appeal is condoned. 5. Till the disposal of the delay petition and stay petition, no coercive steps shall be initiated against the petitioner pursuant to Ext.P1 assessment order. The writ petition is disposed of as above. sd/- GOPINATH P. JUDGE ajt WP(C) NO. 30668 OF 2022 4 APPENDIX OF WP(C) 30668/2022 PETITIONER EXHIBITS Exhibit P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2016-17 DTD. 29-03- 2022 Exhibit P2 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DTD. 12-09-2022 Exhibit P3 COPY OF DELAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DTD,. 12-09-2022 Exhibit P4 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DTD. 06-09-2022 "