THE PIDAVOOR SERVICE CO-OPERATIVE BANK LTD. V. THE INCOME TAX OFFICER, WARD-2, OFFICE OF THE ADDITIONAL COMMISSIONER OF INCOME TAX, KOLLAM

WP(C)/7468/2019

AI Insights

The case involves the Pidavoor Service Co-operative Bank Ltd., which challenged an assessment order by the Income Tax Officer. The bank filed an appeal with the Income Tax Appellate Tribunal, which was delayed by 122 days. The delay was attributed to the illness of the bank's secretary. The Tribunal was not satisfied with the explanation for the delay. The High Court of Kerala, presided over by Justice A. Muhamed Mustaque, found the Tribunal's decision to be well-considered but decided to condone the delay on the grounds of justice, imposing a cost of Rs. 25,000 on the petitioner to balance the scales of justice.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 697585 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 15-03-2019
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: THUSHARA JAMES
• Assessee Lawyers: T R HARIKUMAR; ARJUN RAGHAVAN
• Keywords: Assessment Order; Co-operative Society; Condonation of delay; Income tax appellate tribunal
• Section: 271(1)(c); 156

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE FRIDAY ,THE 15TH DAY OF MARCH 2019 / 24TH PHALGUNA, 1940 WP(C).No. 7468 of 2019 PETITIONER/S: THE PIDAVOOR SERVICE CO-OPERATIVE BANK LTD. NO. 2807, REPRESENTED BY ITS SECRETARY, PIDAVOOR P.O., PATHANAPURAM, KOLLAM DISTRICT 689 695. BY ADVS. SRI.T.R.HARIKUMAR SRI.ARJUN RAGHAVAN RESPONDENT/S: 1 THE INCOME TAX OFFICER, WARD-2, OFFICE OF THE ADDITIONAL COMMISSIONER OF INCOME TAX, KOLLAM RANGE, AYAKAR BHAVAN, NR. KARBALA JUNCTION, KOLLAM 691 001. 2 THE COMMISSIONER OF INCOME TAX APPEALS, 2ND FLOOR AYAKAR BHAVAN, KOWDIAR, THIRUVANANTHAPURAM 695 003. OTHER PRESENT: SMT THUSHARA JAMES-GP THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 15.03.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 7468 of 2019 2 JUDGMENT The petitioner a Co-operative Society, challenging an Assessment Order, filed an appeal before the Income Tax Appellate Tribunal. The appeal was filed with delay of 122 days. The petitioner explained the reasons for the delay with reference to the illness of the Secretary of the Society. The delay application was taken up along with another appeal filed by another society. In that appeal also there was a delay of 122 days. The Tribunal was not satisfied with explanation for the delay. It is true that the delay is only 122 days. The petitioner must demonstrate cogent reasons to condone the delay. I need upset finding on facts. It is well considered order. However if explanation is not satisfactory, the Tribunal has to weigh balance of justice. No prejudice will be caused to respondents if delay is condoned; if not, petitioner will suffer. In such circumstances reasonable costs would balance the scale of justice. Accordingly, delay is ordered to be condoned on payment of cost of Rs.25,000/-. The cost shall be WP(C).No. 7468 of 2019 3 deposited before the 1st respondent within three weeks and produce the receipt before the Tribunal. On condonation of delay, stay application shall be taken up and disposed within three weeks therein. Till such time coercive steps pursuant to impugned order in appeal shall be deferred. This writ petition is disposed of. Sd/- A.MUHAMED MUSTAQUE Dxy JUDGE WP(C).No. 7468 of 2019 4 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE CERTIFICATE DATED 16/8/2016 ISSUED BY THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES GENERAL PUNALUR. EXHIBIT P2 A TRUE COPY OF THE ASSESSMENT ORDER FOR THE YEAR 2014-2015 DATED 29.12.2016. EXHIBIT P3 A TRUE COPY OF THE NOTICE ISSUED UNDER SECTION 156 OF THE INCOME TAX ACT DATED 29/12/2016. EXHIBIT P4 A TRUE COPY OF THE NOTICE ISSUED UNDER SECTION 27IB DATED 29/12/2016. EXHIBIT P5 A TRUE COPY OF THE NOTICE ISSUED UNDER SECTION 271 (1) (C) DATED 29/12/2016. EXHIBIT P6 A TRUE COPY OF THE APPEAL PREFERRED BY THE PETITIONER AGAINST EXHIBIT P2 ASSESSMENT ORDER ALONG WITH COVERING LETTER DATED 9.1.2017. EXHIBIT P7 A TRUE COPY OF THE STAY PETITION DATED 10/1/2017 FILED BY THE PETITIONER ALONG WITH EXT P6 APPEAL. EXHIBIT P8 A TRUE COPY OF THE ORDER DATED 20/2/2018 IN ITA NO. 155/EF/KLM/CIT(A) , TVM /2016-17 PASSED BY THE 2ND RESPONDENT. EXHIBIT P9 A TRUE COPY OF THE CHELLAN OF COURT FEES PAID TOWARDS THE FILING OF ITA NO. 414/2018. EXHIBIT P10 A TRUE COPY OF THE DELAY CON DONATION PETITION IN ITA NO. 41/42018 DATED 18.7.2018, FILED BY THE PETITIONER BEFORE THE TRIBUNAL. WP(C).No. 7468 of 2019 5 EXHIBIT P11 A TRUE COPY OF THE JUDGMENT DATED 21/12/2017 OF THIS HONBLE COURT IN WPC NO. 38566 OF 2017. EXHIBIT P12 A TRUE COPY OF THE ORDER DATED 30/10/2018 IN I.T.A. NO. 414/COCH/2018 OF THE TRIBUNAL. EXHIBIT P13 A TRUE COPY OF THE ORDER DATED 29/8/2018 IN ITA NO. 148/COCH/2018 OF THE TRIBUNAL. EXHIBIT P14 A TRUE COPY OF THE ORDER DATED 16.3.2018 ISSUED BY THE 1ST RESPONDENT. EXHIBIT P15 A TRUE COPY OF THE ORDER DATED 17/12/2018 IN ITA NO. 211/EF/KLM/CIT (A)/TVM/2017-18 ISSUED BY THE 2ND RESPONDENT. "