THE POLPULLY SERVICE CO-OPERATIVE BANK LIMITED V. THE COMMISSIONER OF INCOME TAX(APPEALS)

WP(C)/21093/2022

AI Insights

The case involves The Polpulley Service Co-operative Bank Limited, which is contesting an assessment order that denied its claim for deduction under Section 80P of the Income Tax Act. The assessment order, issued on 31.03.2021, was challenged by the petitioner on the grounds that it did not meet the criteria of a Primary Agricultural Credit Society as required under the Kerala Co-operative Societies Act. The petitioner referenced a Supreme Court judgment in Mavilayi Service Co-operative Bank Ltd. v. Commissioner of Income Tax, which they argued supported their case. The appeal against the assessment order is currently pending before the Commissioner of Income Tax (Appeals).

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 751286 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 29-06-2022
• 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, Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: O D SIVADAS
• Keywords: Appeal; Assessment Order; Income tax deduction; Primary Agricultural Credit Society
• Section: 80P; 156

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE GOPINATH P. WEDNESDAY, THE 29TH DAY OF JUNE 2022 / 8TH ASHADHA, 1944 WP(C) NO. 21093 OF 2022 PETITIONER: THE POLPULLY SERVICE CO-OPERATIVE BANK LIMITED. NO.F 1198, POLPULLY, PALAKKAD DISTRICT, PIN - 678 552, REPRESENTED BY ITS SECRETARY. BY ADV O.D.SIVADAS RESPONDENTS: 1 THE COMMISSIONER OF INCOME TAX(APPEALS), AYAKAR BHAVAN, SHAKTAN NAGAR, THRISSUR, PIN - 680 001. 2 THE NATIONAL FACELESS APPEAL CENTRE, NEW DELHI - 110 001, REPRESENTED BY THE PRINCIPAL CHIEF COMMISSIONER. 3 THE ADDITIONAL/JOINT/DEPUTY/ASST. COMMISSIONER OF INCOME TAX/INCOME TAX OFFICER NATIONAL E-ASSESSMENT CENTRE, NEW DELHI - 100 001. 4 THE INCOME TAX OFFICER WARD 2, AAYKAR BHAVAN, ENGLISH CHURCH ROAD, PALAKKAD, PIN - 678 014. BY SRI JOSE JOSEPH, SC IT DEPT. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 29.06.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 21093 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 31.03.2021. 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 competent Appellate Authority to consider the appeal in a time bound manner. WP(C) NO. 21093 OF 2022 3 4. Accordingly, there will be a direction to the 1st respondent / competent Appellate Authority 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. The writ petition is disposed of as above. Sd/- GOPINATH P. JUDGE DK WP(C) NO. 21093 OF 2022 4 APPENDIX OF WP(C) 21093/2022 PETITIONER EXHIBITS Exhibit P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 31/03/2021 ISSUED BY THE 3RD RESPONDENT FOR THE ASSESSMENT YEAR 2018-19. Exhibit P2 TRUE COPY OF THE NOTICE DATED 31/03/2021 ISSUED BY THE 2ND RESPONDENT OF UNDER SECTION 156 OF THE INCOME TAX ACT FOR ASSESSMENT YEAR 2018-19. Exhibit P3 TRUE COPY OF THE APPEAL DATED 08/04/2021 FILED BY THE PETITIONER BEFORE THE 1ST RESPONDENT FOR THE ASSESSMENT YEAR 2018-19. Exhibit P4 TRUE COPY OF THE PROCEEDING DATED 9/6/2022 ISSUED BY THE 4TH RESPONDENT IN RELATION TO THE ASSESSMENT YEAR 2018-19. Exhibit P5 TRUE COPY OF THE JUDGEMNT DATED 6/09/2021 IN WP(C) NO.18004 OF 2021 RENDERED BY THIS HON'BLE COURT. "