The SB College Staff Co-operative Society Limited V. The Commissioner of Income Tax (Appeals), The National Faceless Appeal Centre, Income Tax Department, New Delhi and The Additional/Joint/Deputy/Asst. Commissioner of Income Tax, Income Tax Officer, National E-Assessment Centre, New Delhi

WA/2004/2023

AI Insights

The case involves the SB College Staff Co-operative Society Limited, which appealed against a judgment that did not grant a stay on recovery proceedings initiated by the Income Tax Department. The appellant had previously challenged an assessment order (Ext.P1) and filed an appeal (Ext.P3) and a stay petition (Ext.P4) for the assessment year 2018-2019 under the Income Tax Act. The primary concern was the initiation of recovery steps before the stay petition could be considered. The Single Judge had directed the respondents to consider the stay petition but did not stay the recovery proceedings. The appellant sought relief from the Division Bench to stay the recovery proceedings pending the decision on the stay petition.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 817153 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 21-11-2023
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: O D SIVADAS
• Keywords: Assessment Order; Recovery proceedings; Stay Petition; Writ Appeal
• Section: 32164

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE DR. JUSTICE A.K.JAYASANKARAN NAMBIAR & THE HONOURABLE DR. JUSTICE KAUSER EDAPPAGATH TUESDAY, THE 21ST DAY OF NOVEMBER 2023 / 30TH KARTHIKA, 1945 WA NO. 2004 OF 2023 AGAINST THE JUDGMENT DATED 19.10.2023 IN WP(C) 32164/2023 OF HIGH COURT OF KERALA APPELLANT/PETITIONER: THE SB COLLEGE STAFF CO-OPERATIVE SOCIETY LIMITED, NO. K 356,CHENGANACHERRY, KOTTAYAM DISTRICT- 686101.REPRESENTED BY ITS SECRETARY., PIN - 686101 BY ADV O.D.SIVADAS RESPONDENTS/RESPONDENTS: 1 THE COMMISSIONER OF INCOME TAX (APPEALS) , THE NATIONAL FACELESS APPEAL CENTRE, INCOME TAX DEPARTMENT, NEW DELHI, PIN - 110001 2 THE ADDITIONAL/JOINT/DEPUTY/ASST. COMMISSIONER OF INCOME TAX,INCOME TAX OFFICER, NATIONAL E- ASSESSMENT CENTRE, NEW DELHI, PIN - 110001 SC- SRI. JOSE JOSEPH THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 21.11.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.A.No. 2004 of 2023 -:2:- J U D G M E N T Dr. A.K.Jayasankaran Nambiar, J. The petitioner in WP(C).No. 32164 of 2023 is the appellant herein aggrieved by the judgment dated 19.10.2023 in the Writ Petition. The brief facts necessary for disposal of this Writ Appeal are as follows: 2. The appellant had impugned Ext.P1 assessment order before this Court in the Writ Petition when confronted with recovery steps for recovery of the amounts confirmed against it by the assessment order. It was the case of the appellant that against Ext.P1 assessment order it has preferred Ext.P3 appeal and Ext.P4 stay petition for the assessment year 2018-2019 under the Income Tax Act. The apprehension of the appellant was that even before consideration of the stay petition there would be recovery steps initiated by the respondents for recovery of the amounts confirmed against the appellant by Ext.P1assessment order. 3. The learned Single Judge who considered the matter directed the respondents to consider and pass orders on the stay petition if it was not possible to finally hear the appeal expeditiously. The learned Single Judge, however, did not grant a stay of recovery proceedings pending disposal of the stay petition by the respondents. It is for this limited relief that the appellant is before us through the present appeal. W.A.No. 2004 of 2023 -:3:- 4. We have heard Sri. O.D. Sivadas, the learned counsel for the appellant and Sri.Jose Joseph, the learned Standing counsel for the Income Tax Department. 5. In our view, since the learned Single Judge had relegated the appellant to the alternative remedy before the statutory authority it was incumbent upon the learned Judge to protect the appellant from recovery proceedings pending disposal of the petition by the respondent appellate authority. Accordingly, we modify the impugned judgment of the learned Single Judge to the limited extent of clarifying that pending disposal of the stay petition or appeal whichever is earlier by the appellate authority, the recovery proceedings against the appellant for recovery of the amounts confirmed against it by Ext.P1assessment order shall be kept in abeyance. Save for this limited modification, the rest of the directions in the impugned judgment are not interfered with. Sd/- DR. A.K.JAYASANKARAN NAMBIAR JUDGE sd/- DR. KAUSER EDAPPAGATH JUDGE kp "