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

WP(C)/5915/2020

AI Insights

The case involves the Uzhva Service Co-operative Bank Ltd, which filed a writ petition against the Income Tax Officer and other respondents concerning the recovery of assessed tax amounts. The petitioner contested the notices issued by the Income Tax Officer to freeze their bank accounts for tax recovery, citing a previous Division Bench decision that granted a stay on similar recovery proceedings during the pendency of an appeal. The court acknowledged the similarity of the facts to a previously decided case and directed the lower authorities to expedite the appeal process while staying the recovery actions.

• Counselvise Citation: [2020] 140 COUNSELVISE.COM (IT) 753946 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 27-02-2020
• Assessment Year: misc
• Other Referred Cases: The Mavilayi Service Co-operative Bank Ltd v. The Commissioner of Income Tax, Calicut [2019 (2) KHC 287]
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: P C SASIDHARAN; JOSE JOSEPH
• Assessee Lawyers: C A JOJO; SWATHY S
• Keywords: Income Tax; Recovery proceedings; Statutory Appeals; Stay of recovery
• Section: 226(3)

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI THURSDAY, THE 27TH DAY OF FEBRUARY 2020 / 8TH PHALGUNA, 1941 WP(C).No.5915 OF 2020(L) PETITIONER/S: UZHUVA SERVICE CO-OPERATIVE BANK LTD, NO.A.305, PATTANAKKAD.P.O, CHERTHALA, ALAPPUZHA-688531, REPRESENTED BY ITS SECRETARY BY ADVS. SRI.C.A.JOJO SMT.SWATHY S. RESPONDENT/S: 1 INCOME TAX OFFICER WARD-4, ALAPPUZHA, ALAPPUZHA-688011 2 COMMISSIONE OF INCOME TAX(APPEALS) OFFICE OF THE COMMISSIONER OF INCOME TAX, KOCHI-686002 3 ASSISTANT REGISTRAR OF INCOME TAX APPELLATE TRIBUNAL COCHIN, BENCH, KAKKANAD-682037 4 THE BRANCH MANAGER ALAPPUZHA DCB [DISTRICT CO-OPERATIVE BANK] MAIN, OPP.MUNICIPAL TOWN HALL, ALAPPUZHA, KERALA-688011 OTHER PRESENT: SC JOSE JOSEPH., P.C. SASIDHARAN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 27.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) No. 5915/2020 -2- J U D G M E N T Dated this the 27th day of February 2020 Heard Advocate C.A. Jojo for petitioner, Advocate P.C.Sasidharan for R4 and Advocate Jose Joseph, Standing Counsel for R1 and R2. 2. Petitioner refers to and relies on judgment dated 01.07.2019 in W.A No.1536 of 2019 and connected cases to contend that the Division Bench directed disposal of appeal and granted stay of recovery proceedings during the pendency of the appeal. The petitioner submits that the 1st respondent has issued Exts.P8 and P9 notices to the Bank dated 26.02.2020 to freeze the account to recover the entire tax amount. 3. The learned Standing Counsel admits that the facts of the case are substantially same and similar to the facts noted by the Division Bench in W.A. No.1536 of 2019, hence can be W.P.(C) No. 5915/2020 -3- followed. Hence, the writ petition is disposed of directing the 2nd and 3rd respondents to consider and dispose of the statutory appeals [Exts.P3 and P6 respectively] filed by the petitioner herein at the earliest taking note of the Full Bench decision reported in The Mavilayi Service Co-operative Bank Ltd, v. The Commissioner of Income Tax, Calicut [2019 (2) KHC 287] and to keep in abeyance recovery proceedings and collection of tax assessed, pending disposal of such appeal. In the meantime Exts.P8 and P9 are stayed till the appeals are disposed of as directed by this judgment. Sd/- S.V.BHATTI JUDGE jjj W.P.(C) No. 5915/2020 -4- APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 A TRUE COPY OF THE ASSESSMENT ORDER AY 2010-11 DATED 21.01.2013 ISSUED BY THE FIRST RESPONDENT EXHIBIT P2 A TRUE COPY OF THE APPELLATE ORDER DATED 30.01.2014 ISSUED BY THE SECOND RESPONDENT EXHIBIT P3 A TRUE COPY OF THE APPEAL FOR AY 2010- 11 BEFORE THE 3RD RESPONDENT DATED 14.04.2014 EXHIBIT P4 A TRUE COPY OF THE ASSESSMENT ORDER AY 2017-18 DATED 26.12.2019 ISSUED BY THE FIRST RESPONDENT EXHIBIT P5 A TRUE COPY OF THE DEMAND NOTICE U/S 156 DATED 26.12.2019 ISSUED BY THE FIRST RESPONDENT EXHIBIT P6 A TRUE COPY OF THE APPEAL FOR AY 2017-18 BEFORE THE 2ND RESPONDENT DATED 20.01.2019 EXHIBIT P7 A TRUE COPY OF THE NOTICE ISSUED BY THE 1ST RESPONDENT DATED 04.02.2020 FOR 20% OF TAX FOR AY 2017-18 EXHIBIT P8 A TRUE COPY OF NOTICE NOTICE U/S 226(3) FOR AY 2017-18 DATED 26.02.2020 EXHIBIT P9 A TRUE COPY OF NOTICE NOTICE U/S 226(3) FOR AY 2010-11 DATED 26.02.2020 "