VADAYAR SERVICE CO-OPERATIVE BANK LTD. NO.266 V. INCOME TAX OFFICER

WP(C)/32586/2019

AI Insights

The case involves Vadayar Service Co-operative Bank Ltd., which filed a writ petition against the Income Tax Officer, the Commissioner of Income Tax (Appeals), and the Income Tax Appellate Tribunal, Kochi. The petitioner challenged the rectified order under the Income Tax Act, which disallowed a deduction claimed under Section 80P. The petitioner had also filed an appeal and a stay petition with the Tribunal, but recovery steps were initiated by the respondents before considering the stay petition. The court's decision was influenced by precedents where similar matters were handled, directing the Tribunal to expedite the appeal process and stay recovery actions pending the appeal's outcome.

• Counselvise Citation: [2019] 140 COUNSELVISE.COM (IT) 754527 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 02-12-2019
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: ANIL NAIR; SREEJITH NAIR; ARYA; GOKULRAJ; SRI HARINI
• Keywords: Income Tax; Recovery Steps; Section 80P; Stay Petition; Dis-allowance of deduction
• Section: 250; 154; 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR MONDAY, THE 02ND DAY OF DECEMBER 2019 / 11TH AGRAHAYANA, 1941 WP(C).No.32586 OF 2019(W) PETITIONER: VADAYAR SERVICE CO-OPERATIVE BANK LTD. NO.266 VADAYAR.P.O, THALAYOLAPARAMBU.P.O, KOTTAYAM-686605, REPRESENTED BY ITS SECRETARY,P.R.SAJI. BY ADVS. SRI.ANIL D. NAIR SRI.SREEJITH R.NAIR SMT. ARYA ANIL SHRI.GOKULRAJ L. SMT.SRI HARINI S.P. RESPONDENTS: 1 INCOME TAX OFFICER WARD-5,KOTTAYAM-686001. 2 THE COMMISSIONER OF INCOME TAX(APPEALS), KOTTAYAM-686001. 3 INCOME TAX APPELLATE TRIBUNAL, KOCHI-682037,REPRESENTED BY ITS REGISTRAR. BY ADV.SRI.JOSE JOSEPH, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 02.12.2019, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.32586 OF 2019(W) 2 JUDGMENT Against Ext.P3 rectified order under the Income Tax Act, the petitioner has preferred Ext.P4 appeal together with Ext.P5 stay petition before the 3rd respondent. Ext.P6 is the demand notice. It is the case of the petitioner that even prior to considering the stay petition, recovery steps are taken by the respondents against the petitioner for recovery of the amounts confirmed by Ext.P3 rectified order. It is stated by the learned counsel for the petitioner that the issue involved in the appeal pertains to dis-allowance of deduction claimed under Section 80P of the Income Tax Act. 2. I have heard the learned counsel appearing for the petitioner and also the learned Standing counsel appearing for the respondents. On a consideration of the facts and circumstances of the case as also the submissions made across the Bar and taking note of the fact that in similar matters, this Court has directed the Appellate Authority to consider and pass orders in the appeal and stayed the recovery of disputed amounts pending disposal of the appeal, this Writ petition is disposed directing the 3rd respondent to consider and pass orders on WP(C).No.32586 OF 2019(W) 3 Ext.P4 appeal within an outer time limit of six months from the date of receipt of a copy of this judgment, after hearing the petitioner. Recovery steps pursuant to Ext.P6 demand notice for recovery of amounts confirmed against the petitioner shall be kept in abeyance till such time as orders are passed by the 3rd respondent as directed above and communicated to the petitioner. The petitioner shall produce a copy of the writ petition along with a copy of this judgment, before the 3rd respondent, for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE mns WP(C).No.32586 OF 2019(W) 4 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF THE ASSESSMENT ORDER ASSESSMENT ORDER FOR THE A.Y 2012-13 DATED 12.03.2015 EXHIBIT P2 TRUE COPY OF THE ORDER DATED 28.02.2018 PASSED BY THE 2ND RESPONDENT EXHIBIT P3 TRUE COPY OF THE ORDER U/S.154 R.W.S 250 OF THE ACT DATED 30.09.2019 EXHIBIT P4 TRUE COPY OF THE STATUTORY APPEAL FILED BEFORE THE 3RD RESPONDENT FOR THE A.Y 2012-13 EXHIBIT P5 TRUE COPY OF THE STAY PETITION FOR THE YEAR 2012-13 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT EXHIBIT P6 TRUE COPY OF THE DEMAND NOTICE DATED FOR A.Y 2012-13 ISSUED BY THE FIRST RESPONDENT. RESPONDENTS EXHIBITS:NIL //TRUE COPY// P.A TO JUDGE "