Abdul Lathief Mohammed Arif v. The Principal Commissioner Of Income Tax, Coimbatore

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 19.03.2018 CORAM THE HON'BLE MR. JUSTICE M.DURAISWAMY W.P.No.3886 of 2018 andW.M.P.No.4761 of 2018 Abdul Lathief Mohammed Arif.. Petitioner Vs. 1.The Principal Commissioner of Income Tax, Coimbatore. 2.The Income Tax Officer (Non Corp.Ward 5(2)) Coimbatore.3.The Tax Recovery Officer, Range – 1 & 2 Tirupur and Range – 5 Coimbatore, No.121, Adams Building, 60 Feet Road, Tirupur – 641 602.4.The Executive Officer/Branch Head/Branch Manager, L & T Housing Finance Limited, I Floor, No.2-8, Dr.N.R.N.Layout, P.N.Palayam, Coimbatore – 37... Respondents Petition filed under Article 226 of the Constitution ofIndia to issue Writs of certiorarified mandamus calling forthe proceedings dated 19.01.2018 issued by the 3[rd] respondentand to quash the same with consequential direction to the 1[st]respondent to consider the Revision Petition filed by thepetitioner under Section 264 (3) of the Income Tax Act, 1971providing an opportunity of being heard to the petitioner. For Petitioner : Mr.Haja Nazirudeen, Senior Counsel for Mr.R.Tholgappian For Respondents: Mr.A.P.Srinivas, Senior Standing Counsel (R1 to R3) The petitioner has filed the above Writ Petition to issuewrit of certiorarified mandamus calling for the proceedingshttps://hcservices.ecourts.gov.in/hcservices/dated 19.01.2018 issued by the 3[rd] respondent and to quash the same and to direct the 1[st] respondent to consider the RevisionPetition filed by the petitioner under Section 264 (3) of theIncome Tax Act, 1971 providing an opportunity of being heard. 2.Challenging the order dated 21.02.2017 passed by the 2[nd]respondent holding that the demand is kept in abeyance tillthe disposal of the Appeal by the CIT (A)-3, Coimbatore, witha rider to the petitioner to pay 15% of the disputed amount ofRs.75,83,010/-, amounting to Rs.11,37,450/-, immediately, evenwithout prescribing any time limit, on 20.11.2017, thepetitioner submitted a petition to the 3[rd]respondentrequesting him to defer further course of action till thedisposal of the Revision Petition filed under Section 264 ofthe Income Tax Act, 1971, before the 1[st] respondent. On19.01.2018, the 3[rd]respondent, without taking intoconsideration the Petition dated 20.11.2017 filed by thepetitioner, issued a notice under Section 226(3) of the Act tothe 4[th] respondent directing him not to pay amount to thepetitioner on account of alleged arrears of tax to the tune ofRs.81,13,820/-. 3.The learned senior counsel appearing for the petitionersubmitted that the 3[rd] respondent has failed to countenance thependency of the Appeal on the file of the Commissioner ofIncome Tax (Appeals) 3, Coimbatore, vis-a-vis, the RevisionPetition preferred under Section 264 (3) of the Income Tax Actbefore the 1[st]respondent challenging the order dated21.02.2017 made under Section 220(6) of the IT Act issued bythe 2[nd] respondent. The learned senior counsel appearing forthe petitioner submitted that the order passed by the 2[nd]respondent directing the petitioner to pay 15% of the disputedamount, amounting to Rs.11,37,450/- is very much on the higherside and therefore, the petitioner may be permitted to pay aconsolidated sum of Rs.6,00,000/- in three installments ofRs.2,00,000/- each, payable in every three weeks. 4.Mr.A.P.Srinivas, learned Senior Standing Counselappearing for the respondents 1 to 3 submitted that the orderpassed by the 2[nd] respondent is just and proper. 4.Mr.A.P.Srinivas, learned Senior Standing Counselappearing for the respondents 1 to 3 submitted that the orderpassed by the 2[nd] respondent is just and proper. 5.Having regard to the submissions made by the learnedcounsel on either side, since the learned senior counselappearing for the petitioner has stated that the petitioner isnot in a position to make the payment, it would be appropriateto direct the petitioner to make the payment of Rs.6,00,000/-instead of Rs.11,37,450/-. The petitioner is permitted to makethe payment of Rs.6,00,000/- in three installments as follows:(i)The 1[st] installment of Rs.2,00,000/- (RupeesTwo Lakhs only) shall be paid by the petitioner onor before 28.03.2018; (ii)The 2[nd] installment of Rs.2,00,000/- (RupeesTwo Lakhs only) shall be paid by the petitionerwithin three weeks thereafter; andhttps://hcservices.ecourts.gov.in/hcservices/ (iii)The last and 3[rd]installment ofRs.2,00,000/- (Rupees Two Lakhs only) shall be paidby the petitioner within four weeks from the date ofpayment of the 2[nd] installment. The order passed by the 2[nd] respondent is modified as statedabove. In other aspects, the order of the 2[nd] respondent shallremain unaltered. The Garnishee Notice issued to thepetitioner's employer is kept in abeyance till the disposal ofthe Appeal. 6.With these observations, the Writ Petition is disposedof. No costs. Consequently, the connected miscellaneouspetition is closed. Sd/- Assistant Registrar(Audit) //True Copy// Sub Assistant Registrar va To 1.The Principal Commissioner of Income Tax, Coimbatore. 2.The Income Tax Officer (Non Corp.Ward 5(2)) Coimbatore. 3.The Tax Recovery Officer, Range – 1 & 2 Tirupur and Range – 5 Coimbatore, No.121, Adams Building, 60 Feet Road, Tirupur – 641 602. + 1 cc to M/s.R.Tholgappian, Advocate Sr.20531+ 1 cc to M/s. A.P. Srinivas, Advocate Sr.20615 NRI(CO)EU(26/03/2018) W.P.No.3886 of 2018 andW.M.P.No.4761 of 2018W.M.P.No.4761 of 2018