Rep. By Its v. The Commissioner Of Income Tax - Appeals (V

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 28.8.2014 THE HONOURABLE MR.JUSTICE V.RAMASUBRAMANIAN Writ Petition No.23343 of 2014 &M.P.No.1 of 2014 M/s. Sooriya Hospital rep. by its Partner Dr.Mrs.Sooriyakala SreekumarNo.1, Arunachalam RoadSaligramam, Chennai 600 093... Petitioner Vs. 1. The Commissioner of Income Tax - Appeals (V) Aayakar Bhavan, 121, MG Road Nungambakkam, Chennai 600 034. 2. The Assistant Commissioner of Income Tax Circle V, Annexe Building, 6th Floor Room No.606, 121, MG Road Nungambakkam, Chennai 600 034... Respondents Petition under Article 226 of the Constitution of Indiapraying for a writ of Certiorarified Mandamus to quash the letterbearing No.AALFS1340N/ACIT-V/2014-15 dated 18.8.2014 issued bythe second respondent and consequently, to forbear therespondents or any of their subordinates, agents or any otherperson claiming under the respondents from in any manner seekingto enforce the second respondent's demand of Rs.2,65,86,680/- forthe assessment year 2011-12 pending disposal of the first appealpending on the file of the first respondent. The petitioner has come up with the above writ petition,challenging a demand made by the second respondent. 2. Heard Mr.Suhrith Parthasarathy, learned counsel for thepetitioner. Mrs.R.Hemalatha, learned Standing Counsel takesnotice for the respondents. https://hcservices.ecourts.gov.in/hcservices/ 3. As against an order of assessment passed on 22.3.2014, thepetitioner has filed a statutory appeal before the first respondenton 17.4.2014. In the meantime, the petitioner also moved a petitionfor stay under Section 220(6) of the Income Tax Act, 1961, beforethe Assessing Officer. The Assessing Officer dismissed the saidpetition by a one line order dated 02.5.2014. 4. Therefore, the petitioner moved a stay petition before theCommissioner (Appeals). Though there is no provision for theCommissioner of Income Tax (Appeals) to entertain a stay petition,by virtue of a decision of this Court, such stay petitions are beingentertained, if a stay is refused in terms of Section 220(6). But,the Commissioner (Appeals) has not so far disposed of the staypetition and the appeal, as the appeal is only of the year 2014. 5. In the meantime, due to the refusal of the Assessing Officerto grant a stay, the second respondent has issued a demand, with athreat to take coercive action forcing the petitioner to come upwith the above writ petition. 6. The fact remains that a statutory appeal, which is in thenature of a first appeal, is pending before the first respondentalong with a stay petition. The fact that his power to entertainstay application and pass an appropriate order has been recognisedby this Court is not in doubt. Therefore, I am of the view that adirection to the first respondent to pass orders on the staypetition within a time frame, with a limited protection to thepetitioner, would serve ends of justice. 7. Therefore, the writ petition is disposed of, directing thefirst respondent to dispose of the stay petition filed by thepetitioner within a period of four weeks from the date of receipt ofa copy of this order. Till the first respondent disposes of thepetition for stay, no coercive steps shall be taken by therespondents. If any coercive action has already taken and effectedin pursuance of the impugned order, the same shall stand vacated. Nocosts. Consequently, M.P.No.1 of 2014 is closed. /true copy/ kpl https://hcservices.ecourts.gov.in/hcservices/ To 1. The Commissioner of Income Tax - Appeals (V) Aayakar Bhavan, 121, MG Road, Nungambakkam, Chennai 600 034. Aayakar Bhavan, 121, MG Road, Nungambakkam, Chennai 600 034. 2. The Assistant Commissioner of Income Tax Circle V, Annexe Building, 6th Floor Room No.606, 121, MG Road, Nungambakkam, Chennai 600 034. Circle V, Annexe Building, 6th Floor Room No.606, 121, MG Road, Nungambakkam, Chennai 600 034. /true copy/ kpl https://hcservices.ecourts.gov.in/hcservices/ To 1. The Commissioner of Income Tax - Appeals (V) Aayakar Bhavan, 121, MG Road, Nungambakkam, Chennai 600 034. Aayakar Bhavan, 121, MG Road, Nungambakkam, Chennai 600 034. 2. The Assistant Commissioner of Income Tax Circle V, Annexe Building, 6th Floor Room No.606, 121, MG Road, Nungambakkam, Chennai 600 034. Circle V, Annexe Building, 6th Floor Room No.606, 121, MG Road, Nungambakkam, Chennai 600 034. 1 cc to M/s. Suhrith Parthasarathy, Advocate, sr. 40293 1 cc to Ms.T. Pramod Kumar Chopda, Advocate, SR. 40602 W.P.No.23343 of 2014. RSK (CO)kk 2/9