Wp/107/2022 Of Voith Turbo Pvt. Ltd v. Assistant Commissioner Of Income Tax

HIGH COURT FOR THE STATE OF TELANGANA(Special Original Jurisdiction) WEDNESDAY,THE FIFTH DAY OF JANUARYTWO THOUSAND AND PRESENT THE HONOURABLE SRI AND THE HONOURABLE [JUSTICE A.VENKATESHWARA REDDY] WRIT PETITION NO: 107 OF [2022] Between:Voith Turbo P!'t. [Ltd, ][Road ][No ][7' ][lndustrial ][Estate' ][Nacharam' ][H]vderabad,,*i"senteO bv its Finince [lvlanager ][Mr' ][KV Saravana Kumar S/o ][lvlani]khya Rao,Aded about 5i [Years, R/o ][HYderabad'] ...PETITIONER AND1Assistant commissioner [of ][lncome Tax, ][circle ][8 ][(1), Signature Tower' Kondapur']Hyderabad.1Assistant commissioner [of ][lncome Tax, ][circle ][8 ][(1), Signature Tower' Kondapur']Hyderabad.2. Principal [Commissioner of lncome ][Tax-ll ][Signature ][Tower' ][Kondapur']Hyderabad.Hyderabad.3. commissioner [of lncome ][Tax ][Appeals (5), ][sigfiature ][Tower, ][Kondapur,]Hyderabad.Hyderabad.- t,J::?i"'i:l'f:33[],'i'3t",1'3:,'ff"J::"131'Andhra [Pradesh ][and ][rerangana] 5. Branch [Manager, HSBC Bank ][Ltd' ][Ra'ibhawan Road ][branch' ][Hyderabad]Post Bag [No'1' ][Surana ][rndustries]Post Bag [No'1' ][Surana ][rndustries]' [Bt1ffi:,Y3:E%il ][RlXs,tjff"?:lndia' ]7. Branch [Manager, HDFC Bank Limited Narmada Arcade' Plot No ][131 ][' ][Nacharam']HYderabad7. Branch [Manager, HDFC Bank Limited Narmada Arcade' Plot No ][131 ][' ][Nacharam']HYderabadB. Branch [Manager, ][lClCl ][Bank Limited ][6-2-'1012' ][TGV Mansion' Khairtabad']HyderabadHyderabad9. Branch [Manager, Deutsche Bank ] [Road' ][lr/umbai]10 '" rhe n"u"nr" union-of Direct [rndrS ]Taxes' [Reo ]G6vernment of [bv ][its ][secretarv' ]lndia [Yi"i:11f,f5[1ii,?;'38ffiIi3331][Nor]10 '" rhe n"u"nr" union-of Direct [rndrS ]Taxes' [Reo ]G6vernment of [bv ][its ][secretarv' ]lndia [Yi"i:11f,f5[1ii,?;'38ffiIi3331][Nor] ...RESPONDENTS Petition [under Article ][226 ][of ][the ][Constitution ][of ][lndia ][praying ][that in ][the]tiiei tn"'"*itn' [tne ][Hign Court mav ][be ][pleased]circumstances [stated in ]'nJ'it"""'* to issue a [Writ ][of ][ft'f ][unOam'l ][or. ][any ][other. ][appropriate ][writ' ][order ][or ][directton ][tn]declare the [action ][ot ][t'" r'ir."]p*ol"i' ][in ][lsiuing ][gainishee ][notices ][to ][the ][banks]dt.3o/1 1/ [2021 ][and ][atotttiizo?" ]"i"i [t|'! e"tln ]ftf o sth [ltt'"ning ]to [sth ][ior ][the ][the ][bank ][assessment ][account ][of ][year][the]oetitioner [Company ][*'tn ][tln" ]["R"*on-J"nt ]'2017-18,when the stav Pe;tio;;5;;;;i;s [ano ][the ][appeal ][is ][alreadv pendins ][with]conseouenttv [set ][aside ][the ][garnishee]3rd Respondent, [is quite ][;;;;;y ][t; ][i'* ]the '-no Act [for'G ][assessment ][year ][2017-18]notices issued [uno"r.".i.iln'i)'oi5l ]"t tir"O before [the 3rd ][respondent']pending disposal [ot ][tne ][ao'o"ve ]"ppJ'i Petition under sectron J 5i cpc praying that in the circumstances staled inthe affidavir fired in support. of the petition, ihJHign court may u" pruu."o-io'g,.,nt:t?v [ol.cottection ][of ][dispured ][rncome ][rax ][demaid ]ot ns. r,ez,rit ,tiii-lii"tuainglnterest), out of which the petitioner has arready deposited ns zz,so,oocil- ro,. tn"assessment year 2017-18 vide Letter dated 2710112020 under tne aci, pursrant tothe exparte assessment order.dated 25r12r201g passed by 1st Respondent pendingdisposal of the above writ petition. lA NO: 2 oF 2022 Petition under Section 151 .cpc praying that in the circumstances stated inlhe suspend [affigayjt ]the [fited in.support.of ]garnishee notices [the ]dt. [pulitio'n, ]30t11i2021, ir," nish at.othz-tzozr' Co;;-;;tlJ"ireXeo to;',i,"J"1;,:Xi the Petitioner Company toward respondent assessment year to 25t12t201s the Sth 2017_1g to.gth passed the rnoul. responoents in"iir" bv rri in" t* n"rp"rlo"ni n.il'pri*un, Oi.pr'.i"i in-atiaching O"rrnO pending to the the of oispL.al-oilnl-roor"bank exparte R5.1,37,,18, account irsr;Jry assessment12Zt_ of therrtfor Counsel for the petitioner: SRl. TEJPRAKASH TOSHNIWAL lA NO: 2 oF 2022 Petition under Section 151 .cpc praying that in the circumstances stated inlhe suspend [affigayjt ]the [fited in.support.of ]garnishee notices [the ]dt. [pulitio'n, ]30t11i2021, ir," nish at.othz-tzozr' Co;;-;;tlJ"ireXeo to;',i,"J"1;,:Xi the Petitioner Company toward respondent assessment year to 25t12t201s the Sth 2017_1g to.gth passed the rnoul. responoents in"iir" bv rri in" t* n"rp"rlo"ni n.il'pri*un, Oi.pr'.i"i in-atiaching O"rrnO pending to the the of oispL.al-oilnl-roor"bank exparte R5.1,37,,18, account irsr;Jry assessment12Zt_ of therrtfor Counsel for the petitioner: SRl. TEJPRAKASH TOSHNIWAL itrffiitfi+ff.T,"rlpondent [No'1 ][to ][4: sRt.RADHAKRT'HNA ][( ]sc FoR rNcoME Counsel for the Respondent No.5 to 9: NONE APPEARED SSUlfij-ffiiljliRespondent [No.10: ][SRr. ][B.MUKHERJEE( ]sc FoR cENTRAL The Court made the following: ORDER / THEHOOUBLE SRI JUSTIC AND RITIY Writ Petition [No.l07 ][of ][2022] OR-DER: [(Per ][Hon ][ble ][Sri ][Justice ][U.i.ial ][Bhu.van)] Heard Mr. [Tejprakash ][Toshniwal, ][learned ][counsel ][for ][the]petitioner and Mr. [Radhakrishna, ][learned Standing Counsel ][for]Income Tax [Departmetlt, ][for ][respondent ][nos ][l ][to ][4 ][We ][have ][also]heard Mr. B. [Mukherjee, ][learned ][counsel ][for ][respondent no ][1 ][0](Union of lndia). 2. By filing this [petition ][under ][Article ][226 ][of ][tlte ][Constitution ][of]India, [petitioner ][seeks ][quashing ][of ][garnishee ][notices dated 30'11'2021]ard 07.12.2021 [issued ][by ][the ][respondent ][no ][l ][to ][the ][banks ][of ][the]petitioner, i.e., [respondent ][nos'5 to 9'] 3. Be it stated [that ][for ][the ][Assessment ][Year 2017-18' ][Assessment]Order [was ][passed ][by ][the ][respcndent ][no ][l ][in ][respect ][of ][the ][petitioner]on 25.12.2019 [under Section 144 ][of ][the ][Irtcorne ][Tax ][Act' ][1961](briefly, ['the ][Act' ][hereafter) ][Following ][ths ][65s'e55ment ][order' ][notice]of dernand [was ][issued ][by ][resportdent ][no'l ][to ][the ][Petitioner ][ona]'25.12.2019 [itself ][under Section ] [of ][the ][Act'] 4. It is stated that against the Assessment Order petitioner hasfiled Appeal before the respondent no.3. That apart, petitioner hasalso filed stay application before the respondent no.1 on 27.01,2020under Section 226(3) ofthe Act. 5. Grievance ofthe petitioner is that neither the appeal nor the staypetition are being taken up for consideration. But, at the same time,respondent no.l issued the impugned garnishee notices. 6. With the above grievance, the present Writ petition has beenfiled 7. To-day, learned counsel for the petitioner has placed before us aletter dt.28.12.202r issued by the respondenr no. l addressed to thepetitioner wherefiom we nncl that petitioner has paid 2oo/o of theoutstanding dues duing pendency ofthe appeal before the respondentno.3. Accordingly, respondent no.l has granted stay ofcollection oftaxes till disposal ofthe appeal pending before the respondent no.3. 8In view of above, the very reason for issuance of the gamisheenotices does not survive.notices does not survive. 9. Accordingly, the impugned garnishee notices dt.30.11.2021 and07 '12 2021 are hereby set aside and quashed. writ petition is alrowedto the extent indicated above. No order as to costs. 10. As a sequel, [r:niscellaneous ][applications pending ][if ][any ][in ][this] Writ Petition, [shall ][stand closed] sD/-Ncilt[D#IEEHS,[iR/ITRUE SECTTON 8In view of above, the very reason for issuance of the gamisheenotices does not survive.notices does not survive. 9. Accordingly, the impugned garnishee notices dt.30.11.2021 and07 '12 2021 are hereby set aside and quashed. writ petition is alrowedto the extent indicated above. No order as to costs. 10. As a sequel, [r:niscellaneous ][applications pending ][if ][any ][in ][this] Writ Petition, [shall ][stand closed] sD/-Ncilt[D#IEEHS,[iR/ITRUE SECTTON To, . -^ [r^,, ][n,^arrmant ][Circle ] [(1)][, ][S][l][gna][r][ur][u]1 The Assistant [Commissioner'. lncome Tax Drpartment' ][' ][ite]' HYderabad'+ffi;..,ii;;di[ur' 1 The Assistant [Commissioner'. lncome Tax Drpartment' ][' ][ite]' HYderabad'+ffi;..,ii;;di[ur' 2. The [Principal Commissioner' lncome ][Tax-ll' ][Signature ][Tower' ][Kondapur']. l["::T:ssioner' [lncome ][rax ][Appeals ][(5)' ][Sisnature ][rower' ][Kondapur']Hyderabad rn'^me Tax Department ' [Andhra ][Pradesh]i,iiluo. l["::T:ssioner' [lncome ][rax ][Appeals ][(5)' ][Sisnature ][rower' ][Kondapur']Hyderabad rn'^me Tax Department ' [Andhra ][Pradesh]i,iiluo4 rhe [p ][ri ][ncipa' ]9 [ni:iff ]f fli'+'9I ;IiT3 and [Telangana. ][lncome ] [dA ] [vrlv ][-r ]"'i['#vt nirect Taxes, [The]and [Telangana. ][lncome ] [dA ] [vrlv ][-r ]"'i['#vt nirect Taxes, [The] ,IX%:%?iJsggi.#.:LlllilS?;r,',",l,i'f [E::1"'1,5^:b"l,ili.i?J331"-"''] TOSHNIWAL [Advocate ][ 6. One [to ][SRl ]"'j'*O*Ott' -'',*^, [.'_?R ][INcoME ][rAx]"'j'*O*Ott' -'',*^, [.'_?R ][INcoME ][rAx], Byr?"_,+i,pft[T[g$f Byr?"_,+i,pft[T[g$f , Byr?"_,+i,pft[T[g$f Byr?"_,+i,pft[T[g$f R TWO [SRI' ][U]*UA"*,,E( ] [CENTRAL GOVERNMENT)]toPuclR TWO [SRI' ][U]*UA"*,,E( ] [CENTRAL GOVERNMENT)]toPucl 9' [Two ][CD coPies'] Y[[spare ]][coPY'] 10.One [[spare ]][coPY'] GB *\ HIGH COURT DATED:0510112022 ORDERWP.No.107 ot 2022 ALLOWING OF THE WPWITHOUT COSTS. ilE lllio;r, [\]L2 7 ,1^t'12-t1?.2q