Wp/12256/2025 Of M/S The Pedapadu Large Sized Cooperative Society Limited No. E864 v. Rangarao. And The Income Tax Officer And Others

IN THE HIGH COURT OF ANDHRA PRADESH(Special Original Jurisdiction) AMARAVATI WEDNESDAY ,THE SEVENTH DAY OF MAYTWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NINALA JAYASURYA AND THE HONOURABLE SRI JUSTICE TARLADA RAJASEKHAR RAO WRIT PETITION NO: 12256 OF 2025 ^ Between: M/s The Pedapadu Large Sized Cooperative Society Limited No. E864,Pedapadu Village, Pedapadu Mandal, West Godavari District - 534 437,Andhra Pradesh. Represented by its Chief Executive Officer, Mr. DamarajuVenkata Subbarao, S/o. Mr. D.V.Rangarao. ...Petitioner/s AND 1. The Income Tax Officer, Ward 1, Eluru, Income Tax Office, 23-B-4-6/4KKS Towers, RR Pet, Eluru - 534 002, Andhra Pradesh.KKS Towers, RR Pet, Eluru - 534 002, Andhra Pradesh. 2. AssessmentUnit, Income Tax Department,Nationale-AssessmentCenter, New Delhi, Room No 401,2nd Floor, E-Ramp, Jawaharlal NehruStadium, New Delhi - 110 003.Center, New Delhi, Room No 401,2nd Floor, E-Ramp, Jawaharlal NehruStadium, New Delhi - 110 003.3. The Principal Chief Commissioner of Income Tax, Andhra PradeshandTelangana, IT Towers, 10-2-3, AC Guards, Masab TankHyderabad-Telangana, IT Towers, 10-2-3, AC Guards, Masab TankHyderabad-500 004, Telangana. % 4. The Joint Commissioner (Appeals), the Commissioner of Income Tax(Appeals),NationalFacelessAppealCentre,Delhi,ThroughthePrincipal Chief Commissioner of Income Tax (NaFAC),Delhi,NorthBlock, New Delhi - 110 001.(Appeals),NationalFacelessAppealCentre,Delhi,ThroughthePrincipal Chief Commissioner of Income Tax (NaFAC),Delhi,NorthBlock, New Delhi - 110 001. 5. The Central Boardof Direct Taxes, Represented byitsChairmanDepartmentof Revenue,Ministry of Finance, GovernmentofIndiaSecretariat Buildings, New Delhi - 110 001.Departmentof Revenue,Ministry of Finance, GovernmentofIndiaSecretariat Buildings, New Delhi - 110 001. ...Respondents Petition under Article 226 of the Constitution of India praying that inthe circumstances stated in the affidavit filed therewith, the High Court maybe pleased to issue a Writ of Mandamus or any other appropriate Writ,Order orDirection,declaringthe order of the1®^Respondent,dated29.03.2025,videDINandLetterNo.lTBA/COM/F/17/2024-25/1075233468(1),indirectingthePetitioner to pay 20percentofthedisputed demand, pending disposal of its appeal before the 1®* AppellateAuthority, i.e., the 4*^ Respondent herein, for the Assessment Year 2015 -16, as arbitrary, illegal, bad in law, bereft of any valid reasons, violative oftheprinciplesofnatural justice apart frombeingviolativeofArticles14,19(1)(g)and 265 of the Constitution of India and Sec. 148Aofthe incomeTax Act, 1961, and consequently set aside the same. lA NO: 1 OF 2025 Petition under Section 151 CPC praying thatin the[circumstances]stated in the affidavit filed in support of the petition, the High Court may bepleased to stay all further proceedings, including any recovery, pursuant tothe order of the 1"* Respondent, dated 29.03.2025, vide DIN & Letter No.:lTBA/COM/F/17/2024-25/1075233468(1),in directing the Petitioners pay20% of the disputed demand, pending disposal of its appeal before the1St .f thAuthority,i.e., the 4Respondent herein, for the AssessmentAppellater /Year\2015-16, pending disposal of the above Writ Petition. ^Counsel for the Petitioner: SRI A V A SIVA KARTIKEYA Counsel for the Respondents: SRI VAMSI KRISHNA BODAPATI,[REP.] SRI ANUP KOUSHIK KARAVADI, STANDING COUNSEL FOR INCOME TEX department The Court made the following: r/■k-■■/APHC010240072025/IN THE HIGH COURT OF ANDHRA PRADESHAT AMARAVATI/(Special Original Jurisdiction)7IWEDNESDAY, THE SEVENTH DAY OF MAY THE SEVENTH DAY OF MAY SEVENTH DAY OF MAY DAY OF MAY MAY WEDNESDAY, THE SEVENTH DAY OF MAY THE SEVENTH DAY OF MAY SEVENTH DAY OF MAY DAY OF MAY MAYTWO THOUSAND AND TWENTY FIVE [3526] PRESENT THE HONOURABLE SRI JUSTICE NINALA JAYASURYA THE HONOURABLE SRI JUSTICE TARLADA RAJASEKHAR RAOWRIT PETITION NO: 12256 OF 2025 Between: ^Counsel for the Petitioner: SRI A V A SIVA KARTIKEYA Counsel for the Respondents: SRI VAMSI KRISHNA BODAPATI,[REP.] SRI ANUP KOUSHIK KARAVADI, STANDING COUNSEL FOR INCOME TEX department The Court made the following: r/■k-■■/APHC010240072025/IN THE HIGH COURT OF ANDHRA PRADESHAT AMARAVATI/(Special Original Jurisdiction)7IWEDNESDAY, THE SEVENTH DAY OF MAY THE SEVENTH DAY OF MAY SEVENTH DAY OF MAY DAY OF MAY MAY WEDNESDAY, THE SEVENTH DAY OF MAY THE SEVENTH DAY OF MAY SEVENTH DAY OF MAY DAY OF MAY MAYTWO THOUSAND AND TWENTY FIVE [3526] PRESENT THE HONOURABLE SRI JUSTICE NINALA JAYASURYA THE HONOURABLE SRI JUSTICE TARLADA RAJASEKHAR RAOWRIT PETITION NO: 12256 OF 2025 Between: M/s ThePedapaduLargeSizedCooperativeSociety...PETITIONERLimited No.E864, Pedapadu Village, Pedapadu ManHalWestGodavariDistrict-534437,AndhraPradesh,Represented by its Chief Executive Officer, Mr.DamarajuVenkata Subbarao, S/o Mr.D.V.Rangarao. AND The Income Tax Officer and Others ...RESPONDENT{S) Counsel for the Petitioner: 1.AVASIVAKARTIKEYA Counsel for the Respondent(S): 1. This Court delivered the following ORDER: {per NJS,J) Heard Mr.A.V.A.Siva Kartikeya, learned counsel for the petitioner.Also heard Mr.Vamsi Krishna Bodapati, learned Junior Standing CounselrepresentingMr.AnupKoushikKaravadi,learnedSeniorStandingCounsel for the Income Tax Department. 2.The writ petition is filed seeking the following relief: to issue a Writ of Mandamus or any other appropriateWrit,Order or Direction, declaring the order passed by the 1st Respondent,dated29.03.2025,videDIN&LetterNo.lTBA/COM/F/17/2024-25/1075233468(1),in directingthe petitioner to pay[20%]of thedisputed demand, pending disposal of theappeal of the petitionerbefore theAppellate Authority, i.e., the 4*" Respondent herein, for theAssessment Year 2015 - 16, as arbitrary, illegal,barred by limitation,bad in iaw, void-ab-initio,violative of the principles ofnatural justice,apart from beingviolativeof Articles14,19(1)(g)and 265oftheConstitution of IndiaandSec 148A of the Income Tax Act, 1961, andto consequently set aside the same in the interests of justice.” 3.The learned counsel for the petitioner, while making[submissions]with reference to various legal contentions raisedinthewritaffidavitsubmits that since the Registrar of Co-operative Societies[conducted][ the]audit beyond the due date for filing the Returnof[Income][ under][ the]Income Tax Act, 1961, they could not file the Return[of][ Income.]Hefurther submitsthat thepetitionerisnotin apositiontoraisethedemanded amount andif the Revenue is allowed to recover the amountsduring the pendency of the appeal before the 1®* Appellate Authority,itwould cause great hardship to the petitioner and all its activities would gethampered by financially crippling the Assessee.Hesubmitsthattheorder passed by the respondent No.1 directing the petitioner to pay 20%with reference to various legal contentions raisedinthewritaffidavitsubmits that since the Registrar of Co-operative Societies[conducted][ the]audit beyond the due date for filing the Returnof[Income][ under][ the]Income Tax Act, 1961, they could not file the Return[of][ Income.]Hefurther submitsthat thepetitionerisnotin apositiontoraisethedemanded amount andif the Revenue is allowed to recover the amountsduring the pendency of the appeal before the 1®* Appellate Authority,itwould cause great hardship to the petitioner and all its activities would gethampered by financially crippling the Assessee.Hesubmitsthattheorder passed by the respondent No.1 directing the petitioner to pay 20% of the demanded amount, without considering the case of the petitioner,IS not sustainable. He also submits that in similar circumstancesaCoordinate Bench of this Court vide order dated 31.12.2024in WritPetition No.27342 of 2024 was pleased to dispose of the same with adirection to the Appellate Authority to dispose of the appeal within aperiod of six months and that during the pendency of the appeal, theAuthorities shall not insist for the payment of the installments grantedtowards the outstanding amount.The learned counsel submits that infact against the demands raised by the Assessing Authoritiesseveral writpetitions were filed and while entertaining the saidwrit petitions, interimorders were granted. 4.Whereas, the learned Junior Standing Counsel for therespondentDepartment submits that it is not the case of the writ petitioner thatitISinot capable of paying the 20% of the disputed demandand further thathaving availed the remedy of appeal, thewrit petitioner is not justified infiling the writ petition. 5.Though the learned counsel for thepetitioner raised several legalcontentions andit is also notin dispute thatseveralwritpetitionschallengingthe demandsraisedby the Assessing Authoritieswereentertained, in the light of the orderspassed in Writ Petition No.27342 of2024, dated 31.12.2024, this Courtis inclined to dispose of the writpetition on similar lines. 6.The respondent No.4-Appellate Authority shall disposeoftheappeal preferred by the writ petitioner within a period of six months fromthe date of receipt of a copy of this order.Pending disposal of theappeal, no action to collect the outstanding tax demand/installm ents shallbe initiated and the liability of the petitioner,if any, shall be subject to thedecisionof the Appellate Authority,inthe appealonmerits.Thepetitionerisatlibertytofileadditionalmaterial,ifany,beforetheAppellate Authority and it is needless to state that before passing ordersas indicated above, the petitioner shall be afforded an opportunity ofhearing. 7.With the above directions, the writ petition is disposed[of.]No orderas to costs. Miscellaneous petitions pending, if any,[shall][ stand][ closed.] Sd/- J SAROJAASSISTANT REGISTRARSEOFFICERSEOFFICER //TRUE COPY// To. 1. The Income Tax Officer, Ward 1, Eluru, Income Tax Office, 23-B-4-6/4KKS Towers, RR Pet, Eluru - 534 002, Andhra Pradesh.KKS Towers, RR Pet, Eluru - 534 002, Andhra Pradesh.2. AssessmentUnit, Income Tax Department,Nationale-AssessmentCenter, New Delhi, Room No 401,2nd Floor, E-Ramp, Jawaharlal NehruStadium, New Delhi - 110 003.Center, New Delhi, Room No 401,2nd Floor, E-Ramp, Jawaharlal NehruStadium, New Delhi - 110 003.3. The Principal Chief Commissioner of Income Tax, Andhra PradeshandTelangana, IT Towers, 10-2-3, AC Guards, Masab Tank, Hyderabad - X500 004, Telangana.Telangana, IT Towers, 10-2-3, AC Guards, Masab Tank, Hyderabad - X500 004, Telangana. 4. The Joint Commissioner (Appeals), The Commissioner of IncomeTax(Appeals),NationalFaceless AppealCentre,Delhi,Throughthe/(Appeals),NationalFaceless AppealCentre,Delhi,Throughthe/Principal Chief Commissioner of Income Tax (NaFAC)Delhi,NorthBlock, New Delhi - 110 001.Block, New Delhi - 110 001. / 5. The Chairman, Central Board of Direct Taxes, Department of Revenue,Ministry of Finance, Government of India, Secretariat Buildings, NewDelhi - 110 001.Ministry of Finance, Government of India, Secretariat Buildings, NewDelhi - 110 001. 6. One CC to SRI. A V A SIVA KARTIKEYA Advocate 7. One CC to SRI. ANUP KOUSHIK KARAVADI, STANDING COUNS^FOR INCOME TAX DEPARTMENT FOR INCOME TAX DEPARTMENT /8. Three CD Copies sree HIGH COURT DATED:07/05/2025 ORDER WP.No.12256 of 2025 disposing of the w pWITHOUT COSTS ■? S5jo5{2 ^ SEP 2025oCoI