Wp/20277/2015 Of Smt. Amala Bose v. The Income Tax Officer

IN THE HIGH COURT OF JUDICATURE AT MADRASDATED: 08.07.2015 Coram The Hon'ble Mr. Justice T.RAJAW.P.Nos.20277 and 20278 of 2015andM.P.Nos.1,2, 1 and 2 of 2015 Amala Bose..Petitioner inW.P.No.20277/2015Bose Chandra Ebenezer..Petitioner inW.P.No.20278/2015Vs.1.The Income Tax Officer, Non-Corporate Ward 2(5), Coimbatore - 641 018.2.The Commissioner of Income Tax(Appeals) - 2, Coimbatore. 3.The Branch Manager, State Bank of Mysore, Velandipalayam Branch, 1J, Sabapathi Street, Bose Complex, NSR Road, Coimbatore - 641 038. .. Respondents inW.P.No.20277/2015 1.The Income Tax Officer, Non-Corporate Ward 2(5), Coimbatore. Non-Corporate Ward 2(5), Coimbatore. 2.The Commissioner of Income Tax(Appeals) - 2, Coimbatore.(Appeals) - 2, Coimbatore. 3.AXIS Bank, Saibaba Colony Branch, No.56, Bharathi Park, II Cross Road, Saibaba Colony, Coimbatore - 641 011. Saibaba Colony Branch, No.56, Bharathi Park, II Cross Road, Saibaba Colony, Coimbatore - 641 011. 4.HDFC Bank, Saibaba Colony Branch, No.7, Sairam Tower, NSR Road, Saibaba Colony, Coimbatore - 641 011. 5.Indian Bank, Lawly Road Branch, No.281, Thadagam Road, Venkatapuram, Velandipalayam Post, Coimbatore... Respondents inW.P.No.20278/2015 Prayer in W.P.No.20277 of 2015:Petition filed under Article226 of the Constitution of India praying to issue a writ ofcertiorarified mandamus to call for the records of the firstrespondent in PAN: dated 27.05.2015 and quash the orderpassed therein and further direct the respondent to redeposit theamount from the fixed deposit Nos.324003, 359884, 954197 and 359214appropriated unlawfully with interest and further restrain the firstrespondent from taking any other coercive steps for recovery pendingdisposal of the appeal filed on 25.05.2015 against the assessmentorders dated 30.03.2015 passed in PAN No. by the firstrespondent for the assessment years 2008-09 to 2013-14 on the file ofthe second respondent. Prayer in W.P.No.20278 of 2015:Petition filed under Article226 of the Constitution of India praying to issue a writ ofcertiorarified mandamus to call for the records of the firstrespondent in PAN: dated 27.05.2015 and quash the same andfurther direct the first respondent to lift the attachment of thebank accounts of the petitioner held with the 3rd to 5th respondentBanks in A/c bearing No.909020031809467, 25691570000561, 410407000respectively and further restrain the first respondent from takingany other coercive steps for recovery pending disposal of the appealsfiled on 25.05.2015 against the assessment orders dated 30.03.2015passed in PAN No. for the assessment years 2008-09 to 2013-14 on the file of the second respondent. These two writ petitions have been filed by the petitioners onthe sole ground that the assessing officer has wrongly come to theconclusion that he has no power to consider the stay applicationseven if the demand is disputed in the appeals. These two writ petitions have been filed by the petitioners onthe sole ground that the assessing officer has wrongly come to theconclusion that he has no power to consider the stay applicationseven if the demand is disputed in the appeals. 2.Ms.Pushya Sitaraman, learned senior counsel appearing for thepetitionersdisputingthestandtakenbythefirstrespondent/assessing officer, has drawn the attention of this Courtto the Instruction No.1914 giving guidelines for disposal of the staypetition. As per Clause 2(B) of the instruction, the stay petitionsfiled with the assessing officers must be disposed of within twoweeks of the filing of the petitions and the assessee must beintimated of the decision without delay. Again relying upon Clause C(iii) - Guidelines for Staying Demand, it was stated that the paymentby instalments also to be liberally allowed so as to collect theentire demand within a reasonable period not exceeding 18 months.While the guidelines are very clear, the offer made by each of thepetitioner to pay a sum of Rs.1,00,000/- every month, i.e.Rs.6,00,000/- in all these matters, in all fairness, ought to havebeen accepted by the assessing officer. On the other hand, being aquasi judicial authority, the first respondent passed an orderstating that he has no power, that clearly shows that he was unawareof the Instruction No.1914. 3.It is at this point of time, Mr.T.Pramod Kumar Chopda, learnedstanding counsel appearing for the respondents 1 and 2 submits thatif each of the petitioner is prepared to pay Rs.1,00,000/- in eachpetition i.e. a total amount of Rs.6,00,000/- per month, they may bedirected to pay their instalments at the rate of Rs.1,00,000/- perassessment year. 4.In view of the Instruction 1914, the assessing officer hasgot ample power and as he has completely overlooked the same, thisCourt is inclined to stay the impugned orders. Accordingly, theimpugned orders are stayed subject to payment of Rs.1,00,000/- perassessment year by each of the petitioner, within a period of twoweeks from the date of receipt of this order. The petitioners shallcontinue to pay Rs.1,00,000/- each. 5.In view of the above, the order of attachment issued by theassessing officer is hereby lifted. It is needless to mention thatthe petitioners shall make the payment during the third week ofevery month and the appellate authority shall consider the pendingappeals on merits expeditiously. 6.It was also brought to the notice of this Court by the learnedsenior counsel for the petitioners that so far as W.P.No.20277 of2015 is concerned, as against the demand of Rs.10,75,920/-, the https://hcservices.ecourts.gov.in/hcservices/ first respondent has recovered a sum of Rs.12,43,630/-. It is notknown on what basis, the assessing officer recovered the entireamount available in the account of the petitioner, which is more thanthe demand. Be that as it may, the excess amount of Rs.1,67,710/-shall be directed to be adjusted towards the dues payable by thepetitioner in the forthcoming months. 7.With the above observation and direction, both the writpetitions are disposed of. No costs. Consequently, connectedmiscellaneous petitions are closed. Sd/- Asst.Registrar (CO) /true copy/Sub Asst. RegistrarmmiTo1.The Income Tax Officer, Non-Corporate Ward 2(5), Coimbatore - 641 018.2.The Commissioner of Income Tax(Appeals) - 2, Coimbatore.+2 ccs to Mr.P.Saravanasowmiyan, Advocate, sr.34215 & 34213+2 ccs to Mr.T.Pramodkumar Chopda, Advocate, sr.34096 & 34097W.P.Nos.20277 & 20278 of 2015km(co)kra(03/08)