Wp(C)/29588/2015 Of Chirakkadavu Service Co-Op.bank Ltd v. The Commissioner Of Income Tax (Appeals), Kottayam

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR WEDNESDAY, THE 30TH DAY OF SEPTEMBER 2015/8TH ASWINA, 1937 WP(C).No. 29588 of 2015 (W) ---------------------------- PETITIONER(S): -------------------------- CHIRAKKADAVU SERVICE CO-OPERATIVE BANK LTD. NO.2057, REPRESENTED BY ITS SECRETARY, HEAD OFFICE, CHIRAKKADAVU, CHIRAKKADAVU P.O., PIN-686 520, KOTTAYAM DISTRICT. BY ADVS.SRI.B.ASHOK SHENOY, SRI.K.V.GEORGE, SRI.P.S.GIREESH, SRI.RIYAL DEVASSY, SRI.P.N.RAJAGOPALAN NAIR, SRI.THOMAS P.MAKIL. RESPONDENT(S): ---------------------------- 1. THE COMMISSIONER OF INCOME TAX (APPEALS), FIRST FLOOR, KOTTAYAM PUBLIC LIBRARY BUILDING, SASTHRI ROAD, KOTTAYAM-686 001. FIRST FLOOR, KOTTAYAM PUBLIC LIBRARY BUILDING, SASTHRI ROAD, KOTTAYAM-686 001. 2. THE INCOME TAX OFFICER, WARD-5, PUBLIC LIBRARY BUILDING, SASTHRI ROAD, KOTTAYAM-686 001. SASTHRI ROAD, KOTTAYAM-686 001. BY ADV. SRI.JOSE JOSEPH, SC. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30-09-2015, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: rs. WP(C).No. 29588 of 2015 (W) APPENDIX PETITIONER'S EXHIBITS:- EXT.P1COPY OF THE CERTIFICATE DATED 17/11/2014 ISSUED BY THE ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES (GENERAL),KANJIRAPPALLY.ASSISTANT REGISTRAR OF CO-OPERATIVE SOCIETIES (GENERAL),KANJIRAPPALLY. EXT.P2COPY OF THE BYE-LAWS OF PETITIONER APPROVED BY THE REGISTRAR OF CO-OPERATIVE SOCIETIES.REGISTRAR OF CO-OPERATIVE SOCIETIES. EXT.P3COPY OF THE COMMON ORDER DATED 31/07/2014 IN ITA NO.123/COCH/2012 AND CONNECTED CASES OF THE INCOME TAX APPELLATE TRIBUNAL, COCHIN BENCH.ITA NO.123/COCH/2012 AND CONNECTED CASES OF THE INCOME TAX APPELLATE TRIBUNAL, COCHIN BENCH. EXT.P4COPY OF THE ASSESSMENT ORDER DATED 19/03/2015 PASSED BY 2ND RESPONDENT FOR THE ASSESSMENT YEAR 2012-13IN RESPECT OF PETITIONER UNDER PAN- .BY 2ND RESPONDENT FOR THE ASSESSMENT YEAR 2012-13IN RESPECT OF PETITIONER UNDER PAN- . EXT.P5COPY OF THE NOTICE OF DEMAND DATED 19/03/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER UNDER PAN- .2ND RESPONDENT TO PETITIONER UNDER PAN- . EXT.P6COPY OF THE APPEAL DATED 23/04/2015 FILED BY PETITIONER BEFORE 1ST RESPONDENT.PETITIONER BEFORE 1ST RESPONDENT. EXT.P7COPY OF THE APPLICATION FOR STAY DATED 23/04/2015 FILED BY PETITIONER BEFORE 1ST RESPONDENT.FILED BY PETITIONER BEFORE 1ST RESPONDENT. EXT.P8COPY OF THE ORDER DATED 22/07/2015 PASSED BNY 1ST RESPONDENT ON EXT.P7 APPLICATION FOR STAY.1ST RESPONDENT ON EXT.P7 APPLICATION FOR STAY. EXT.P9COPY OF THE REPRESENTATION FOR STAY DATED 04/08/2015 FILED BY PETITIONER BEFORE 2ND RESPONDENT.FILED BY PETITIONER BEFORE 2ND RESPONDENT. EXT.P10COPY OF THE LETTER NO.W5/KTM/AAABT2064P: 12-132/15-16DATED 06/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER.DATED 06/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER. EXT.P11COPY OF THE REPRESENTATION DATED 17/08/2015 ISSUED BY PETITIONER TO 2ND RESPONDENT.PETITIONER TO 2ND RESPONDENT. EXT.P12COPY OF THE LETTER NO.W5/KTM/AAABT2064P: 12-14/15-16DATED 18/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER.DATED 18/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER. RESPONDENT'S EXHIBITS:- NIL. //TRUE COPY// rs. P.S. TO JUDGE A.K.JAYASANKARAN NAMBIAR, J. =========================================== W.P.(C). No.29588 of 2015 ===================================================== Dated this the 30[th] day of September, 2015 JUDGMENT EXT.P11COPY OF THE REPRESENTATION DATED 17/08/2015 ISSUED BY PETITIONER TO 2ND RESPONDENT.PETITIONER TO 2ND RESPONDENT. EXT.P12COPY OF THE LETTER NO.W5/KTM/AAABT2064P: 12-14/15-16DATED 18/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER.DATED 18/08/2015 ISSUED BY 2ND RESPONDENT TO PETITIONER. RESPONDENT'S EXHIBITS:- NIL. //TRUE COPY// rs. P.S. TO JUDGE A.K.JAYASANKARAN NAMBIAR, J. =========================================== W.P.(C). No.29588 of 2015 ===================================================== Dated this the 30[th] day of September, 2015 JUDGMENT The challenge in the writ petition is against Ext.P8 order ofthe 1[st] respondent, whereby the 1[st] respondent rejected a staypetition, filed by the petitioner along with an appeal against anassessment order for the assessment year 2012-2013, on theground that the 1[st] respondent does not have powers conferredunder the Income Tax Act, for considering and passing orders instay application filed along with the appeal. It is the submission ofthe learned counsel for the petitioner that the stand taken by the1[st] respondent is legally flawed in that it is settled law that everyauthority under the Income Tax Act, that is conferred with a powerto decide an appeal, also has an inherent power to pass orders inincidental applications, such as an application for stay, that is filedalong with the appeal. 2.I have heard the learned counsel appearing for thepetitioner as also the learned Standing Counsel appearing for therespondents. On a consideration of the facts and circumstances of the caseand the submissions made across the bar, and taking note of thesettled proposition that an authority having the power to decide anappeal under a statutory provision also has the inherent power to consider and pass orders that are required to be passed to renderthe appellate power effective (See: ITO v Mohammed Kunhi -AIR 1969 SC 430), I dispose the writ petition with a direction tothe 1[st] respondent to consider and pass orders on Ext.P7 staypetition on merits, within a period of two months from the date ofreceipt of a copy of this judgment, after hearing the petitioner. Imake it clear that till such time as orders are passed by the 1[st]respondent as directed and communicated to the petitioner,coercive steps for recovery of amounts confirmed against thepetitioner by the assessment order, shall be kept in abeyance. A.K.JAYASANKARAN NAMBIAR JUDGE rsr