Wp(C)/34991/2016 Of Jalaludeen v. The Commissioner Of Income Tax

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE A.M.SHAFFIQUE TUESDAY, THE 1ST DAY OF NOVEMBER 2016/10TH KARTHIKA, 1938WP(C).No. 34991 of 2016 (Y) ----------------------------------------- PETITIONER(S) : -------------------------- JALALUDEEN, S/O. HAMEED KANNU, AGED 78 YEARS, “ HAMEED MANZIL”, BALARAMAPURAM, BALARAMAPURAM POST, THIRUVANANTHAPURAM, PIN- 695 501. BY ADV. SRI.S.ABDUL SALAM RESPONDENT(S) : ---------------------------- BY GOVERNMENT PLEADER SRI. V.K.SHAMSUDHEEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 01-11-2016, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 34991 of 2016 (Y) ----------------------------------------- APPENDIX PETITIONER(S)' EXHIBITS : EXHIBIT P1:PHOTO COPY OF THE JUDGMENT IN W.A.NO. 1536 OF 2016 DATED 08.08.2016 OF THIS HON'BLE COURT. EXHIBIT P2:THE TRUE COPY OF THE PROCEEDINGS NO. A2 943/2012DATED 30.11.2013 OF THE THIRD RESPONDENT. RESPONDENT(S)' EXHIBITS : NIL //TRUE COPY// P.A.TO JUDGE. Msd. A.M.SHAFFIQUE, J * * * * * * * * * * * * W.P.C.No.34991 of 2016 ---------------------------------------- Dated this the 1[st] day of November 2016 J U D G M E N T This writ petition has been filed seeking the following relief: “(a) To issue a writ of mandamus or any other appropriate writ direction ororder directing the respondents to refrainfrom deducting the income tax on theamount accrued in the land acquisitionproceedings, evidenced by the Ext.P2 ofthe third respondent. ” (b) to issue a writ of mandamus orany other appropriate writ, direction ororder directing the respondents 1 to 3 todisburse the whole compensation due tothe petitioner as per the Ext.P2 without anydeduction of income tax. (c)to award the cost of this petitionto the petitioner;” 2.The issue covered by the judgment of the Division Bench in W.A.No.12194/2016 and connected cases wherein theDivision Bench held as under: “3.It is seen that the very sameissue has been considered by a learnedDivision Bench of this Court inW.A.No.1536 of 2016, whereby thejudgment of the learned Single Judge inW.P.C.No.12484 of 2016 and connectedcases has been upheld. The learnedDivision Bench in the judgment dated08.08.2016 in W.A.No.1536 of 2016 hasheld thus: 3. We find that the judgmentof the learned Single Judge is justand proper in as much as Section96 of the Act, 2013 clearlydiscloses that no income tax orstamp duty shall be levied on anyaward or agreement made underthis Act, except under Section 46.It is not in dispute that Section 46of the Act, 2013 is not applicableto the facts of this case. Hence, itis amply clear that as per Section96 of the Act, 2013, exemption isprovided for levying income taxand stamp duty. In an identicalcase, a Division Bench of this Court in W.A.No.1422 of 2015 hasalready concluded that income taxis not liable to be deducted fromthe compensation payable tosimilarly placed persons. Thelearned Single Judge, following thedictum laid down in W.A.No.1422of 2015 and observing theprovisions of Section 96 of the Act,2013, has allowed the writpetitions directing the authoritiesto pay compensation to thepetitioner, without deducting anyamount towards income tax orstamp duty.” In the light of the above, the legalposition now stands clarified that in view ofSection 96 of the Act, 2013, the deductiontowards income tax cannot be made fromthe compensation payable to the landowners. Therefore, these writ petitions aredisposed of clarifying the position as aboveand directing that the compensation bedisbursed to the petitioners withoutdeducting any amount towards incometax.” 4 3.Having regard to the aforesaid, there will be a direction In the light of the above, the legalposition now stands clarified that in view ofSection 96 of the Act, 2013, the deductiontowards income tax cannot be made fromthe compensation payable to the landowners. Therefore, these writ petitions aredisposed of clarifying the position as aboveand directing that the compensation bedisbursed to the petitioners withoutdeducting any amount towards incometax.” 4 3.Having regard to the aforesaid, there will be a direction to the respondent authorities to pay compensation to thepetitioner without deducting any amount towards income tax. This writ petition is disposed of as above. (sd/-) (A.M.SHAFFIQUE, JUDGE) jsr