Wp(C)/4713/2015 Of Cheruvathur Farmers Service Co-Op.bank Ltd v. The Commissioner Of Income Tax Appeals

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR FRIDAY, THE 13TH DAY OF FEBRUARY 2015/24TH MAGHA, 1936 WP(C).No. 4713 of 2015 (L) --------------------------- PETITIONER(S): -------------------------- CHERUVATHUR FARMERS SERVICE CO-OP. BANK LTD CHERUVATHUR, KASARGOD-671313 REPRESENTED BY ITS MANAGING DIRECTOR MR. VINAYA KUMAR P.K. BY ADV. SRI.A.KUMAR RESPONDENT(S): ---------------------------- 1. THE COMMISSIONER OF INCOME TAX APPEALS CALICUT-673001. 2. THE INCOME COMMISSIONER WARD-2, KASARGOD, VIDYA NAGAR P.O.-671 123. R BY SRI.JOSE JOSEPH, SC, FOR INCOME TAX THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13-02-2015, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No. 4713 of 2015 (L) --------------------------- APPENDIX PETITIONER(S)' EXHIBITS: ------------------------------------- EXHIBIT P1: A TRUE COPY OF THE BYE-LAWS OF THE CO-OPERATIVE SOCIETY.EXHIBIT P2: TRUE COPY OF THE ASSESSMENT ORDER FOR THE ASSESSMENTYEAR 2007-08 DATED 19.1.2015. EXHIBTI P3: TRUE COPY OF THE ASSESSMENT ORDER FOR THE ASSESSMENTYEAR 2008-09 DATED 30.10.2014. EXHIBIT P4: TRUE COPY OF THE ASSESSMENT ORDER FOR THE ASSESSMENTYEAR 2011-123 DATED 7.3.2014. EXHIBTI P5: TRUE COPY OF THE ASSESSMENT ORDER OFR ASSESSMENT YEAR2012-13 DATED 21.11.2014. EXHIBIT P6: TRUE COPY OF MEMORANDUM OF APPEAL FOR THE ASSESSMENTYEAR 2008-09 DATED 5.12.2014. EXHIBIT P7: TRUE COPY OF MEMORANDUM OF APPEAL FOR THE ASSESSMENTYEAR 2011-2012 DATED 8.4.2014. EXHIBIT P8: TRUE COPY OF MEMORANDUM OF APPEAL FOR THE ASSESSMENTYEAR 2012-13 DATED 19.12.2014. EXHIBIT P9: TRUE COPY OF NOTICE DATED 9.1.2015 DEMANDING BALANCEPAYMENT. EXHIBIT P10: A TRUE COPY OF NOTICE DATED 3.2.2015 ISSUED BY 2BNDRESPONDNT TO KASARAGOD DISTRICT CO-OPERATIVE BANK. RESPONDENT(S)' EXHIBITS: --------------------------------------- NIL. //TRUE COPY// P.S. TO JUDGE A.K.JAYASANKARAN NAMBIAR, J. ------------------------------- W.P.(C).NO.4713 OF 2015 (L)-----------------------------------Dated this the 13[th] day of February, 2015 J U D G M E N T The petitioner, which is a primary agricultural credit society, isan assessee under the Income Tax Act. Against Exts.P3, P4 and P5assessment orders under the Income Tax Act for the assessment years2008-09, 2011-12 and 2012-13, the petitioner has preferred Exts.P6,P7 and P8 appeals before the 1[st] respondent. It is stated that duringthe pendency of these appeals, for the assessment years 2007-08,2008-09, 2011-12 and 2012-13, the petitioner has already paid Rs.23lakhs towards outstanding taxed interest and dues. The totaloutstanding taxed interest as far as the orders impugned in theappeals are concerned, is approximately Rs.1,15,00,000/-. Underthese circumstances and faced with recovery steps for recovery of thebalance amounts confirmed against the petitioner by the assessmentorders in question, the prayer of the petitioner in the writ petition isfor a direction to the 1[st] respondent to consider and pass orders inExt.P6, P7 and P8 appeals that are pending before him, within a stipulated period and to keep in abeyance the recovery proceedings inthe meanwhile. 2. I have heard Sri.A.Kumar, the learned counsel appearing forthe petitioner as also Sri.Jose Joseph, the learned Standing counselappearing for the Income Tax Department. On a consideration of the facts and circumstances of the case asalso the submissions made across the bar and also taking into accountthe plea of financial hardship urged on behalf of the petitioner, Idispose the writ petition with the following directions: (i) The 1[st] respondent shall pass final orders onExts.P6, P7 and P8 appeals within a period of threemonths from the date of receipt of a copy of thisjudgment, after hearing the petitioner. stipulated period and to keep in abeyance the recovery proceedings inthe meanwhile. 2. I have heard Sri.A.Kumar, the learned counsel appearing forthe petitioner as also Sri.Jose Joseph, the learned Standing counselappearing for the Income Tax Department. On a consideration of the facts and circumstances of the case asalso the submissions made across the bar and also taking into accountthe plea of financial hardship urged on behalf of the petitioner, Idispose the writ petition with the following directions: (i) The 1[st] respondent shall pass final orders onExts.P6, P7 and P8 appeals within a period of threemonths from the date of receipt of a copy of thisjudgment, after hearing the petitioner. (ii) Recovery steps, if any, initiated against thepetitioner for recovery of the balance tax and interestdues including the garnishee proceedings, for theassessment years 2007-08, 2008-09, 2011-12 and2012-13 shall be kept in abeyance till such time asthe 1[st] respondent passes orders as directed in this prp judgment and communicates the same to thepetitioner, on condition that the petitioner remits anamount of Rs.12,00,000/- on or before 25.3.2015. A.K.JAYASANKARAN NAMBIAR JUDGE