Wp(C)/8113/2021 Of Venganellur Service Co-Op Bank Ltd v. The Income Tax Officer

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.M.BADAR WEDNESDAY, THE 07TH DAY OF APRIL 2021 / 17TH CHAITHRA, 1943WP(C).No.8113 OF 2021(L) PETITIONER: VENGANELLUR SERVICE CO-OP BANK LTD. NO.22,VENGANELLUR (P.O.), CHELAKKARA, THRISSUR-680 586. BY ADV. SRI.V.P.NARAYANAN RESPONDENTS: 1THE INCOME TAX OFFICER WARD - 2(5), THRISSUR RANGE-2, AAYAKAR BHAVAN, SAKTHAN NAGAR, THRISSUR-680 001. 2THE COMMISSIONER OF INCOME TAX (APPEALS),AAYAKAR BHAVAN, SAKTHAN NAGAR, THRISSUR-680 001. R1-2 BY ADV. SRI.P.K.RAVINDRANATHA MENON (SR.)R1-2 BY JOSE JOSEPH, SC, FOR INCOME TAX THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON07.04.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: JUDGMENT Dated this the 7[th] day of April 2021 Heard the learned counsel appearing for the petitioner. He submits that the assessment order under Section 143(3) of theIncome Tax Act, 1961 (Ext.P1) was passed for the assessmentyear 2014-2015 on 07.12.2016. Feeling aggrieved by the saidassessment order, the petitioner preferred appeal along with staypetition (Exts.P2 and P2(a)) before the 2[nd]respondent-Commissioner of Income Tax (Appeals). In the meanwhile,rectification order under Section 154 of the Income Tax Act cameto be issued vide Ext.P3 and the same has been challenged by thepetitioner by filing statutory appeal along with stay petition,Exts.P4 and P4(a) before the concerned respondent. 2. The grievance of the petitioner is to the effect thatpending disposal of the stay petitions challenging the assessmentorder and rectification order, respondents are seeking to recoverthe amount determined as per the assessment order at Ext.P1.Learned counsel for the petitioner therefore prays for stay ofrecovery till disposal of the statutory appeals. 3. Learned Standing Counsel appearing for respondentssubmits that the recovery of the amount determined under the W.P.(C) No.8113/2021 assessment order cannot be stayed till disposal of the appeals butthe recovery proceedings may be deferred till disposal of the staypetitions and the concerned authority be directed to dispose of thestay petitions either in two or three months. 4. In this view of the matter, as the statutory appeals alongwith stay petitions are pending before the appellate authority, thiswrit petition is disposed of with the following directions: The respondents shall decide the stay petitions at Exts.P2(a) and P4(a) in appeals challenging the assessment order andrectification order within a period of three months from the date ofcommunication of this judgment by the petitioner. Till disposal ofthe stay petitions, respondents are directed to defer the recoveryproceedings commenced pursuant to the assessment order atExt.P1. The petitioner to supply copy of this judgment to theconcerned respondent for compliance. Sd/- A.M.BADAR JUDGE smp APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1TRUE COPY OF ASSESSMENT ORDER DATED 7.12.2016 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME.7.12.2016 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME. EXHIBIT P2TRUE COPY OF THE MEMORANDUM OF APPEAL DATED3.1.2017 FILED BY THE PETITIONER BEFORE THE2ND RESPONDENT FOR AY-2014-15.3.1.2017 FILED BY THE PETITIONER BEFORE THE2ND RESPONDENT FOR AY-2014-15. EXHIBIT P2(a)TRUE COPY OF THE PETITION FOR STAY DATED 3.1.2017 FILED BY THE PETITIONER FOR AY-2014-15 BEFORE THE 2ND RESPONDENT.3.1.2017 FILED BY THE PETITIONER FOR AY-2014-15 BEFORE THE 2ND RESPONDENT. EXHIBIT P3TRUE COPY OF THE RECTIFICATION ORDER DATED 30.1.2020 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME.30.1.2020 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME. EXHIBIT P2TRUE COPY OF THE MEMORANDUM OF APPEAL DATED3.1.2017 FILED BY THE PETITIONER BEFORE THE2ND RESPONDENT FOR AY-2014-15.3.1.2017 FILED BY THE PETITIONER BEFORE THE2ND RESPONDENT FOR AY-2014-15. EXHIBIT P2(a)TRUE COPY OF THE PETITION FOR STAY DATED 3.1.2017 FILED BY THE PETITIONER FOR AY-2014-15 BEFORE THE 2ND RESPONDENT.3.1.2017 FILED BY THE PETITIONER FOR AY-2014-15 BEFORE THE 2ND RESPONDENT. EXHIBIT P3TRUE COPY OF THE RECTIFICATION ORDER DATED 30.1.2020 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME.30.1.2020 PASSED BY THE 1ST RESPONDENT ALONG WITH DEMAND NOTICE AND COMPUTATION OFINCOME. EXHIBIT P4TRUE COPY OF THE MEMORANDUM OF APPEAL DATED19.10.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY-2014-15.19.10.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY-2014-15. EXHIBIT P4(a)TRUE COPY OF THE PETITION FOR STAY DATED 19.10.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT.19.10.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT.EXHIBIT P5TRUE COPY OF THE JUDGMENT DATED 1.7.2019 INW.A.NO.1536 OF 2019 OF THIS HON'BLE COURT.W.A.NO.1536 OF 2019 OF THIS HON'BLE COURT.RESPONDENTS' EXHIBITS: NIL. True Copy P.S to Judge smp