Wp(C)/8796/2020 Of The Asthmichira Service Co-Operative Bank Ltd v. The Commissioner Of Income Tax(Appeals0

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE BECHU KURIAN THOMASTUESDAY, THE 28 DAY OF APRIL, 2020/8TH VAISAKHA, 1942W.P(C) NO.8796 OF 2020 PETITIONER: THE ASTHMICHIRA SERVICE CO-OPERATIVE BANK LTD.NO.325, ASTHAMICHIRA PO, ASHTAMICHIRA, THRISSUR DIST., REP. BY ITS SECRETARY BY ADV. SRI. O.D.SIVADAS RESPONDENTS: 1.THE COMMISSIONER OF INCOME TAX (APPEALS) AYAKAR BHAVAN,SHKTAN NAGAR THRISSUR – 680 001 2. THE INCOME TAX OFFICER, WARD 2(1) SHAKTAN NAGAR, THRISSUR – 680 001 BY SRI.JOSE JOSEPH, SC THIS WRIT PETITION HAVING COME UP FOR ADMISSION ON28.04.2020, THE COURT ON THE SAME DAY DELIVERED THEFOLLOWING: 2 JUDGMENT I have heard the counsel for the petitioner through video conferencing. Ihave also heard the standing counsel for income tax who has taken notice on behalfof respondents. In the facts and circumstances of the case, I deem it fit that thiswrit petition be disposed of. 2. Petitioner is an income tax assessee and the issue relates to the assessment year 2017-18. By Ext. P1, the 1[st] respondent disallowedpetitioner’s claim for deduction under Section 80P of the Income Tax Actand demanded an amount of Rs.73,59,746/- as tax. 3. Challenging the said assessment, petitioner has preferred Ext.P2 appeal contending that the reason for disallowing petitioner’s claim fordeduction under section 80P is not tenable. While the appeal is pending,the respondents have initiated recovery proceedings to recover the taxallegedly due. 4. I find force in the contention of the counsel for the petitionerthat if the respondents proceed with coercive steps pending considerationof the statutory appeal, the same will be rendered redundant and petitionerwill be put to severe difficulties. 3 W.P.(C) No. 8796/2020 In such circumstances, I dispose of the writ petition by directing therespondents not to proceed with any coercive steps against the petitionerpending disposal of Ext.P2 appeal. I also direct the 1st respondent toconsider and dispose of Ext. P2 appeal within a period of 6 months withoutinsisting on payment of 10% of the tax demanded. Sd/- csl BECHU KURIAN THOMAS, JUDGE 4 APPENDIX PETITIONERS EXTS: EXT. P1:COPY OF THE ASSESSMENT ORDER DTD. 23.12.2018 ISSUED BYTHE 2 RESPONDENT FOR THE PERIOD 2016-17 EXT.P2COPY OF THE APPEAL FILED BY THE PETITIONER BEFORE THE 1 RESPONDENT FOR THE PERIOD 2016-17 DTD 25.01.2019