Varappuzha Service Co-Operative Bank Limited v. The Income-tax Officer Ward 3, Aluva / The Commissioner of Income-tax (Appeals)-II, Kochi
[Citation -2019-LL-0930-50]

Citation 2019-LL-0930-50
Appellant Name Varappuzha Service Co-Operative Bank Limited
Respondent Name The Income-tax Officer Ward 3, Aluva / The Commissioner of Income-tax (Appeals)-II, Kochi
Court HIGH COURT OF KERALA AT ERNAKULAM
Relevant Act Income-tax
Date of Order 30/09/2019
Judgment View Judgment
Keyword Tags stay of recovery • stay petition • demand notice
Bot Summary: The petitioner has preferred Exts.P3, P6 and P9 Appeals along with Exts.P13, P14 and P15 stay petitions before the 2 nd respondent. The limited prayer of the petitioner is for a direction to the 2 nd respondent to consider and pass orders on Appeals and to keep in abeyance the recovery of amounts confirmed against the petitioner by Exts.P1, P4 and P7 assessment orders in the meanwhile. Heard Sri.C.A.Jojo, the learned counsel for the petitioner and Sri.Jose Joseph, the learned Standing Counsel for the Income Tax Authorities. On a consideration of the facts and circumstances of the case and the submissions made across the Bar, I find from a perusal of the Appeal Memorandum that the issue raised in the Appeals pertains to the disallowance of the deduction under Section 80P of the Income Tax Act. Following the said decision of the Full Bench, a Division Bench has taken a stand that in pending Appeals before the First Appellate Authority, the assessee, whose tax demand in the assessment orders arises from a disallowance of the deduction under Section 80P of the Income Tax Act, is entitled to a stay of recovery proceedings, pending disposal of the Appeals. It is made clear that till such time as orders are passed by the 2 nd respondent in the Appeals as directed above, and the order communicated to the assessee, further proceedings for recovery of the amounts confirmed against the petitioner by Exts.P1, P4 and P7 shall be kept in abeyance. The petitioner shall produce a copy of the Writ Petition and the judgment before the 2nd respondent for further action.


IN HIGH COURT OF KERALA AT ERNAKULAM PRESENT HONOURABLE MR. JUSTICE A.K.JAYASANKARAN NAMBIAR MONDAY, 30TH DAY OF SEPTEMBER 2019 8TH ASWINA, 1941 WP(C).No.25874 OF 2019(H) PETITIONER: VARAPPUZHA SERVICE CO-OPERATIVE BANK LIMITED NO. 1582, REPRESENTED BY ITS SECRETARY RUXANANA BAI. S, AGED 40 YEARS, W/O. NISHAD, VARAPPUZHA P.O, ERNAKULAM DISTRICT, KOCHI-683517 BY ADVS. SRI.C.A.JOJO SRI.JACOB CHACKO SRI.MATHEWS JOSEPH RESPONDENTS: 1 INCOME TAX OFFICER WARD 3, R S ROAD, ALUVA 683 101. 2 COMMISSIONER OF INCOME TAX (APPEALS)-II, OFFICE OF COMMISSIONER OF INCOME TAX (APPEALS), 1ST FLOOR, POORNIMA, NEAR MANORAMA JN. KOCHI-682 036 OTHER PRESENT: SRI. JOSE JOSEPH, SC INCOME TAX THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30.09.2019, COURT ON SAME DAY DELIVERED FOLLOWING: W.P(C) No.25874/19 :2: JUDGMENT Writ Petition is against Exts.P1, P4 and P7 assessment orders under Income Tax Act. petitioner has preferred Exts.P3, P6 and P9 Appeals along with Exts.P13, P14 and P15 stay petitions before 2 nd respondent. limited prayer of petitioner is for direction to 2 nd respondent to consider and pass orders on Appeals and to keep in abeyance recovery of amounts confirmed against petitioner by Exts.P1, P4 and P7 assessment orders in meanwhile. 2. Heard Sri.C.A.Jojo, learned counsel for petitioner and Sri.Jose Joseph, learned Standing Counsel for Income Tax Authorities. 3. On consideration of facts and circumstances of case and submissions made across Bar, I find from perusal of Appeal Memorandum that issue raised in Appeals pertains to disallowance of deduction under Section 80P of Income Tax Act. Full Bench of this Court has in judgment reported in Mavilayi Service Co-operative Bank Ltd v. Commissioner of Income Tax, Calicut [2019 (2) KHC 287 (F.B.)] decided issue of entitlement of deduction in favour of assessee. Following said decision of Full Bench, Division Bench has taken stand that in pending Appeals before First Appellate Authority, assessee, whose tax demand in assessment orders arises from disallowance of deduction under Section 80P of Income Tax Act, is entitled to stay of recovery proceedings, pending disposal of Appeals. 4. Under such circumstances, I dispose this Writ Petition by directing 2nd respondent to consider and pass orders on Exts.P3, P6 and P9 Appeals W.P(C) No.25874/19 :3: expeditiously and at any rate within outer time limit of six months from date of receipt of copy of this judgment. It is made clear that till such time as orders are passed by 2 nd respondent in Appeals as directed above, and order communicated to assessee, further proceedings for recovery of amounts confirmed against petitioner by Exts.P1, P4 and P7 shall be kept in abeyance. petitioner shall produce copy of Writ Petition and judgment before 2nd respondent for further action. Sd/- A.K.JAYASANKARAN NAMBIAR JUDGE okb //True copy// P.S. to Judge W.P(C) No.25874/19 :4: APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF ASSESSMENT ORDER DATED 01.04.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P2 TRUE COPY OF DEMAND NOTICE DATED 01.04.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P3 TRUE COPY OF APPEAL BEFORE 2ND RESPONDENT DATED 05.07.2017. EXHIBIT P4 TRUE COPY OF ASSESSMENT ORDER DATED 01.03.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P5 TRUE COPY OF DEMAND NOTICE DATED 01.03.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P6 TRUE COPY OF APPEAL FOR AY 2013-14 DATED 01.04.2016 FILED BEFORE 2ND RESPONDENT. EXHIBIT P7 TRUE COPY OF ASSESSMENT ORDER DATED 19.12.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P8 TRUE COPY OF DEMAND NOTICE DATED 19.12.2016 ISSUED BY 1ST RESPONDENT. EXHIBIT P9 TRUE COPY OF APPEAL FOR AY 2014-15 DATD 17.01.2017 FILED BEFORE 2ND RESPONDENT. EXHIBIT P10 TRUE COPY OF NOTICE U/S 22191) DATED 18.09.2019 ISSUED BY 1ST RESPONDENT. EXHIBIT P11 TRUE COPY OF JUDGMENT IN WA NO. 1536/2019 DATED 01.07.2019. EXHIBIT P12 TRUE COPY OF JUDGMENT IN W.P.(C) NO. 24356/2019 DATED 05.09.2019. EXHIBIT P13 TRUE COPY OF STAY PETITION FILED BY W.P(C) No.25874/19 :5: PETITIONER BEFORE 2ND RESPONDENT FOR AY 2012-13 DTD.28.9.19 EXHIBIT P14 TRUE COPY OF STAY PETITION FILED BY PETITIONER BEFORE 2ND RESPONDENT FOR AY 2013-14 DTD.1.4.2016 EXHIBIT P15- TRUE COPY OF STAY PETITION FILED BY PETITIONER BEFORE 2ND RESPONDENT FOR AY 2014-15 DTD.28.9.19 Varappuzha Service Co-Operative Bank Limited v. Income-tax Officer Ward 3, Aluva / Commissioner of Income-tax (Appeals)-II, Kochi
Report Error