IN HIGH COURT OF KERALA AT ERNAKULAM PRESENT HONOURABLE MR.JUSTICE V.G.ARUN FRIDAY, 13TH DAY OF MARCH 2020 / 23RD PHALGUNA, 1941 WP(C).No.7903 OF 2020(K) PETITIONER/S: CHOVVA CO-OPERATIVE RURAL BANK LTD. CHOVVA.P.O, KANNUR-670006, REPRESENTED BY ITS SECRETARY IN-CHARGE MAHEENDRAN K BY ADVS. SRI.S.ARUN RAJ SMT.C.T.SUJA SRI.ARJUN S.RAJ RESPONDENT/S: 1 INCOME TAX OFFICER WARD-1 AND TPS, AAYAKAR BHAVAN, KANNUR-670006 2 COMMISSIOINER OF INCOME TAX(APPEALS) OFFICE OF COMMISSIONER OF INCOME TAX (APPEALS), NORTH BLOCK, MANACHIRA, KOZHIKODE- 673001 OTHER PRESENT: SC CHRISTOPHER ABRAHAM THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13.03.2020, COURT ON SAME DAY DELIVERED FOLLOWING: V.G.ARUN, J. W.P(C).No. 7903 of 2020 Dated this 13th day of March, 2020 JUDGMENT Aggrieved by Exhibits P1, P2 and P3 assessment orders for years 2013-2014, 2014-2015 and 2016-2017, petitioner has preferred Exhibits P4, P5 and P6 appeals. petitioner had also preferred Exhibits P7, P8 and P9 stay petitions, which have been disposed of under Exhibit P10 order, directing petitioner to remit 20% of tax assessed, within time limit prescribed therein. prayer in writ petition is for expeditious consideration of appeals filed by petitioner and to defer recovery proceedings based on assessment orders, as also demand of 20% made under Exhibit P10. 2. Heard learned Standing Counsel for Income-Tax Department also. 3. question as to whether Primary Agricultural Credit Societies seeking exemption under Section 80P of Income Tax Act could be compelled to remit percentage of tax assessed had come up for consideration before this Court in W.A.No.1536 of WP(C).7903/2020 3 2019 and connected cases. Division Bench referred to Full Bench decision in Mavilayi Service Co-operative Bank Ltd. v. Commissioner of Income Tax, Calicut [2020 (2) KHC 2871] and held insistence to be bad. In light of Division Bench judgment, there cannot be any insistence for payment of portion of tax assessed, as has been done under Exhibit P10. Therefore, Exhibit P10 is quashed. 2 nd respondent is directed to consider and pass orders on Exhibits P4, P5 and P6 appeals as expeditiously as possible. Till orders are passed on appeals, recovery based on Exhibits P1, P2 and P3 assessment orders shall be kept in abeyance. writ petition is disposed of as above. Sd/- V.G.ARUN, JUDGE vgs16.3 WP(C).7903/2020 4 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF ASSESSMENT ORDER DATED 29.03.2016 PASSED BY 1ST RESPONDENT AND DEMAND NOTICE FOR AY 2013-14 EXHIBIT P2 TRUE COPY OF ASSESSMENT ORDER DATED 19.12.2016 PASSED BY 1ST RESPONDENT AND DEMAND NOTICE FOR AY 2014-15 EXHIBIT P3 TRUE COPY OF ASSESSMENT ORDER DATED 18.12.2018 PASSED BY 1ST RESPONDENT AND DEMAND NOTICE FOR AY 2016-17 EXHIBIT P4 TRUE COPY OF STATUTORY FIRST APPEAL FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2013-14 EXHIBIT P5 TRUE COPY OF STATUTORY FIRST APPEAL FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2014-15 EXHIBIT P6 TRUE COPY OF STATUTORY FIRST APPEAL FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2016-17 EXHIBIT P7 TRUE COPY OF STAY PETITION FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2013-14 EXHIBIT P8 TRUE COPY OF STAY PETITION FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2014-15 EXHIBIT P9 TRUE COPY OF STAY PETITION FILED BY PETITIONER SOCIETY BEFORE SECOND RESPONDENT FOR AY 2016-17 EXHIBIT P10 TRUE COPY OF ORDER DATED 25.2.2020 PASSED BY 2ND RESPONDENT DISPOSING STAY PETITIONS Chovva Co-Operative Rural Bank Ltd. v. Income-tax Officer, Ward-1 And TPS, Kannur/The Commissioiner of Income-tax (Appeals), Kozhikode