THE GENERAL INSURANCE EMPLOYEES CO-OPERATIVE SOCIETY LTD vs. INCOME TAX OFFICER

PDF · subscribers
WP(C)/43502/2023HC KeralaKLHC01096982202322 December 2023Author: HONOURABLE MR. JUSTICE D. K. SINGH4 pages
AI SummaryPartly Allowed

What did the High Court hold?

The High Court declined to issue a writ of mandamus directing the respondents to refrain from recovery proceedings. The Court stated that it would not exercise parallel jurisdiction with the appellate authority. However, the Court directed the 3rd respondent, the CIT (Appeals), to consider and pass appropriate orders on the petitioner's stay applications (Exhibit P-5 and P-6) expeditiously, preferably within a period of two months. For a period of two months from the date of the order, the demand of tax pursuant to the assessment orders (Exhibit P-1 and P-3) shall not be enforced. The issue of the merits of the appeals themselves was not decided by the High Court, as the petition was disposed of on procedural grounds related to the stay applications.

What were the facts?

The petitioner, The General Insurance Employees Co-operative Society Ltd, filed a writ petition before the High Court of Kerala. The petition challenged assessment orders for Assessment Years (AY) 2017-18 and 2018-19, referred to as Exhibit P-1 and P-3. The petitioner had filed statutory appeals against these assessment orders before the 3rd respondent, the CIT (Appeals), National Faceless Appeal Centre. Subsequently, stay petitions (Exhibit P-5 and P-6) were filed before the CIT (Appeals) to stay the demand arising from the assessment orders. The writ petition sought a direction for expeditious disposal of these appeals and stay petitions, and also prayed for a direction to the respondents not to take recovery proceedings pending the disposal of the appeals.

What were the issues?

1. Whether the High Court should issue a writ of mandamus directing the CIT (Appeals) to pass orders on the petitioner's appeals and stay petitions expeditiously for AY 2017-18 and 2018-19? The petitioner argued for expeditious disposal of their statutory appeals and stay applications pending before the appellate authority. 2. Whether the High Court should issue a writ of mandamus directing the respondents (Income Tax Department) not to take recovery proceedings based on the assessment orders for AY 2017-18 and 2018-19 pending final disposal of the appeals and stay petitions? The petitioner contended that recovery proceedings should be stayed pending the outcome of their appeals and stay applications before the CIT (Appeals). The revenue did not record any specific arguments in the judgment.

AI-generated summary — verify with the full judgment below

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH FRIDAY, THE 22ND DAY OF DECEMBER 2023 / 1ST POUSHA, 1945 WP(C) NO. 43502 OF 2023 PETITIONER/S: THE GENERAL INSURANCE EMPLOYEES CO-OPERATIVE SOCIETY LTD 2ND FLOOR, SITARAM COMPLEX, CHITTOR ROAD, KACHERIPADY, ERNAKULAM, COCHIN REPRESENTED BY ITS PRESIDENT SASEENDRAN NAIR V N, PIN - 682018 BY ADV S.ARUN RAJ RESPONDENT/S: 1 INCOME TAX OFFICER NON- CORPORATE WARD-1(5), CENTRAL REVENUE BUILDING, IS PRESS ROAD, KOCHI, PIN - 682018 2 ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX/ INCOME TAX OFFICER, NATIONAL E-ASSESSMENT CENTRE, INCOME TAX DEPARTMENT, 2ND FLOOR, E- RAMP, JAWAHARLAL NEHRU STADIUM, NEW DELHI, PIN - 110003 3 COMMISSIONER OF INCOME TAX (APPEALS) NATIONAL FACELESS APPEAL CENTRE, NORTH BLOCK, NEW DELHI, PIN - 110001 THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 22.12.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

WP(C) NO. 43502 OF 2023 2 JUDGMENT Dated this the 22nd day of December, 2023 The present writ petition has been filed with the following prayers :- “i) To issue a writ of mandamus directing the 3rd respondent, CIT (Appeals) to pass orders on Exhibit P-2 and P-4 appeals or Exhibit P-5 and P-6 stay petitions filed by the petitioner for the AY 2017-18 and 2018-19 respectively as expeditiously as possible within a time limit that may be fixed by this Honourable Court; ii) To issue a writ of mandamus directing the respondents/income tax department not to take recovery proceedings based on Exhibit P-1 and P-3 assessment orders for the AY’s 2017-18 and 2018-19 respectively pending final disposal of the statutory first appeals or the stay petitions pending before the 3rd respondent.” 2.Against the assessment orders in Exts.P1 and P3, the petitioner has filed appeals in respect of assessment years 2017- 2018 and 2018-2019. 3.The appeals are pending for considering before the 3rd respondent. The petitioner has also thereafter moved the application in Exts.P5 and P6, staying the demand pursuance to the assessment orders in Exts.P1 and P3. 4. The petitioner has approached this court in this writ petition for expeditious disposal of stay applications and also for the writ of mandamus directing the respondents not to take any measures for realization of the tax amount in Ext.P1, as per the WP(C) NO. 43502 OF 2023 3 proceedings based on Exts.P1 and P3 assessment orders. This court finds no ground to direct the respondents to keep their hands off, in realizing the assessed amount, as this court would not like to exercise the parallel juri iction with the appellate authority. However, the present writ petition is disposed of, by directing the 3rd respondent to consider and pass appropriate orders on the stay application of the petitioner in Exts.P5 and P6, expeditious preferably within a period of two months. For a period of two months demand of tax in pursuance to Exts.P1 and P3 orders shall not be enforced. The writ petition is disposed of as above. DINESH KUMAR SINGH JUDGE SJ

WP(C) NO. 43502 OF 2023 4

Appendix — schedule of exhibits
APPENDIX OF WP(C) 43502/2023 PETITIONER EXHIBITS Exhibit P-1 TRUE COPY OF THE ASSESSMENT ORDER DATED 29- 12-2019 U/S 143(3) PASSED BY THE 1ST RESPONDENT FOR THE AY 2017-18 Exhibit P-2 TRUE COPY OF THE FIRST APPEAL DATED 29.01.2020 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT, FIRST APPELLATE AUTHORITY FOR THE AY 2017-18 Exhibit P-3 TRUE COPY OF THE ASSESSMENT ORDER DATED 10-2- 2021 U/S 143(3) R.W.S 143 (3A) & 143 (3B) OF THE ACT PASSED BY THE 2ND RESPONDENT FOR THE AY 2018-19 Exhibit P-4 TRUE COPY OF THE FIRST APPEAL DATED 2-3-2021 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT, FIRST APPELLATE AUTHORITY FOR THE AY 2018-19 Exhibit P-5 TRUE COPY OF THE STAY PETITION DATED 6-11- 2023 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT FOR THE AY 2017-18 Exhibit P-6 TRUE COPY OF THE STAY PETITION DATED 6-11- 2023 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT FOR THE AY 2018-19

Latest GST High Court judgments

Search GST case law →