AVITIS SUPER SPECIALITY HOSPITALS (P) LTD., vs. THE ADDITIONAL/ JOINT/ DEPUTY/ ASSISTANT COMMISSIONER OF INCOME TAX

WP(C)/10165/2022HC KeralaKLHC01021458202224 March 2022Author: HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS4 pages

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What did the High Court hold?

The High Court of Kerala, while considering the writ petition, directed the 3rd respondent, the Commissioner of Income Tax (Appeals), to consider and pass orders on the stay petition (Ext.P3) within a period of two months from the date of receipt of a copy of the judgment. The Court further ordered that all coercive proceedings against the petitioner shall be kept in abeyance until a decision is taken on the stay petition. The writ petition was disposed of with these directions. No specific finding was made on the merits of the assessment order or the appeal itself, as the focus was on the procedural aspect of the stay petition.

What were the facts?

The petitioner, Avitis Super Speciality Hospitals (P) Ltd., is aggrieved by an assessment order for the assessment year 2018-2019, marked as Ext.P1. The petitioner has filed an appeal before the 3rd respondent, the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, New Delhi, as Ext.P2. Concurrently, a petition for stay of proceedings arising from the assessment order has been filed as Ext.P3. The petitioner apprehends coercive recovery actions before the stay petition is adjudicated. Consequently, the petitioner has filed this writ petition seeking intervention. The respondents include various Income Tax authorities at the national and local levels.

What were the issues?

1. Whether the petitioner is entitled to have coercive proceedings stayed pending the disposal of their stay petition before the Commissioner of Income Tax (Appeals)? The petitioner argued that they have filed an appeal and a stay petition and apprehend coercive action before the stay petition is considered. They seek a direction to prevent such action. The revenue did not record any specific arguments in the judgment regarding the stay petition or coercive proceedings.

AI-generated summary — verify with the full judgment below

Cause title — parties, addresses and appearances

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS THURSDAY, THE 24TH DAY OF MARCH 2022 / 3RD CHAITHRA, 1944 WP(C) NO. 10165 OF 2022 PETITIONER: AVITIS SUPER SPECIALITY HOSPITALS (P) LTD., FLAT NO.401, BLUE LAGOON APARTMENTS, WATER LAND ROAD, KADAVANTHRA., KOCHI-682 020, REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER, MR.DEEPAK NAIR RAMAKRISHNAN. BY ADVS. V.ABRAHAM MARKOS ABRAHAM JOSEPH MARKOS ISAAC THOMAS P.G.CHANDAPILLAI ABRAHAM ALEXANDER JOSEPH MARKOS SHARAD JOSEPH KODANTHARA RESPONDENTS: 1 THE ADDITIONAL/ JOINT/ DEPUTY/ ASSISTANT COMMISSIONER OF INCOME TAX INCOME TAX OFFICER, NATIONAL FACELESS ASSESSMENT CENTRE, NEW DELHI-110 001. 2 THE INCOME TAX OFFICER, WARD 1 & TPS, AAYAKAR BHAVAN, PALAKKAD-678 010. 3 THE COMMISSIONER OF INCOME TAX (APPEALS), NATIONAL FACELESS APPEAL CENTRE, NEW DELHI-110 001. 4 THE PRINCIPAL COMMISSIONER OF INCOME TAX, AAYAKAR BHAVAN, NORTH BLOCK, NEW ANNEXE BUILDING, MANANCHIRA, KOZHIKODE-673 001. 5 THE PRINCIPAL CHIEF COMMISSIONER OF INCOME TAX NATIONAL E-ASSESSMENT CENTRE, NEW DELHI-110 001. OTHER PRESENT: ADV.JOSE JOSEPH SC FOR I.T. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 24.03.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P.(C) No.10165 of 2022 -:2:- BECHU KURIAN THOMAS, J. ----------------------------------------- W.P.(C) No.10165 of 2022 ---------------------------------------- Dated this the 24th day of March, 2022

JUDGMENT Aggrieved by Ext.P1 order of assessment relating to assessment year 2018-2019, petitioner has preferred an appeal before the 3rd respondent, a copy of which is produced as Ext.P2. A petition for stay of proceedings pursuant to the assessment order has also been filed as Ext.P3. Petitioner apprehends coercive proceedings to be effected even before the petition for stay is considered.

Hence this writ petition.

Having considered the submissions of the counsel for the petitioner as well as the respondents, I am of the opinion that this writ petition itself can be disposed of with a direction.

Accordingly, there will be a direction to the 3rd respondent to consider and pass orders on Ext.P3 stay petition, within a period of two months from the date of receipt of a copy of this judgment. Till such a decision is taken, all coercive proceedings shall be kept in abeyance. The writ petition is disposed of as above. BECHU KURIAN THOMAS JUDGE AJM

Appendix — schedule of exhibits

APPENDIX OF WP(C) 10165/2022 PETITIONER’S EXHIBITS : Exhibit P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 13.09.2021 TOGETHER WITH DEMAND NOTICE PASSED BY THE 1ST RESPONDENT. Exhibit P2 TRUE COPY OF THE APPEAL DATED 05.10.2021 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT ALONG WITH ACKNOWLEDGEMENT OF RECEIPT OF APPEAL. Exhibit P3 TRUE COPY OF THE STAY PETITION DATED 05.10.2021 FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT. Exhibit P4 TRUE COPY OF THE APPLICATION DATED 06.10.2021 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT UNDER SECTION 220(6) OF THE INCOME TAX ACT, 1961. Exhibit P5 TRUE COPY OF THE ORDER DATED 11.10.2021 OF THE 2ND RESPONDENT. Exhibit P6 TRUE COPY OF THE ORDER DATED 28.02.2022 OF THE 4TH RESPONDENT. RESPONDENT’S EXHIBITS : NIL AJM //TRUE COPY// PA TO JUDGE

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