FCI OEN CONNECTORS LTD vs. THE ADDITIONAL/JOINT/DEPUTY/ASSISTANT COMMISSIONER OF INCOME TAX

Aggrieved by the assessment order issued against the petitioner for the assessment year 2018-19, an appeal has been preferred by the petitioner before the 3rd respondent. During the pendency of the said appeal, the Assessing Officer directed the petitioner to deposit 20% of the disputed demand for stay of recovery of the balance tax, allegedly due from the petitioner.

The grievance of the petitioner raised in this writ petition arises from a difficulty to move a stay petition before the Faceless Assessment Centre. Absence of a link to upload the stay petition stares at the petitioner to attempt for an interim relief during the pendency of the appeal. Despite filing Ext.P12 stay petition before the 4th respondent, the same cannot be considered by the appellate authority, competent to consider the said stay petition under the present Faceless Appeal regime.

This court had already observed in WPC No. 26935/2021 that, denial of an opportunity to file a stay petition in a pending appeal, due to the absence of a link for the assessee to upload such petitions causes prejudice. The right to seek a stay of the impugned order or recovery proceedings pending the appeal is a part of the vested right of appeal. The right to prefer an appeal will not be complete, if there is no opportunity to try for obtaining a stay pending appeal. Circumstances will be myriad, if such WP(C) NO. 3225 OF 2022 5 an opportunity is not granted to a litigant.

Since the petitioner has already preferred Ext. P12 stay petition before the 4th respondent, I am of the view that this writ petition can be disposed of enabling the stay petition to be considered in the following manner; i. The 4th respondent shall transmit Ext.P12 stay petition to the 3rd respondent within a period of one month from the date of receipt of a copy of this judgment. ii. Thereafter, on receipt of the stay petition, the 3rd respondent shall consider the application for stay filed by the petitioner, as expeditiously as possible, at any rate, within a period of two months from the date of receipt of the stay petition transmitted from the 4th respondent. iii. Till a decision is taken all coercive proceedings against the petitioner pursuant to Ext.P3 assessment order shall be kept in abeyance.

I clarify that the stay petition in Ext.P12 shall be disposed of within an outer limit of two months from the WP(C) NO. 3225 OF 2022 6 date of receipt of a copy of this judgment. The remaining questions raised by the petitioner in the writ petition are left open for consideration at the appropriate time. The writ petition is disposed of. BECHU KURIAN THOMAS