M/S.JVJ EDUWAY MARKETING PRIVATE LIMITED, vs. THE ADDITIONAL COMMISIONER OF INCOME TAX,

WP(C)/5387/2022HC KeralaKLHC01011619202217 February 2022Author: HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS4 pages

AI SummaryPartly Allowed

What did the High Court hold?

The High Court directed the 2nd respondent (Commissioner of Income Tax (Appeals), National Faceless Appeal Centre) to provide a link to the petitioner to upload their stay petition within three weeks of receiving a copy of the judgment. If the petitioner uploads the stay petition within two weeks thereafter, the 2nd respondent is to consider and pass appropriate orders on it within six weeks. The Appellate Authority was also given liberty to consider prioritizing the disposal of the appeal. Coercive proceedings pursuant to the assessment order (Ext.P1) were to be kept in abeyance until orders were passed on the stay petition. The petitioner was also granted an opportunity of hearing before the disposal of the stay petition. The Court did not decide on the merits of the assessment order or the appeal itself, focusing solely on the procedural aspect of filing the stay petition.

What were the facts?

The petitioner, M/s. JVJ Eduway Marketing Private Limited, is challenging an assessment order under Section 143(3) of the Income Tax Act, 1961, for the assessment year 2018-19. The petitioner had filed an appeal before the 2nd respondent, the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre. However, the petitioner confined its contentions in the present writ petition to seeking a time-bound disposal of the appeal. Due to the inability to upload a stay petition before the National Faceless Appeal Centre, the petitioner had submitted a physical stay petition to the 4th respondent. The petitioner sought a direction for the creation of a link to upload the stay petition.

What were the issues?

1. Whether the petitioner is entitled to a direction for the creation of a link to upload a stay petition before the National Faceless Appeal Centre, given the inability to do so electronically, as per the Income Tax Act, 1961 and relevant procedural rules. Assessee's contentions: The petitioner argued that they had filed a physical stay petition (Ext.P5) before the 4th respondent due to the absence of a functional link to upload such petitions to the National Faceless Appeal Centre. They contended that they are entitled to the same relief as granted in other similar matters where this Court directed the creation of such a link. Revenue's contentions: The judgment does not record any specific contentions from the revenue.

Which sections of the Income-tax Act were involved?

Section 143(3)

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 17TH DAY OF FEBRUARY 2022 / 28TH MAGHA, 1943 WP(C) NO. 5387 OF 2022 PETITIONER : M/S.JVJ EDUWAY MARKETING PRIVATE LIMITED, X/42K, ST.MARY'S BUILDING, VALLICHIRA P.O., PALA, KOTTAYAM-686 574, REPRESENTED BY ITS MANAGING DIRECTOR MR.JOBY MICHAEL. BY ADVS. S.K.DEVI SHANMUGHAM D. JAYAN RESPONDENTS : 1 THE ADDITIONAL COMMISSIONER OF INCOME TAX, THE NATIONAL FACELESS ASSESSMENT CENTRE, DELHI-110 003. 2 THE COMMISSIONER OF INCOME TAX (APPEALS), NATIONAL FACELESS APPEAL CENTRE, DELHI-110 002. 3 THE INCOME TAX DEPARTMENT, OFFICE OF THE INCOME TAX OFFICER, WARD 1, KOTTAYAM-686 001, REPRESENTED BY ITS INCOME TAX OFFICER. 4 THE COMMISSIONER OF INCOME TAX (APPEALS), AAYANKAR BHAVAN, SASTRI ROAD, KOTTAYAM-686 002. SRI.JOSE JOSEPH, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 17.02.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C) NO. 5387 OF 2022 2 BECHU KURIAN THOMAS, J. =-=-=-=-=-=-=-=-=-=-=-=-=-= W.P.(C) No.5387 of 2022 =-=-=-=-=-=-=-=-=-=-=-=-=-= Dated this the 17th day of February, 2022

JUDGMENT Challenging an order of assessment under Section 143(3) of the Income Tax Act, 1961 for the assessment year 2018-19, petitioner had preferred an appeal before the 2nd respondent. Though petitioner has challenged the assessment order in this writ petition, petitioner confined its contentions to a disposal of the appeal in a time bound manner. Since this Court was disinclined to direct the appeal to be disposed of early, the learned counsel confined his submission to an opportunity to seek a stay of the assessment order.

According to the learned counsel, petitioner has preferred a stay petition as Ext.P5 before the 4th respondent since there is no link available to upload a stay petition before the National Faceless Appeal Centre during the pendency of an appeal.

In few other matters, this Court had directed the National Faceless Appeal Centre to create a link to enable the WP(C) NO. 5387 OF 2022 3 petitioners in such cases to upload their applications for stay during the pendency of the appeal. Undoubtedly petitioner is also entitled to similar reliefs.

Accordingly, there will be a direction to the 2nd respondent to provide a link to the petitioner to upload the stay petition in the pending appeal within a period of three weeks from the date of receipt of a copy of this judgment and if such a stay petition is uploaded by the petitioner within two weeks thereafter, the 2nd respondent shall consider the same and pass appropriate orders on the stay petition within six weeks thereafter. The Appellate Authority shall also be at liberty to consider whether the appeal is required to be disposed of by giving any priority. The coercive proceedings pursuant to Ext.P1 against the petitioner shall be kept in abeyance till orders are passed by the 2nd respondent on the stay petition to be uploaded by the petitioner. Needless to mention it is also directed that petitioner be granted an opportunity of hearing before the stay petition is disposed of. The writ petition is disposed of as above. BECHU KURIAN THOMAS, JUDGE RKM

WP(C) NO. 5387 OF 2022 4

Appendix — schedule of exhibits

APPENDIX PETITIONER'S EXHIBITS : P1 : COPY OF THE ASSESSMENT ORDER DATED 25.09.2021 P2 : COPY OF THE NOTICE DATED 26.04.2021 ISSUED BY THE 1ST RESPONDENT. P2(a) : COPY OF THE NOTICE DATED 03.09.2021 ISSUED BY THE 1ST RESPONDENT. P2(b) : COPY OF THE NOTICE DATED 08.09.2021 ISSUED BY THE 1ST RESPONDENT. P2(c) : COPY OF THE NOTICE DATED 20.09.2021 ISSUED BY THE 1ST RESPONDENT. P3 : COPY OF THE APPEAL DATED 25TH OCTOBER 2021 WITH ACKNOWLEDGMENT RECEIPT P4 : COPY OF THE NOTICE DATED 15.12.2021 ISSUED BY THE 3RD RESPONDENT. P5 : COPY OF THE STAY PETITION DATED NIL FILED BY THE PETITIONER.

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