THE AKATHETHARA SERVICE CO-OPERATIVE BANK LTD, vs. THE INCOME TAX OFFICER

WP(C)/8150/2020HC KeralaKLHC01021110202017 March 2020Author: HONOURABLE MR. JUSTICE AMIT RAWAL4 pages

AI SummaryRemanded

What did the High Court hold?

The High Court, without expressing any opinion on the merits of the case, disposed of the writ petition with a direction to the ITAT (3rd respondent) to consider the interim application (Ext.P4) filed along with the appeal in accordance with law. This consideration must be after affording an opportunity of hearing to the petitioner, within 30 days from the receipt of a copy of the order. The Court ordered that the operation of the garnishee notice (Ext.P5) be kept in abeyance until the disposal of the interim application. It was clarified that the interim stay granted is only until the disposal of the interim application and not beyond.

What were the facts?

The petitioner, The Akatethara Service Co-operative Bank Ltd, filed a writ petition before the High Court of Kerala seeking a direction to the Income Tax Appellate Tribunal (ITAT) to consider its stay petition (Ext.P4) filed along with an appeal (Ext.P3). The appeal was against assessment orders (Ext.P1) and the order of the Commissioner of Income Tax (Appeals) (Ext.P2). The petitioner stated that the appeal and stay application were filed on March 9, 2020, and subsequently, a garnishee notice (Ext.P5) was received. The petitioner approached the High Court due to these circumstances. The Income Tax Officer and Commissioner of Income Tax (Appeals) were respondents, along with the ITAT and Kerala State Co-operative Bank.

What were the issues?

1. Whether the ITAT should be directed to consider the interim stay petition filed along with the appeal? (Question of procedure/mixed law and fact) The petitioner argued that they had filed an appeal and a stay petition on March 9, 2020, and subsequently received a garnishee notice, necessitating the High Court's intervention to direct the ITAT to consider the stay application. The revenue, represented by the Government Pleader, contended that the ITAT would consider interim applications but appeals are taken up on a seniority basis.

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 AMIT RAWAL TUESDAY, THE 17TH DAY OF MARCH 2020 / 27TH PHALGUNA, 1941 WP(C).No.8150 OF 2020(P) PETITIONER/S: THE AKATHETHARA SERVICE CO-OPERATIVE BANK LTD, F-1514, AKATHETHARA POST, PALAKKAD 678 008, REPRESENTED BY ITS SECRETARY, SUBHA PRABHAKARA VARMA P, AGED 53, D/O. V.K PRABHAKARA VARMA BY ADVS. SRI.HARISANKAR V. MENON SMT.MEERA V.MENON RESPONDENT/S: 1 THE INCOME TAX OFFICER WARD 2, PALAKKAD 678 001 2 THE COMMISSIOENR OF INCOME TAX (APPEALS) AYAKAR BHAVAN, THRISSUR 680 001 3 THE INCOME TAX APPELLATE TRIBUNAL, AYAKAR BHAVAN, KAKKANADU, KOCHI 682 030, REPRESENTED BY ITS REGISTRAR. 4 THE KERALA STATE CO-OEPRATIVE BANK, ERSTWHILE PALAKKAD DISTRICT CO-OPERATIVE BANK, TOWN BUS STAND ROAD, PALAKKAD 678 014, REPRESENTED BY ITS MANAGER. R4 BY ADV. SRI.M.SASINDRAN OTHER PRESENT: SRI JOSE JOSEPH SC SRI M SASINDRAN SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 17.03.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.8150 OF 2020(P) 2

JUDGMENT The petitioner has approached this Court seeking directions to the Income Tax Appellate Tribunal to consider Ext.P4 stay petition preferred along with the appeal, Ext.P3 against the orders of the assessment Ext.P1 and the first appellate court ie., the Commissioner of Income Tax (Appeals) Ext.P2. 2. The learned counsel appearing on behalf of the petitioner submits that the appeal and stay application have been filed on 9th March 2020. However, post thereto received a garnishee notice Ext.P5. In these circumstances, the petitioner has approached this Court.

The learned Government Pleader submits that the Tribunal would not have any difficulty in taking up the interim application but the appeals are being taken up on seniority basis.

I have heard the learned counsel for the parties and appraised the paper book.

Without expressing any opinion on the merits of the WP(C).No.8150 OF 2020(P) 3 matter, I dispose of the writ petition with a direction to the 3rd respondent to consider Ext.P4 interim application preferred along with the appeal in accordance with law, after affording an opportunity of hearing to the petitioner within a period of 30 days from the date of receipt of a copy of the order. Till such time, the operation of garnishee notice, Ext.P5 is ordered to be kept in abeyance. It is made clear that the interim stay is till the disposal of the interim application and not beyond. AMIT RAWAL sab JUDGE

WP(C).No.8150 OF 2020(P) 4

Appendix — schedule of exhibits

APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 COPY OF ASSESSMENT ORDER ISSUED BY THE 1ST RESPONDENT FOR THE YEAR 2016-17 EXHIBIT P2 COPY OF APPELLATE ORDER ISSUED BY THE 1ST RESPONDENT THE 1ST RESPONDENT FOR THE YEAR 2016-17 EXHIBIT P3 COPY OF APPEAL FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT 2016-17 EXHIBIT P4 COPY OF STAY PETITION FILED BY THE PETITIONER BEFORE THE 3RD RESPONDENT. EXHIBIT P5 COPY OF NOTICE ISSUED BY THE 1ST RESPONDENT.

Recent GST High Court judgments

Search GST case law →