SREEVALSOM RESIDENCY vs. THE ASSISTANT COMMISSIONER OF INCOME TAX

WP(C)/5905/2020HC KeralaKLHC01015641202028 February 2020Author: HONOURABLE MR.JUSTICE S.V.BHATTI4 pages

AI SummaryRemanded

What did the High Court hold?

The High Court disposed of the writ petition by directing the Commissioner of Income Tax (Appeals) to consider and dispose of the statutory appeal filed by the petitioner at the earliest. The Court also directed that recovery proceedings and collection of assessed tax be kept in abeyance pending the disposal of the appeal. This decision was based on the Full Bench decision reported in The Mavilayi Service Co-operative Bank Ltd, v. The Commissioner of Income Tax, Calicut [2019 (2) KHC 287] and the admission by the revenue's counsel that the facts were similar to a previously decided Division Bench matter. The ratio decidendi is that where facts are similar to a precedent and the revenue concedes, the appellate authority should dispose of the appeal expeditiously and recovery should be stayed.

What were the facts?

The petitioner, M/s Sreevalsom Residency, represented by its partner, filed a writ petition before the High Court of Kerala. The petitioner sought a direction for the disposal of its statutory appeal pending before the Commissioner of Income Tax (Appeals) - III. The petitioner also sought a stay on recovery proceedings during the pendency of the appeal. The petitioner relied on a Division Bench judgment dated 01.07.2019 in W.A No.1536 of 2019 and connected cases, which directed disposal of appeals and granted stay of recovery. The revenue's counsel admitted that the facts of the present case were substantially similar to those in the cited Division Bench judgment.

What were the issues?

1. Whether the recovery proceedings and collection of assessed tax should be kept in abeyance pending the disposal of the statutory appeal filed by the petitioner? (Question of law) Assessee's Contention: The petitioner argued that based on the Division Bench judgment in W.A. No.1536 of 2019, the recovery proceedings should be stayed during the pendency of the appeal, and the appeal itself should be disposed of expeditiously. Revenue's Contention: The revenue's counsel conceded that the facts of the present case were similar to the facts considered by the Division Bench in the cited judgment and therefore, the same could be followed.

AI-generated summary — verify with the full judgment below

Heard together (2 matters)

WP(C).No.5905 OF 2020

W.A No.1536 of 2019

Read from the judgment's own cause title. This page is filed under one of them.

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE S.V.BHATTI FRIDAY, THE 28TH DAY OF FEBRUARY 2020 / 9TH PHALGUNA, 1941 WP(C).No.5905 OF 2020(K) PETITIONER: M/s SREEVALSOM RESIDENCY, 103A, 103B, 103C, MC ROAD, KALADY, ERNAKULAM - 686 574, REPRESENTED BY ITS PARTNER, SHRI. ARUN RAJ PILLAI BY ADVS. SRI.S.MUHAMMED HANEEF SRI.M.H.ASIF ALI SMT.SHAIMA VAHAB RESPONDENTS: 1 THE ASSISTANT COMMISSIONER OF INCOME TAX, CENTER CIRCLE, AAYAKAR BHAVAN, KARBALA JUNCTION, KOLLAM - 691 001 2 THE COMMISSIONER OF INCOME TAX (APPEALS) - III 28/243, “POORNIMA”, PANAMPILLY NAGAR, COCHIN - 682 036 SRI. JOSE JOSEPH, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 28.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

JUDGMENT Dated this the 28th day of February, 2020 Heard Sri. S.Muhammed Haneef, the learned counsel for the petitioner and Sri. Jose Joseph, the learned Standing Counsel for respondents.

Petitioner refers to and relies on judgment dated 01.07.2019 in W.A No.1536 of 2019 and connected cases to contend that the Division Bench directed disposal of appeal and granted stay of recovery proceedings during the pendency of the appeal.

The learned Standing Counsel admits that the facts of the case are substantially same and similar to the facts noted by the Division Bench in W.A. No.1536 of 2019, hence can be followed. Hence, the writ petition is disposed of directing the Commissioner of Income Tax (Appeals)/ 2nd respondent to consider and dispose of the statutory appeal filed by the petitioner herein at the earliest taking note of the Full Bench decision reported in The Mavilayi Service Co-operative Bank Ltd, v. The Commissioner of Income Tax, Calicut [2019 (2) KHC 287] and to keep in abeyance recovery proceedings and collection of tax assessed, pending disposal of such appeal. S.V. BHATTI

JUDGE SR

Appendix — schedule of exhibits

APPENDIX PETITIONER'S EXHIBITS: EXHIBIT P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 30.12.2019 PASSED BY THE 1ST RESPONDENT FOR AY - 2012-13 ALONG WITH DEMAND NOTICE & COMPUTATION OF INCOME EXHIBIT P2 TRUE COPY OF THE ASSESSMENT ORDER DATED 30.12.2019 PASSED BY THE 1ST RESPONDENT FOR AY - 2013-14 ALONG WITH DEMAND NOTICE & COMPUTATION OF INCOME EXHIBIT P3 TRUE COPY OF THE ASSESSMENT ORDER DATED 30.12.2019 PASSED BY THE 1ST RESPONDENT FOR AY - 2014-15 ALONG WITH DEMAND NOTICE & COMPUTATION OF INCOME EXHIBIT P4 TRUE COPY OF THE MEMORANDUM OF APPEAL DATED 21.01.2020 FOR AY - 2012-13 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT EXHIBIT P5 TRUE COPY OF THE MEMORANDUM OF APPEAL DATED 21.01.2020 FOR AY - 2013-14 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT EXHIBIT P6 TRUE COPY OF THE MEMORANDUM OF APPEAL DATED 21.01.2020 FOR AY -2014-15 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT EXHIBIT P7 TRUE COPY OF THE STAY PETITION DATED 01.02.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY - 2012-13 EXHIBIT P8 TRUE COPY OF THE STAY PETITION DATED 01.02.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY - 2013-14 EXHIBIT P9 TRUE COPY OF THE STAY PETITION DATED 01.02.2020 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT FOR AY - 2014-15 SR //True Copy// PA to Judge

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