THE THALAPPALAM SERVICE CO-OPERATIVE BANK LTD., vs. COMMISSIONER OF INCOME-TAX (APPEALS),

PDF · subscribers
WP(C)/5330/2020HC KeralaKLHC01014256202025 February 2020Author: HONOURABLE MR.JUSTICE S.V.BHATTI4 pages
AI SummaryRemanded

What did the High Court hold?

The High Court of Kerala 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 the collection of assessed tax be kept in abeyance pending the disposal of the appeal. This decision was based on the admission by the revenue's Standing Counsel that the facts of the case were substantially similar to those in W.A. No. 1536 of 2019. The Court explicitly referred to and relied upon the Full Bench decision in The Mavilayi Service Co-operative Bank Ltd. v. The Commissioner of Income Tax, Calicut [2019 (2) KHC 287] as the basis for its directions. The operative directions are to dispose of the appeal expeditiously and stay recovery proceedings.

What were the facts?

The petitioner, The Thalappalam Service Co-operative Bank Ltd., represented by its Secretary, filed a writ petition before the High Court of Kerala. The petition was directed against the Commissioner of Income-Tax (Appeals) and the Income Tax Officer. The petitioner sought a direction for the disposal of their statutory appeal pending before the Commissioner of Income-Tax (Appeals). The petitioner relied on a previous judgment of the Division Bench dated July 1, 2019, in W.A. No. 1536 of 2019 and connected cases, which directed the disposal of appeals and granted a stay of recovery proceedings during the pendency of the appeal. The Standing Counsel for the respondents 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 statutory appeal filed by the petitioner before the Commissioner of Income-Tax (Appeals) should be disposed of expeditiously? (Question of law and fact, concerning procedural fairness and administrative efficiency). 2. Whether recovery proceedings and collection of tax assessed should be kept in abeyance pending the disposal of the statutory appeal? (Question of law and fact, concerning the balance of convenience and interim relief). Assessee's Contentions: The petitioner contended that the Division Bench in W.A. No. 1536 of 2019 had directed the disposal of appeals and granted a stay of recovery proceedings pending appeal. They argued that the present case had substantially similar facts and therefore, the same directions should be followed. Revenue's Contentions: The revenue, through its Standing Counsel, admitted that the facts of the case were substantially the same as those considered by the Division Bench in W.A. No. 1536 of 2019, implying agreement with the petitioner's reliance on that precedent.

AI-generated summary — verify with the full judgment below

Heard together (2 matters)

WP(C).No.5330 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 TUESDAY, THE 25TH DAY OF FEBRUARY 2020 / 6TH PHALGUNA, 1941 WP(C).No.5330 OF 2020(M) PETITIONER: THE THALAPPALAM SERVICE CO-OPERATIVE BANK LTD., 9/279, PLASSANAL.P.O., KOTTAYAM-686579, REPRESENTED BY ITS SECRETARY MR.SUNIL KUMAR.K.R. BY ADVS. SRI.A.KUMAR SRI.P.J.ANILKUMAR SMTG.MINI(1748) SRI.P.S.SREE PRASAD SRI.AJAY V.ANAND RESPONDENTS: 1 COMMISSIONER OF INCOME-TAX (APPEALS), PUBLIC LIBRARY BUILDING, SHASTRI ROAD, KOTTAYAM-686001. 2 INCOME TAX OFFICER, WARD 5, INCOME TAX OFFICE, PUBLIC LIBRARY BUILDING, SHASTRI ROAD, KOTTAYAM-686001. BY SRI. JOSE JOSEPH,SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 25.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

WP(C).No.5330 OF 2020(M) 2 JUDGMENT Dated this the 25th day of February 2020 Heard Sri. A. Kumar, the learned counsel for the petitioner and Sri. Jose Joseph, the learned Standing Counsel for respondents.

2.

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.

3.

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)/ 1st respondent to consider and dispose of the statutory appeal filed by the WP(C).No.5330 OF 2020(M) 3 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 DCS

WP(C).No.5330 OF 2020(M) 4

Appendix — schedule of exhibits
APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 TRUE COPY OF THE ASSESSMENT ORDER DATED 28.12.2019. EXHIBIT P2 TRUE COPY OF NOTICE OF DEMAND UNDER SECTION 156 DATED 28.12.2019. EXHIBIT P3 TRUE COPY OF APPEAL FILED IN FORM 35 DATED 4.2.2020. EXHIBIT P4 TRUE COPY OF STAY APPLICATION DATED 4.2.2020. EXHIBIT P5 TRUE COPY OF THE JUDGMENT OF THE HON'BLE DIVISION BENCH IN WRIT APPEAL 1529/2019 DATED 1.7.2019.

Recent GST High Court judgments

Search GST case law →