MUTTOM SERVICE CO-OPERATIVE BANK LTD. NO.1165 vs. INCOME TAX OFFICER

WP(C)/4129/2020HC KeralaKLHC01011355202013 February 2020Author: HONOURABLE MR. JUSTICE AMIT RAWAL3 pages

AI SummaryRemanded

What did the High Court hold?

The High Court directed the Commissioner of Income Tax (Appeals) to decide the appeal filed by the petitioner within three months from the date of receipt of a copy of the judgment. The Court also specified that the decision should be taken in accordance with law, after affording an opportunity of hearing to the petitioner. Crucially, the Court directed that the appeal should be decided without insisting on the payment of 20% of the tax demanded, referencing a circular from 2017. Furthermore, recovery proceedings pursuant to the assessment order were to be kept in abeyance until a decision was taken on the appeal. The specific findings on the merits of the appeal were not addressed as the petition was for a direction to dispose of the appeal.

What were the facts?

The petitioner, Muttom Service Co-operative Bank Ltd., filed a writ petition before the High Court of Kerala seeking a direction for the disposal of an appeal filed before the Commissioner of Income Tax (Appeals). The appeal was against an assessment order passed by the Income Tax Officer. The petitioner sought a directive for the Commissioner to decide the appeal expeditiously. The assessment order and the appeal were not detailed in terms of specific amounts or assessment years, but the procedural history involved an assessment order and a subsequent appeal against it.

What were the issues?

1. Whether the petitioner is entitled to a direction for the disposal of their appeal before the Commissioner of Income Tax (Appeals)? (Question of procedure) The petitioner contended that they have filed an appeal (Ext.P3) against an assessment order (Ext.P1) and are seeking a direction for its disposal. The revenue did not record any specific arguments in the judgment.

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 THURSDAY, THE 13TH DAY OF FEBRUARY 2020 / 24TH MAGHA, 1941 WP(C).No.4129 OF 2020(M) PETITIONER/S: MUTTOM SERVICE CO-OPERATIVE BANK LTD. NO.1165 MAIN ROAD, CHERTHALA P.O., ALAPPUZHA-688524, REPRESENTED BY ITS SECRETARY. BY ADVS. SRI.C.A.JOJO SMT.SWATHY S. RESPONDENT/S: 1 INCOME TAX OFFICER WARD-1 AND TPS, ALAPPUZHA, ALAPPUZHA-688011. 2 COMMISSIONER OF INCOME TAX (APPEALS), OFFICE OF THE COMMISSIONER OF INCOME TAX, KOTTAYAM-686002. OTHER PRESENT: SRI JOSE JOSEPH SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 13.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C).No.4129 OF 2020(M) 2

JUDGMENT Petitioner has approached this Court seeking a direction to dispose of Ext.P3 appeal preferred before the second respondent/Commissioner of Income Tax (Appeals) against the assessment order Ext.P1. 2. Having heard the learned counsel on both sides, the writ petition is disposed of with a direction to the second respondent to take a decision on Ext.P3 appeal in accordance with law, after affording an opportunity of hearing to the petitioner, within a period of three months from the date of receipt of a copy of this judgment without insisting on payment of 20% of the tax demanded, as per circular of 2017. Till such time a decision is taken on the appeal, recovery proceedings pursuant to the assessment order shall be kept in abeyance. sab AMIT RAWAL JUDGE

WP(C).No.4129 OF 2020(M) 3 APPENDIX PETITIONER'S/S EXHIBITS: EXHIBIT P1 AOF THE ASSESSMENT ORDER FOR AY 2017-18 DATED 21.12.2019 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P2 AOF THE DEMAND NOTICE U/S 156 DATED 21.12.2019 ISSUED BY THE FIRST RESPONDENT. EXHIBIT P3 AOF THE APPEAL FOR AY 2017-18 BEFORE THE 2ND RESPONDENT DATED 22.01.2020. EXHIBIT P4 AOF THE NOTICE ISSUED BY THE 1ST RESPONDENT DATED 30.02.2020 FOR 20% OF TAX.

Recent GST High Court judgments

Search GST case law →