Kerala HC directs Income Tax Commissioner to Dispose of Appeal against Income Tax Assessment Order [Read Order]

In a recent case, the Kerala High Court directed the  Income tax commissioner to dispose of the appeal against the Income Tax assessment order without undue delay in an expeditious manner.

Ajas N Shamsu, the petitioner, sought to direct the 2nd Respondent to dispose of appeals and stay petitions as expeditiously as possible. To the continuance of attachments of the properties and quash the same by issuing a writ of certiorari in terms of the sunset clauses in section 281B of the Income Tax Act. During the pendency of the Writ petition, the court will be pleased to grant stay of operation of notices.

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By an order dated 30.01.2025, the Court had stayed the garnishee proceedings initiated as per the order for a period of six weeks subject to certain conditions.  Other directions were also issued, including a direction permitting the petitioner to operate the Bank accounts that were frozen. It was, however, clarified that, if in case petitioner failed to furnish the Bank Guarantee within the time limit prescribed in that order, the garnishee proceedings shall stand revived.

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The Senior Standing Counsel submitted  that the conditions in the order dated 30.01.2025, have been complied with to the extent of furnishing bank guarantee and that the time limit for depositing 20% for obtaining stay is available till 15.03.2025. Since the petitioner has already complied with the conditions imposed in the order dated 30.01.2025, it was viewed that the grievance projected in this writ petition has substantially been redressed and that nothing further remains to be considered for grant of relief. A single Justice Bechu Kurian Thomas observed that the second respondent shall initiate appropriate steps to dispose of appeals without undue delay in an expeditious manner. Petitioner shall also cooperate in the disposal of the said appeal.  It is, however, clarified that, if in case the petitioner fails to deposit 20% as stipulated by the Court in the order dated 30.01.2025, the competent authority will be entitled to initiate appropriate proceedings in accordance with law. 

To Read the full text of the Order CLICK HERE

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