Kerala HC Dismisses Writ Petition, Directs Petitioner to Pursue Remedy under Income Tax Act against Rejection of Stay Application
Kerala High Court Upholds Income Tax Act as Sole Remedy against Rejection of Stay Application in Income Tax Matter
The High Court of Kerala has dismissed a writ petition filed by Vadakoot Gopalan Suresh, directing him to pursue remedies within the framework of the Income Tax Act, 1961. The petitioner, aged 41, had sought relief from the High Court against the recovery of tax demands pending appeals. The petitioner, represented by Divya Ravindran, had approached the Kerala High Court seeking a writ...
The High Court of Kerala has dismissed a writ petition filed by Vadakoot Gopalan Suresh, directing him to pursue remedies within the framework of the Income Tax Act, 1961. The petitioner, aged 41, had sought relief from the High Court against the recovery of tax demands pending appeals.
The petitioner, represented by Divya Ravindran, had approached the Kerala High Court seeking a writ of mandamus or any other appropriate writ, order, or direction to restrain the Deputy Commissioner of Income Tax, Central Circle, Thrissur, from recovering the demands pending the disposal of appeals before the Commissioner of Income Tax (Appeals)-III.
The respondents, the Deputy Commissioner of Income Tax, Assistant Commissioner of Income Tax and Commissioner of Income Tax (Appeals)-III were represented by Navneeth N Nath.
The issue lies in the assessment orders for the financial years 2011-12 to 2015-16, finalised under Section 143(3) read with Section 147 of the Income Tax Act, 1961.
The petitioner had declared the same income as originally filed under Section 148 of the Income Tax Act. However, the appeals filed by the petitioner, accompanied by an application for staying the demand, faced a setback.
The bench highlighted that the petitioner’s application for stay had been rejected as he failed to remit 20% of the tax demanded, as required under the Income Tax Act. The rejection prompted the petitioner to approach the High Court under Article 226 of the Constitution of India.
The single bench of Justice Dinesh Kumar Singh emphasised that the appropriate avenue for addressing the rejection of the stay application lies under the Income Tax Act. The court clarified that it sits in parallel jurisdiction with the first Appellate Authority and should not be the forum for grievances related to the rejection of stay applications.
The bench highlighted the adherence to legal procedures and the significance of following the specific remedies provided by the Income Tax Act in such matters. The dismissal of the writ petition clarifies the High Court’s stance on maintaining the statutory framework and directing aggrieved parties to exhaust the statutory remedies within the established legal channels rather than going for alternate remedies.
The bench upholds the principle that when facing disputes related to income tax assessments, parties must diligently pursue remedies as outlined in the Income Tax Act, 1961, being the applicable legislation.
In result, the Kerala High Court dismissed the Writ Petition filed by the petitioner.
To Read the full text of the Order CLICK HERE
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