2020 (2) TMI 1530 - HC - Income Tax

Stay of demand - Recovery proceedings - Deduction u/s 80P denied - AO has communicated to the petitioners that the petitioners should pay 20% of the demand and then apply for stay of demand - HELD THAT - In the matter of Mavilayi Service Co-operative Bank Ltd. 2019 (3) TMI 1580 - KERALA HIGH COURT the question regarding liability of the co-operative societies to pay the income tax assess was decided as quashed the action on the part of respondents with the direction that the Commissioner of the Income Tax should consider and dispose of the statutory appeals filed by the appellant co-operative societies at the earliest taking note of Full Bench decision in the matter of Mavilayi Service Co-operative Bank Ltd. and till then the recovery and collection of taxes should be kept in abeyance Writ petitions are allowed. Respondent is directed to decide the pending appeals expeditiously and till then the respondents are directed to keep the recovery proceedings pursuant to the assessment order in abeyance.

Summary

The High Court of Kerala disposed of the writ petition directing the Commissioner of Income Tax to consider and dispose of the statutory appeals filed by the petitioner, following a previous judgment. Recovery proceedings and tax collection were to be kept on hold pending the appeal's disposal.