2020 (7) TMI 160 - HC - Income Tax

No adjudication on the appeal - Counsel appearing for the Income Tax Department submits that there would not be an aversion to the Commissioner of Income Tax Appeal, in case an appropriate direction is issued for the adjudication of the appeal - HELD THAT - Dispose of this writ petition with a direction to the 1st respondent to take a call on the appeal Ext.P2 or interim application preferred against the assessment order as expeditiously as possible, within a period of one month from the date of receipt of a copy of this judgment, after affording an opportunity of hearing to the petitioner in accordance with law. Till such time, coercive action if any pertaining to Ext.P1 order is ordered to be kept in abeyance. It is made clear that the interim direction shall be operative only till the adjudication of the appeal.

Summary

Issues involved:
Petitioner's appeal against assessment order not adjudicated - Invocation of extraordinary writ jurisdiction under Article 226.

Analysis:

1. Adjudication of Appeal:
The petitioner, a businessperson, filed an appeal against assessment order Ext.P1, seeking adjudication. The High Court noted the absence of any decision on the appeal, prompting the petitioner to invoke the extraordinary writ jurisdiction under Article 226. The Court issued a notice before admission, and the Standing Counsel for the Income Tax Department expressed willingness for the Commissioner of Income Tax Appeal to adjudicate the appeal if directed appropriately.

2. Court's Decision:
After hearing both parties and reviewing the case documents, the Court, without delving into the merits of the matter, disposed of the writ petition. The judgment directed the 1st respondent to promptly decide on the appeal Ext.P2 or any interim application against the assessment order within one month of receiving a copy of the judgment. The directive included granting the petitioner a hearing as per the law. Additionally, the Court ordered that any coercive action related to the Ext.P1 order should be suspended until the appeal's adjudication, emphasizing that the interim direction remains valid only until the appeal is resolved.

3. Final Disposition:
The High Court concluded the judgment by disposing of the writ petition with the specified direction for the 1st respondent to expedite the adjudication process. The Court's decision aimed to ensure a fair opportunity for the petitioner in the appeal proceedings while maintaining a temporary stay on coercive actions linked to the assessment order until the appeal's resolution.