India

Kerala HC Stays Recovery Proceedings for One Month as Petitioners Shift Appeals to Tribunal u/s 253(1)(d) [Read Order]

Posted on by Minakshi




Kerala High Court Grants Interim Relief in Tax Recovery Case



Kerala High Court Grants Interim Relief in Tax Recovery Case

In a recent development, the Kerala High Court has provided temporary respite to petitioners facing tax recovery proceedings. The court has issued a stay order, offering them a window of opportunity to appeal before the appropriate Tribunal.

Stay on Recovery Proceedings

The High Court bench has granted interim relief by staying the recovery proceedings for a period of one month. This allows the concerned parties sufficient time to prepare and pursue their appeals before the Tribunal, as per Section 253(1)(d) of the relevant legislation.

Opportunity to Appeal Before the Tribunal

This interim order effectively halts the immediate pressure of tax recovery, giving the assessee the chance to present their case before a higher authority. The petitioners are now expected to diligently utilize this period to file and argue their appeals before the Tribunal.

Section 253(1)(d) Explained

Section 253(1)(d) outlines the provisions for appealing decisions made by lower tax authorities to the Income Tax Appellate Tribunal (ITAT). This provides a critical avenue for taxpayers to challenge assessments and seek redressal.

The court’s decision recognizes the importance of allowing taxpayers to exhaust all available legal remedies before facing coercive recovery actions. The case highlights the significance of the Tribunal as a crucial appellate body in the Indian tax system.

Summary:

  • The Kerala High Court stayed recovery proceedings for one month.
  • Petitioners are granted time to appeal before the Tribunal.
  • Section 253(1)(d) is the basis for appealing to the Tribunal.
Key Takeaways:

  • Taxpayers now have a month to present their appeals before the Tribunal.
  • This stay prevents immediate asset recovery during the appeal process.
  • The case demonstrates the legal avenues available to taxpayers facing tax demands.
  • Understanding Section 253(1)(d) is crucial for navigating tax appeals.