Umesh Shetty Vs PCIT (Karnataka High Court)
The Kerala High Court considered a writ petition challenging the Assessing Officer’s order rejecting waiver of statutory deposit pending appeal and the consequential revisional order. The petitioner contended that the assessment was high-pitched and that an appeal against the assessment was pending. Although an application seeking waiver of the statutory deposit was filed as required, the Assessing Officer rejected it, and the revisional authority also rejected the revision while granting payment in four equal monthly instalments to be completed by 28.02.2022. The petitioner relied on the Instruction dated 02.02.1993, which empowers the revisional authority to interfere in exceptional cases where the assessment appears unreasonably high-pitched or where genuine hardship is caused. It was argued that the revisional authority passed a non-speaking order without examining either of these requirements. The respondents were unable to dispute this position. The Court held that the revisional authority was bound to consider the request in light of the said Instruction, particularly the requirement to assess high-pitched assessment and genuine hardship. Consequently, the Court quashed the revisional order and restored the matter for fresh consideration, directing that no coercive steps be taken to enforce the 20% deposit until the reconsideration proceedings are concluded before the revisional authority of the Kerala High Court.
