IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.N.RAVINDRAN THURSDAY, THE 30TH APRIL 2009 / 10TH VAISAKHA 1931 WP(C).No. 13036 of 2009(Y) -------------------------- PETITIONER(S): --------------- MOHAMMED FAZIL, PROPRIETOR, NAZIK AGENCIES, KUNDATHIL HOUSE, MANGAD.P.O., UNIIKULAM, KOZHIKODE. BY ADV. SRI.K.M.FIROZ RESPONDENT(S): --------------- 1. THE SALES TAX OFFICER, COMMERCIAL TAXES OFFICE, VAT CIRCLE KOYILANDY, CALICUT. 2. THE DEPUTY COMMISSIONER(APPEALS), COMMERCIAL TAXES, ERANHIPPALAM, KOZHIKODE. 3. INSPECTING ASSESSMENT COMMISSIONER, KOZHIKODE. 4. THE DISTRICT COLLECTOR,CIVIL STATION, KOZHIKODE. 5. THE TAHSILDAR,KOYILANDY, KOZHIKODE DIST. By GP V K SHAMSUDHEEN THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 30/04/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.N.RAVINDRAN, J ........................................... WP(C).NO. 13036 OF 2009 ............................................ DATED THIS THE 30TH DAY OF APRIL, 2009 JUDGMENT Heard Sri Firoz K.M, the learned counsel appearing for the petitioner and Sri V.K Shamsudheen, the learned Government Pleader appearing for the respondents. 2. By Ext.P1 order passed under the Kerala Value Added Tax Act, 2003, the first respondent assessed the petitioner to pay the sum of Rs.63,170/- as balance tax for the assessment year 2006-2007. Aggrieved thereby, the petitioner has filed Ext.P2 appeal before the Deputy Commissioner(Appeals), Kozhikode along with Ext.P3 stay petition praying for stay of collection of balance tax assessed as per Ext.P1. 3. In this writ petition, the petitioner prays inter alia for a direction to the first respondent to consider Ext.P2 appeal and pass orders thereon within a time limit to be fixed by this court and also for stay of recovery of the balance tax assessed as per Ext.P1 pending disposal of the appeal. Ext.P1 assessment order was passed on 10.12.2008 and it was communicated to the Wpc 13036/2009 2 petitioner on 13.1.2009. The petitioner submits that Ext.P2 appeal was filed within one month from that date. Since the petitioner has invoked a remedy available to him under the law, I am of the opinion that the appellate authority should consider the appeal and pass orders thereon expeditiously. However, pending such appeal, the petitioner cannot seek an unconditional order staying recovery of the balance tax assessed as per Ext.P1. In my opinion, if the petitioner pays one third of the balance tax demanded as per Ext.P1 and also furnishes security for the balance tax to the satisfaction of the first respondent, the realisation of the balance tax assessed as per Ext.P1 can be kept in abeyance pending disposal of the appeal. I accordingly dispose of this writ petition with the following conditions. The petitioner shall, within one month from today, deposit with the first respondent, one third of the tax demanded as per Ext.P1 and also furnish security for the balance amount to the satisfaction of the first respondent. In the event of such deposit being made and security being furnished, the recovery of the balance tax payable under Ext.P1 shall be kept in abeyance pending disposal of Ext.P2 appeal. On such deposit being made, Wpc 13036/2009 3 the appellate authority shall take up Ext.P2 appeal, hear the same and pass final orders within four months from today. It is clarified that the order of stay and the direction to dispose of the appeal expeditiously will operate only if the petitioner deposits one third of the tax demanded as per Ext.P1 and furnishes security for the balance as directed above. P.N.RAVINDRAN, JUDGE lgk