IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR FRIDAY, THE 12TH DECEMBER 2008 / 21ST AGRAHAYANA 1930 RP.No. 1318 of 2008(D) ---------------------- AGAINST THE JUDGEMENT/ORDER IN OP.2131/2003 Dated 13/06/2008 .................... REVIEW PETITIONER(S): ---------------------- KERALA TODDY WORKERS WELFARE FUND BOARD, THIRUVANANTHAPURAM. REPRESENTED BY ITS CHIEF WELFARE FUND INSPECTOR. BY ADV. SRI.S.ARUN RAJ RESPONDENT(S): --------------- 1. THE COMMISSIONER OF INCOME TAX, THIRUVANANTHAPURAM. 2. INCOME TAX OFFICER (TDS), AYAKAR BHAVAN, KOWDIAR, THIRUVANANTHAPURAM. BY SC SRI. JOSE JOSEPH THIS REVIEW PETITION HAVING COME UP FOR ADMISSION ON 12/12/2008, ALONG WITH RP NO. 1314 OF 2008 THE COURT ON THE SAME DAY PASSED THE FOLLOWING: C.N.RAMACHANDRAN NAIR, J. .................................................................... R.P. No.1318 of 2008 in O.P. No.2131 of 2003 & R.P. No.1314 of 2008 in O.P. No.2920 of 2003 .................................................................... Dated this the 12th day of December, 2008. ORDER The W.Ps. were filed for a declaration that petitioner is entitled to receive interest on deposits from Banks/Treasuries without deduction of tax at source. This court directed the State Government to take up the matter with the Central Board for exemption. Such a direction was issued because no exemption order or Notification was produced in court. Review petitioner has now produced Annexure-B which is the Notification issued by the Central Government, Department of Revenue and Banking (Revenue Wing) granting exemption from payment of tax on interest earnings of the petitioner. Standing Counsel for the Income Tax Department submitted that the Notification relied on is very old and it's applicability in petitioner's case is a matter to be considered. In the circumstances, Review Petitions are disposed of directing the second respondent to verify Annexure-B and if it applies to the petitioner, certificate should be issued to the petitioner declaring their eligibility for exemption for receiving interest without deduction of tax for them to produce it before the Bank/Treasury. If the officer maintains the view that Annexure-B certificate is not applicable or 2 not in force or for any other reason petitioner is not entitled to benefit, he should give notice and hear the petitioner and pass orders. The officer will pass orders within a month from now and in between, the payer-Banks are directed to retain the tax portion of the interest with them without depositing the same to the Department. Issue copy today itself. C.N.RAMACHANDRAN NAIR Judge pms