IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.R.RAMACHANDRA MENON TUESDAY, THE 6TH APRIL 2010 / 16TH CHAITHRA 1932 WP(C).No. 10691 of 2010(J) -------------------------- PETITIONERS: --------------- 1. K.C.JOSEPH, S/O. CHAKURYA, AGED 75, KUDIYIRIPPIL (H), MATTOOR, KALADY.P.O., ERNAKULAM-683574. 2. CHACKOCHAN.K.A., S/O.LATE ANTONY, KUDIYIRIPPIL (H), MATTOOR, KALADY.P.O., ERNAKULAM-683574. 3. JOHNSON CHACKO, S/O.LATE CHACKO, AGED 44,CHIRAMELKUDIYIRIPPIL (H), MATTOOR, KALADY.P.O., ERNAKULAM-683574. BY ADV. SRI.JIJO JOSEPH SRI.RAJESH THOMAS RESPONDENTS: --------------- 1. THE DISTRICT COLLECTOR, COLLECTORATE, KAKKANADU, ERNAKULAM. 2. THE SPECIAL TAHSILDAR (L.A.), RAILWAYS, PERUMBAVOOR. 3. THE COMMISSIONER OF INCOME TAX (TDS) OFFICE OF THE COMMISSIONER OF INCOME TAX, KOCHI, C.R. BUILDING, I.S.PRESS ROAD, KOCHI-18. 4. INCOME TAX OFFICER, (TDS), OFFICE OF THE COMMISSIONER OF INCOME TAX, KOCHI, C.R.BUILDING, I.S. PRESS ROAD, KOCHI-18. 5. DEPUTY CHIEF ENGINEER, CONSTRUCTION DEPARTMENT, SOUTHERN RAILWAY, ERNAKULAM. R1 & R2 BY GOVERNMENT PLEADER ADV. MR. BIJOY CHANDRAN. R3 AND R4 BY ADV. SRI.JOSE JOSEPH, SC, FOR INCOME TAX R5 BY ADV. SRI.N.B.SUNIL NATH, SC, RAILWAYS THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 06/04/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: P.R. RAMACHANDRA MENON, J. .............................................................................. W.P.(C) No. 10691 OF 2010 ......................................................................... Dated this the 6th April , 2010 J U D G M E N T The petitioner has approached this Court with the following prayers: "i) Issue a writ of certiorari or other approprite writs, orders or directions calling for records leading to Ext. P4 order and may quash Ext.P4 order in the instant case. ii) Issue a writ of mandamus or other appropriate writs orders or directions commanding the 5th and 2nd respondents to release the petitioner's compensation amount at the time of execution of sale deed without deducting TDS, which is not liable to be deducted in the instant case under Section 194LA of the Income Tax Act. iii) Pass any other orders as this Hon'ble Court may deem fit and necessary in the circumstances of the case and render justice. " W.P.(C) No. 10691 OF 2010 2 2. As obvious from the pleadings set forth, the specific case of the petitioner is that the steps taken by the respondents to deduct 'TDS' under Sectiion 194LA of the Income Tax Act is not applicable to the case of the petitioner, in so far as conveyance of the property is on the basis of negotiated sale and not by compulsory acquisition and that the said provision will be applicable only in the case of compulsory acquisition, submits the learned Copunsel for the petitioner. It is also brought to the notice of this Court that the issue is squarely covered by the decision reported in 2008(4) KLT 782 (Inforpark, Kerala vs. Asst. Commissioner of Income Tax) and also as per the decision rendered by a Division Bench, as borne by Ext.P5 ( to which, I was also a party). 3. The learned Standing Counsel for the Department fairly concedes the position as to the law declared by this Court as above. 4. In the above circumstances, Ext.P4 is set aside. The second and fifth respondents are directed to release the W.P.(C) No. 10691 OF 2010 3 compensation payable to the petitioner without deducting the 'TDS' under Section 194LA of the Income Tax Act. The proceedings as above shall be finalised as expeditiously as possible, at any rate within one month from the date of receipt of a copy of the judgment. The Writ Petition is disposed of as above. P.R. RAMACHANDRA MENON, JUDGE. lk