Pending Revenue Arrears: Kerala HC directs to release Attached Residential Property on Submission of other Properties [Read Order]

The Kerala High Court directed the release of attached residential property on submission of other properties as there was pending revenue arrears. The 1st appellant is a registered dealer under the KVAT/KGST Act on the rolls of the 1st respondent. He is engaged in processing of imported and local raw cashew nuts and exporting interstate and intra-state sales of cashew kernels and cashew shells. He is also running a bar-attached hotel at Punalur in Kollam District. The 2nd appellant is the wife of the 1st appellant. The 1st appellant is in arrears of KVAT to the tune of Rs 1,38,73,601/- for the period from 2010-2011 to 2016-2017. Revenue recovery proceedings were initiated against him to realise the said tax due, and demand notice was issued. The appeals filed against the assessment order before the statutory appellate authority are pending. In the meanwhile, the 2 nd respondent attached the residential property jointly owned by the appellants. The property attached by the 2nd respondent is the residential property owned by the appellants. The total amount due to the revenue towards tax arrears would come to Rs 1,38,73,601/-. The 1st appellant offered three properties owned by him to substitute the property under attachment. When the appeal came up for hearing, we directed the counsel for the appellants to produce the valuation certificate of the properties sought to be substituted to ascertain its value. The certificates were issued by the Village Officer, Valacodu, and the Assistant Executive Engineer, Local Self Government Department, Kozhikode, respectively. The certificates indicate that the value of the land would come to Rs 72,56,403/- and the value of the building would come to Rs 1,03,17,323/-. The valuation is much more than the amount allegedly due to revenue. A Division Bench of Dr Justice AK Jayasankaran Nambiar and Dr Justice Kauser Edappagath observed that “Hence, the 2nd respondent is directed to release the attached residential property of the appellants situated in Re.Sy.No.379/15K having an extent of 14.16 Ares by accepting the property owned by the 1st appellant measuring 0.08.49 hectares and a building situated therein comprised in Sy.Nos.599/1/287/A, 599/1/58/A, 599/1/89 of Valacodu Village as security for the amount due from the 1st appellant to the revenue towards tax arrears.” Kerala HC directed the release of attached residential property on submission of other properties as there was pending revenue arrears The Kerala High Court directed the release of attached residential property on submission of other properties as there was pending revenue arrears. The 1st appellant is a registered dealer under the KVAT/KGST Act on the rolls of the 1st respondent. He is engaged in processing of imported and local raw cashew nuts and exporting interstate and intra-state sales of cashew kernels and cashew shells. He is also running a bar-attached hotel at Punalur in Kollam District. The 2nd appellant is the wife of the 1st appellant. The 1st appellant is in arrears of KVAT to the tune of Rs 1,38,73,601/- for the period from 2010-2011 to 2016-2017. Revenue recovery proceedings were initiated against him to realise the said tax due, and demand notice was issued. The appeals filed against the assessment order before the statutory appellate authority are pending. In the meanwhile, the 2 nd respondent attached the residential property jointly owned by the appellants. The property attached by the 2nd respondent is the residential property owned by the appellants. The total amount due to the revenue towards tax arrears would come to Rs 1,38,73,601/-. The 1st appellant offered three properties owned by him to substitute the property under attachment. When the appeal came up for hearing, we directed the counsel for the appellants to produce the valuation certificate of the properties sought to be substituted to ascertain its value. The certificates were issued by the Village Officer, Valacodu, and the Assistant Executive Engineer, Local Self Government Department, Kozhikode, respectively. The certificates indicate that the value of the land would come to Rs 72,56,403/- and the value of the building would come to Rs 1,03,17,323/-. The valuation is much more than the amount allegedly due to revenue. A Division Bench of Dr Justice AK Jayasankaran Nambiar and Dr Justice Kauser Edappagath observed that “Hence, the 2nd respondent is directed to release the attached residential property of the appellants situated in Re.Sy.No.379/15K having an extent of 14.16 Ares by accepting the property owned by the 1st appellant measuring 0.08.49 hectares and a building situated therein comprised in Sy.Nos.599/1/287/A, 599/1/58/A, 599/1/89 of Valacodu Village as security for the amount due from the 1st appellant to the revenue towards tax arrears.” Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates

Pending Revenue Arrears: Kerala HC directs to release Attached Residential Property on Submission of other Properties [Read Order]

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Pending Revenue Arrears: Kerala HC directs to release Attached Residential Property on Submission of other Properties [Read Order]

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