Madras HC Orders Income Tax Department to Dispose 4-Year Pending Appeal within 6 Months

The Madras High Court has ordered the Income Tax Department to expedite and resolve an appeal that has been pending for four years before the Commissioner of Income Tax (Appeals) [CIT(A)]. The petitioner, Geetha Nehru, filed a writ petition challenging the attachment of four bank accounts under Section 226(3) of the Income Tax Act, 1961. This action was taken following an assessment order dated December 25, 2019, which Nehru appealed on January 24, 2020. Despite nearly four years passing, the appeal remains unresolved, causing significant disruption to Nehru's business operations.\r

Dr. B. Ramaswamy, senior standing counsel for the Income Tax Department, noted that the petitioner had not submitted an application for an interim stay with the appellate authority. He assured that any such application would be processed according to the law. The court, led by Justice Senthilkumar Ramamoorthy, found it inappropriate to entertain the writ petition due to the pending appeal. However, considering the prolonged delay, the court directed the Income Tax Department to dispose of the appeal within six months. Additionally, the court allowed the petitioner to file a miscellaneous application seeking interim relief before the appellate authority.