Terming the present scenario in the wake of COVID-19 outbreak as precarious and sensitive, the Kerala High Court on Thursday directed banks, financial institutions, Income Tax Department and authorities under the Goods and Services Tax (GST) to defer recovery proceedings or coercive measures till April 6 in the State.
However, Justice Amit Rawal, while issuing the order, made it clear that the order would not be an impediment for any of the willing defaulters to avail themselves of the amnesty schemes as and when such schemes are promulgated or in vogue. Besides, defaulters of GST, Kerala Value Added Tax (KVAT), building tax and motor vehicle tax who are willing to pay the demanded amount subject to conditions fixed by the department would not be bound by the order.
The court restrained the adjudicating authorities from passing any adverse order till April 6, as the court felt that there was likelihood of parties not able to approach the authorities on appointed date in view of the present situation.
The court, which deals with cases pertaining to recovery of income tax dues, KVAT, general sale tax, taxes under the Kerala Motor Vehicles Taxation Act, and property tax under Kerala Building Tax Act, observed that handling of the files by the High Court staff as well as the Advocate General staff was done without proper precautions, as they were handled with bare hand instead of using protective gears such as gloves.
The court said the entire world was facing the threat of SARS-CoV2 and there have been a large number of such cases in the country, including the State. People have been requested to stay away from any potential source of the virus. Since Kerala has 42 lakh people over the age of 60 and 5.4 lakh over 80 years old, an unprecedented health crisis cannot be ruled out.
