THE COSMOS CO-OP BANK LTD., A REGISTERED MULTI STATE SCHEDULED v. THE COMMISSIONER

(BY Ms. SUMANA BALIGA M.,ADVOCATE) …RESPONDENTS THIS WRIT PETITION IS FILED UNDER THE ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT, ORDER OR DIRECTION IN THE NATURE OF CERTIORARI QUASHING THE SHOW CAUSE NOTICE ISSUED BY THE SECOND RESPONDENT UNDER SECTION 144 (15) (C) OF THE BBMP ACT, 2020 DATED

24.03.2025 BEARING NO. ARO(KGN)/W-142/PR-479/2024-25 VIDE ANNEXURE-F, DATED 24.03.2025 ARO(KGN)/W-142/PR-480/2024-25 VIDE ANNEXURE-F1, DATED 24.03.2025 ARO(KGN)/W-142/PR- 481/2024-25 VIDE ANNEXURE-F2, DATED 24.03.2025 ARO(KGN)/W- 142/PR-482/2024-25 VIDE ANNEXURE-F3, DATED 24.03.2025 ARO(KGN)/W-142/PR-483/2024-25 VIDE ANNEXURE-F4, DATED

24.03.2025 ARO(KGN)/W-142/PR-484/2024-25 VIDE ANNEXURE-F5, DATED

24.03.2025 ARO(KGN)/W-142/PR-485/2024-25 VIDE ANNEXURE-F6, DATED 24.03.2025 ARO(KGN)/W-142/PR-486/2024- 25 VIDE ANNEXURE-F7, DATED 24.03.2025 AND THE ORDER PASSED BY THE SECOND RESPONDENT UNDER SECTION 144(15) (E) OF BBMP ACT DATED 21.04.2025, VIDE NO.ARO(KGN)/W-142/PR- 385/2025-26, ANNEXURE-H, DATED

21.04.2025, VIDE NO.ARO(KGN)/W-142/PR-386/2025-26 ANNEXURE-H1, DATED

21.04.2025 VIDE NO.ARO(KGN)/W-142/PR-387/2025-26 ANNEXURE- H2, DATED 22.04.2025 VIDE NO.ARO(KGN)/W-142/PR-388/2025-26 NO.ARO(KGN)/W-142/PR-389/2025-26 ANNEXURE-H3, DATED

22.04.2025 VIDE ANNEXURE-H4, DATED 22.04.2025 VIDE NO.ARO(KGN)/W-142/PR-390/2025-26 ANNEXURE-H5, DATED

22.04.2025 VIDE NO.ARO(KGN)/W-142/PR-391/2025-26 ANNEXURE- - 3 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR H6 DATED 22.04.2025 VIDE NO.ARO(KGN)/W-142/PR-392/2025-26 ANNEXURE-H7 AND ETC. THIS WRIT PETITION, COMING ON FOR PRELIMINARY HEARING IN ‘B’ GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE SURAJ GOVINDARAJ ORAL ORDER

1. The Petitioner is before this Court seeking for the following reliefs; 483/2024-25 ARO(KGN)/W-142/PR-, (i) Issue a Writ, Order or Direction in the nature of Certiorari quashing quash the show cause notice issued by the second respondent under section 144 (15) (c) of the BBMP Act, 2020 dated 24.03.2025 bearing No. 479/2024-25 vide Annexure-F, dated 24.03.2025 ARO(KGN)/W-142/PR-, 480/2024-25 vide dated 24.03.2025 ARO(KGN)/W-142/PR-, Annexure-F1, 24.03.2025 Annexure-F2, 481/2024-25 ARO(KGN)/W-142/PR-, 482/2024-25 vide Annexure-F3, dated 24.03.2025 dated 24.03.2025 ARO(KGN)/W-142/PR-, Annexure-F4, 24.03.2025 Annexure-F5, 484/2024-25 ARO(KGN)/W-142/PR-, 485/2024-25 vide Annexure-F6, dated 24.03.2025 ARO(KGN)/W-142/PR-, ARO(KGN)/W-142/PR- 486/2024-25 vide Annexure-F7, dated 24.03.2025 and the order passed by the second respondent under section 144(15) (e) of BBMP Act dated 21.04.2025, vide No.ARO(KGN)/W- 142/PR-385/2025-26, Annexure-H, dated 21.04.2025, vide No.ARO(KGN)/W-142/PR-386/2025-26 Annexure-H1, dated 21.04.2025 No.ARO(KGN)/W-142/PR-387/2025-26 Annexure-H2, dated 22.04.2025 vide No.ARO(KGN)/W- 142/PR-388/2025-26 Annexure-H3, dated 22.04.2025 vide No.ARO(KGN)/W-142/PR-389/2025-26 Annexure-H4, dated 22.04.2025 No.ARO(KGN)/W-142/PR-390/2025-26 Annexure-H5, dated 22.04.2025 vide, No.ARO(KGN)/W- 142/PR-391/2025-26 Annexure-H6 dated 22.04.2025 vide, No.ARO(KGN)/W-142/PR-392/2025-26 Annexure-H7, and (ii) Issue such other writ, order or direction as deemed fit in the circumstances of the case.” - 4 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR

2. The grievance of the Petitioner Respondents have issued a notice under Section 144(15)(c) of the Bruhat Bengaluru Mahanagara Palike Act, 2020 (hereinafter referred to as ‘the BBMP Act’ for short), on 24.03.2025 calling upon the Petitioner to make payment of past dues of property tax from the assessment year 2016-2017 till the assessment year 2023-2024. The Petitioner having made payment of taxes for the assessment year 2024-2025.

3. The submission of learned counsel for the Petitioner is that in terms of Sub-Section (16) of Section 144 of the BBMP Act, the Respondents can only raise demand for the past 5 years, not earlier to that and as such, he submits that if the demand is restricted from the assessment year 2020-2021 then the Petitioner would make payment of the same by availing of such schemes, if any are available for one time settlement of this said demand. - 5 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR

4. Learned counsel for the Respondents would submit that since no tax had been paid in the year 2016-2017, the demand notice had been issued and that there is no particular scheme which is available for a one time settlement as of today.

5. Heard Sri Chandrashekar C. Chanaspur, learned counsel for the Petitioner, and Smt. Sumana Baliga M., learned counsel for the Respondents and perused papers.

6. Sub-Section (16) of Section 144 of the Bruhat Bengaluru Mahanagara Palike Act, 2020, reproduced hereunder for easy reference: “144. Description and class of tax on buildings or land or both.- (1) to (15) xxxx (16) An assessment or re-assessment under this section shall not be made after the following time limits,- (i) Five years after filing the tax return under this section; (ii) Five years after the evidence of facts, sufficient in the opinion of the Chief Commissioner or the authorized officer to justify making of the reassessment, comes to its knowledge, whichever is later.” - 6 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR

7. A perusal of Sub-Section (16) of the BBMP Act would indicate that an assessment or reassessment under that Section shall not be made after the time limits prescribed, i.e., 5 years after filing the tax return under the Section or 5 years after the evidence of facts, sufficient the opinion of the Chief Commissioner or the Authorised Officer to justify making of reassessment, comes to his knowledge, whichever is later.

8. In the present matter, admittedly, the Petitioner has not made payment of tax from the year 2016-17, which was to the knowledge of the Respondents, the impugned notice came to be issued only on

24.03.2025, and as such, in terms of Sub-Section (16) of Section 144 of the BBMP Act, the notice could have been so issued for reassessment for a period of 5 years prior to the date of the notice. - 7 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR

9. In that view of the matter, it is clear that the Respondents could not have issued the notice from the assessment year 2016-17 but could have only issued notices for the assessment years 2024-2025, 2023-2024, 2022-2023, 2021-2022, and 2020-2021, and are not beyond it.

10. Hence, the notice issued at Annexure-F for the assessment year 2016-17, Annexure-F1 for the assessment year 2017-18, Annexure-F2 for the assessment year 2018-19, and Annexure-F3 for the assessment year 2019-20 is not sustainable in view of Sub-Section (16) of Section 144 of the BBMP Act. Similar would be the case in regard to the confirmatory order at Annexure-H for the year 2016- 2017, Annexure-H1 the year 2017-2018, Annexure-H2 for the year 2018-2019, and Annexure- H3 for the year 2019-2020.

11. As regards the contention of the Petitioner that the Petitioner is willing to make payment of the due - 8 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR amounts by availing of such schemes that may be available. A categorical statement having been made by learned counsel for the Respondents that no particular scheme is available, it would be for the Petitioner to make payment of the due amounts along with the applicable interest within a period of 60 days from the date of receipt of a copy of this order. As such, I pass the following: i) ii) ORDER Writ petition is partly allowed The show cause notices issued by respondent No.2 under Section 144(15)(c) of the BBMP Act dated 24.03.2025 at Annexures-F, F1, F2, F3 and F4 and the order passed by Respondent No.2 under Section 144(15)(e) of the BBMP Act at Annexures-H, H1, H2, H3 and H4, are quashed. iii) The Petitioner is granted a period of 60 days from today to make payment of the due demands, failing which the Respondents are - 9 - NC: 2026:KHC:816 WP No. 23631 of 2025 HC-KAR at liberty to take such action as permissible under law. SD/- (SURAJ GOVINDARAJ) JUDGE KTY List No.: 1 Sl No.: 62