Stay applications in tax appeals require prompt disposal, with recovery kept in abeyance until the appellate decision.

Where assessment orders are under statutory appeal and stay applications have been filed along with the appeals, the appellate authority may be directed to decide those stay requests promptly, with notice to the assessee. Pending such consideration, recovery pursuant to the assessment orders is kept in abeyance. The Kerala HC directed the appellate authority to pass orders on the stay applications within two months from receipt of a certified copy of the judgment, thereby preserving interim protection until the stay applications are decided.

---

---

Issues: Whether the appellate authority should be directed to dispose of the stay applications filed along with the statutory appeals and whether recovery pursuant to the assessment orders should be kept in abeyance meanwhile.

Analysis: The assessment orders were already under challenge in statutory appeals under Section 55 of the Kerala Value Added Tax Act, 2003, and stay applications had been filed along with those appeals. In these circumstances, the writ petition sought a direction for early consideration of the stay applications and protection against recovery until such consideration.

Conclusion: The writ petition was disposed of by directing the appellate authority to consider and pass orders on the stay applications within two months from receipt of a certified copy of the judgment, with notice to the petitioner, and recovery steps pursuant to the assessment orders were ordered to be kept in abeyance till then.

---