TaxTMI 
TaxTMI 
2022 (12) TMI 1095
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....tion of reduction of cost imposed by our judgment and order dated 11.08.2022. 2. Learned Additional Solicitor General of India has stated on instructions that the department is taking all action in the light of and in compliance to the observations made in the judgment dated 11.08.2022 passed in the above-noted writ petition. He further states that action for improvement in working, is also being taken as per details given in the affidavit of compliance dated 01.09.2022 filed by Preeti Jain Das, Principal Commissioner of Income Tax-I, Kanpur on behalf of the respondent No.1. He states that the Central Board of Direct Taxes has also issued an order dated 31.08.2022 to the Principal Chief Commissioner of Income Tax-I, Kanpur, as under: ....
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....(Tanay Sharma) DCIT (OSD) ITJ-I, CBDT" 3. Learned A.S.G.I. submits that the cost may be reduced considering the action being taken by the department to improve its working and to rule out the possibility of recurrence of such instances which unnecessarily resulted in initiation of proceedings against the petitioner and caused him to file the above noted writ petition. He further submits that the respondent-department is conscious of its mistake and, therefore, undertakes to improve its working and to take all lawful action against the erring officers so as to avoid repetition of such instances in future. 4. Sri Abhinav Mehrotra, learned counsel for the petitioner has not opposed the reduction of cost but referred to averments made ....
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....ble costs including the cost of the time spent by the successful party, the transportation and lodging, if any, or any other incidental cost besides the payment of the court fee, lawyer's fee, typing and other cost in relation to the litigation. It is for the High Courts to examine these aspects and wherever necessary make requisite rules, regulations or practice direction so as to provide appropriate guidelines for the subordinate courts to follow. When Section 35(2) provides for cost to follow Ramrameshwari Devi v. Nirmala Devi (2011) 8 SCC 249 54. While imposing costs we have to take into consideration pragmatic realities and be realistic what the defendants or the respondents had to actually incur in contesting the litigation ....
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....) 104 AIC 19 (SC) : 2011 (88) ALR 223 (SC) : 2011 (114) RD 284 (SC). However, the moot question is as to whether imposition of costs alone will prove deterrent? We don't think so. We are of the firm opinion that imposition of cost on the State/ PSU's alone is not going to make much difference as the officers taking such irresponsible decisions to file appeals are not personally affected because of the reason that cost, if imposed, comes from the government's coffers. Time has, therefore, come to take next step viz. recovery of cost from such officers who take such frivolous decisions of filing appeals, even after knowing well that these are totally vexatious and uncalled for appeals. We clarify that such an order of recovery of ....
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....nscrupulous to the detriment of the legitimate. The present case is an illustration of how a simple issue has occupied the time of the courts and of how successive applications have been filed to prolong the inevitable. The person in whose favour the balance of justice lies has in the process been left in the lurch by repeated attempts to revive a stale issue. This tendency can be curbed only if courts across the system adopt an institutional approach which penalizes such behavior. Liberal access to justice does not mean access to chaos and indiscipline. A strong message must be conveyed that courts of justice will not be allowed to be disrupted by litigative strategies designed to profit from the delays of the law. Unless remedial action i....