Smt. Uma Shanbhoj, Bangalore V. ITO, Bangalore

CO 48/BANG/2009

• Counselvise Citation: [2011] 122 COUNSELVISE.COM (IT) 5866 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 8 month(s) 3 day(s)
• Appeal Type: Cross Objection
• Pronouncement Date: 11-05-2011
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: A
• Next Hearing Date: 04-05-2011
• Assessment Year: 2006-2007
• Appeal Filed On: 08-09-2009
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: G V GOPALA RAO CITI
• Assessee Lawyers: A SHANKAR
• Keywords: Application of stay

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE B BENCH, BANGALORE BEFORE SMT. P. MADHAVI DEVI, JM AND SHRI A. MOHAN ALANKAMONY, AM SP NO.18(BNG.)/2011 (ITA NO.984(BNG.)/2010) (ASSESSMENT YEAR : 2002-03) M/S GDF SUEZ ENERGY INDIA PVT.LTD., C/O SURESH & CO., NO.43/61, SRINIDHI, I FLOOR, SURVEYORS STREET, BASAVANGUDI, BANGALORE PETITIONER VS THE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE-12(4), BANGALORE RESPONDENT ASSESSEE BY : SHRI A.SHANKAR, CA REVENUE BY : SHRI G.V.GOPALA RAO, CIT-I O R D E R PER SMT. P. MADHAVI DEVI, JM: THE ASSESSEE HAS MADE THIS APPLICATION FOR STAY OF THE OUTSTANDING TAX DEMAND OF RS.3,58,10,009/-. THE LE ARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT THE TOTAL TAX DEMAN D IS RS.10,30,10,009/- OUT OF WHICH THE TAX COMPONENT IS RS.6,29,43,993/- AND THE INTEREST PORTION IS RS.4,0 0,66,016/-. HE SUBMITTED THAT THAT THE ASSESSEE HAS ALREADY PAID A N AMOUNT OF S.P.NO.18(BNG)/2011 2 2 RS.67,200,000/- AND WHAT IS OUTSTANDING IS ONLY THE INTEREST PORTION. 2. THE LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED T HAT THE ASSESSEE HAS A FAIR CHANCE OF WINNING THE CASE, AS THE ONLY ISSUE IS WITH REGARD TO ALLOWABILITY OF INDEXATION OF COSTS OF ACQUISITION OF SHARES FOR THE COMPUTATION OF CAPITAL GAINS. AS RE GARDS THE FINANCIAL POSITION OF THE ASSESSEE IS CONCERNED, LE ARNED COUNSEL FOR THE ASSESSEE FILED BEFORE US A COPY OF THE BALANCE SHEET AS ON 31- 03-2011, ACCORDING TO WHICH THE ASSESSEE HAS INCURR ED A LOSS OF RS.29,99,57,766/-. IN VIEW OF THE SAME, LEARNED CO UNSEL FOR THE ASSESSEE PRAYED FOR THE STRAY OF OUTSTANDING DEMAND . 3. THE LEARNED DR HOWEVER, OPPOSED GRANT OF STAY AN D SUBMITTED THAT THE ASSESSING OFFICER AS WELL AS THE CIT(A) HAVE CONSIDERED THE ASSESSEES CONTENTION BEFORE CONFIRM ING THE ADDITION AND THEREFORE, THE ASSESSEE HAS NOT CASE I N ITS FAVOUR. FURTHER, LEARNED DR SUBMITTED THAT THE ASSESSEE IS NOT ABLE TO ESTABLISH THE FINANCIAL STRINGENCY ON THE DATE OF M AKING THE APPLICATION FOR STAY. 4. HAVING HEARD BOTH THE PARTIES, WE FIND THAT THE ASSESSEE HAS AN PRIMA FACIE ARGUABLE CASE AND WITHOUT EXPRES SING ANY OPINION ON THE MERITS OF THE CASE, WE DEEM IT FIT A ND PROPER TO S.P.NO.18(BNG)/2011 3 3 GRANT STAY OF THE OUTSTANDING TAX DEMAND OF RS.3,58 ,10,009/- WHICH IS PART OF INTEREST LEVIED BY THE AO. THE S TAY SHALL BE IN FORCE FOR A PERIOD 180 DAYS OR TILL THE DISPOSAL OF THE APPEAL WHICHEVER IS EARLIER. THE STAY APPLICATION IS ACCO RDINGLY, ALLOWED. SD/- SD/- (A. MOAHAN ALANKAMONY (P. MADHAVI DEVI) ACCOUNTANT MEMBER JUDICIAL MEMBER BANGALORE: D A T E D : 07-02-2011 AM* COPY TO : 1 APPELLANT 2 RESPONDENT 3 CIT(A)-IV, BANGALORE. 4 CIT 5 DR, ITAT, BANGALORE. 6 GUARD FILE (1+1) ASST. REGISTRAR ITAT, BANGALORE