GLAXOSMITHKLINE ASIA PRIVATE LIMITED,GURGAON V. DCIT, CIRCLE 1(1), CHANDIGARH

SA 11/CHANDI/2025

AI Insights

The case involves GlaxoSmithkline Asia Pvt. Ltd., Gurgaon, which filed stay applications against the Deputy Commissioner of Income Tax, Circle 1(1), Chandigarh, concerning outstanding tax demands for the assessment years 2017-18 and 2018-19. The Tribunal had previously granted a stay which expired, leading to the current applications. The Tribunal considered the submissions and the procedural history, including previous stays and hearings, and decided to extend the stay to prevent any coercive recovery actions by the AO until the final order is pronounced.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 396363 (ITAT-CHANDIGARH)
• Appeal Type: Stay Application
• Pronouncement Date: 26-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2017-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIVEK VARDHAN
• Assessee Lawyers: NEERAJ JAIN
• Keywords: Application of stay; Extension of stay

Judgement Text

"आयकर अपीलȣय अͬधकरण,चÖडीगढ़ Ûयायपीठ, चÖडीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘A’ CHANDIGARH BEFORE SHRI RAJPAL YADAV, VICE PRESIDENT AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ S.A. Nos. 11 and 12/CHD/2025 in ITA Nos. 578 & 579/CHD/2022 Ǔनधा[रण वष[ / Assessment Year : 2017-18 & 2018-19 GlaxoSmithkline Asia Pvt. Ltd., Gurgaon. Vs The DCIT, Circle 1(1), Chandigarh. èथायी लेखा सं./PAN NO: AABCS3237R अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Assessee by : Shri Neeraj Jain, Advocate Revenue by : Shri Vivek Vardhan, Addl. CIT Sr.DR Date of Hearing : 21.05.2025 Date of Pronouncement : 26.05.2025 HYBRID HEARING O R D E R PER RAJ PAL YADAV, VP These Stay Applications are directed at the instance of the assessee for grant of stay of the outstanding demand in assessment year 2017-18 and 2018-19. 2. On the last occasion, the Tribunal has passed the following order : “These are two Stay Applications wherein the assessee SA 11 & 12/CHD/2025 In ITA 578 & 579/CHD/2022 A.Y. 2017-18 & 2018-19 2 seeks extension of stay on recovery of outstanding demand related to A.Y 2017-18 and 2018-19. 2. It was submitted by the Ld. AR that the Tribunal had earlier granted the stay vide order dt. 22/03/2023 wherein it had directed adjustment of refund of Rs. 2.30 Crores against the aggregate demand of Rs. 36,20,40,260/- for A.Y. 2017-18 and Rs. 27,74,86,744 for A.Y. 2018-19 and remaining demand was stayed. 3. It was submitted that the matter was heard by the Bench on 07/11/2023 and thereafter certain clarifications were sought and matter was finally heard on 26/04/2024 and the order has been reserved. It was submitted that since the earlier stay has already expired on 18/09/2023, there is an apprehension that the AO may contemplate steps to recover the outstanding tax demand and it was prayed that appropriate direction may be issued in this regard so that there is no coercive measures taken by the AO to recover the outstanding demand till pronouncement of the order by the Bench. 4. The Ld. CIT DR has been heard and he has submitted that he has no communication/information regarding any coercive steps being taken by the the AO and it is merely an apprehension on the part of the Ld. AR in terms of any potential coercive measures being adopted by the AO. It was submitted that the matter has already been heard by the Bench and written submissions have been filed and the same may be considered while adjudicating the matter. 5. Having heard both the parties and considering the material available on the record especially the fact that the stay granted earlier had expired on 18/09/2023 and that the matter has been finally heard on 26/04/2024 and the order has been reserved, we hereby direct the AO not to adopt any coercive measures to recover outstanding demand till pronouncement of the order or for a period of three (03) months whichever is earlier. The ld CIT DR is also directed to communicate the aforesaid decision to the Assessing officer expeditiously in view of apprehension so expressed by the ld AR on behalf of the assessee. 6. In the result, stay applications filed by the assessee are allowed in light of aforesaid directions. Order pronounced in the open Court on 26/04/2024. 3. There is no attribution to the assessee for not getting its appeals disposed of on an early date. Respondent has been seeking time for appointing a TP Expert for arguing the appeals. Therefore, we deem it appropriate to extend the SA 11 & 12/CHD/2025 In ITA 578 & 579/CHD/2022 A.Y. 2017-18 & 2018-19 3 stay for a period of 180 days or till the disposal of appeal, whichever event occurs first. The assessee will not seek adjournment unless unavoidable circumstances warrant so. 5. Appeals are fixed for hearing on 26.05.2025. Sd/- Sd/- (KRINWANT SAHAY) (RAJ PAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” Copy of the order forwarded to : 1. The Appellant 2. The Respondent 3. Concerned CIT 4. The CIT(A) 5. DR, ITAT, Chandigarh Assistant Registrar "