HINDUSTAN UNILEVER LIMITED (AS LEGAL SUCCESSOR OF M/S GLAXOSMITHKLINE CONSUMER HEALTHCARE LTD.,NABHA V. DCIT, C-4(1), CHANDIGARH

SA 36/CHANDI/2024

AI Insights

The case involves multiple stay applications filed by Hindustan Unilever Limited concerning various assessment years. The applications sought an ad interim stay of the outstanding tax demands. The Tribunal considered the previous stay orders and the compliance with the conditions set therein. The primary legal issue raised by the assessee, which is pending before the Hon'ble Supreme Court, influenced the Tribunal's decision to extend the stay and adjourn the hearing. The Tribunal noted that the delay in the disposal of the appeals was not attributable to the assessee and that the Supreme Court had stayed the decisions of the Bombay High Court and other High Courts relied upon by the assessee.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107604 (ITAT-CHANDIGARH)
• Duration Of Justice: 7 day(s)
• Appeal Type: Others
• Pronouncement Date: 06-11-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 06-11-2024
• Assessment Year: 2015-2016
• Appeal Filed On: 30-10-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIVEK VARDHAN
• Assessee Lawyers: NEERAJ JAIN; RICHA AGGARWAL; C.A
• Keywords: Application of stay; Extension of stay

Judgement Text

"आयकर अपीलीय अिधकरण,चǷीगढ़ Ɋायपीठ “ए” , चǷीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH “A”, CHANDIGARH HEARING THROUGH: HYBRID MODE ŵी राजपाल यादव, उपाȯƗ एवं ŵी क ृणवȶ सहाय, लेखा सद˟ BEFORE: SHRI. RAJPAL YADAV, VP & SHRI. KRINWANT SAHAY, AM STAY APPLICATION NO. 32/Chd/2024 In आयकर अपील सं./ ITA No. 345/Chd/2017 िनधाᭅरण वषᭅ / Assessment Year : 2008-09 Hindustan Unilever Limited (as Legal Successor of M/s GlaxoSmith Kline Consumer Healthcare Ltd. Gurgaon बनाम The ACIT Circle 4(1) Chandigarh ˕ायी लेखा सं./PAN NO: AACCS0144E अपीलाथᱮ/Appellant ᮧ᭜यथᱮ/Respondent STAY APPLICATION Nos. 33 & 34/Chd/2024 In आयकर अपील सं./ ITA Nos. 91 & 92/Chd/2018 िनधाᭅरण वषᭅ / Assessment Year : 2009-10 & 2010-11 Hindustan Unilever Limited (as Legal Successor of M/s GlaxoSmith Kline Consumer Healthcare Ltd. Gurgaon बनाम The ACIT C-4(1) Chandigarh ˕ायी लेखा सं./PAN NO: AACCS0144E अपीलाथᱮ/Appellant ᮧ᭜यथᱮ/Respondent STAY APPLICATION NO. 35/Chd/2024 In आयकर अपील सं./ ITA No. 1501/Chd/2018 िनधाŊरण वषŊ / Assessment Year : 2014-15 Hindustan Unilever Limited (as Legal Successor of M/s GlaxoSmith Kline Consumer Healthcare Ltd. Gurgaon बनाम The ACIT C-4(1) Chandigarh ˕ायी लेखा सं./PAN NO: AACCS0144E अपीलाथŎ/Appellant ŮȑथŎ/Respondent STAY APPLICATION No. 36/Chd/2024 In आयकर अपील सं./ ITA No. 1496/Chd/2019 िनधाŊरण वषŊ / Assessment Year : 2015-16 Hindustan Unilever Limited (as Legal Successor of M/s GlaxoSmith Kline Consumer Healthcare Ltd. Nabha बनाम The DCIT C-4(1) Chandigarh 2 ˕ायी लेखा सं./PAN NO: AACCS0144E अपीलाथŎ/Appellant ŮȑथŎ/Respondent िनधाᭅᳯरती कᳱ ओर से/Assessee by : Shri Neeraj Jain, Advocate & Ms. Richa Aggarwal, C.A राज᭭व कᳱ ओर से/ Revenue by : Shri Vivek Vardhan, JCIT, Sr. DR सुनवाई कᳱ तारीख/Date of Hearing : 06/11/2024 उदघोषणा कᳱ तारीख/Date of Pronouncement : 06/11/2024 आदेश/Order PER RAJPAL YADAV, V.P: The present Stay Applications are directed at the instance of assessee for grant of ad interim stay of the outstanding demand. 2. The Ld. Counsel for the assessee at the very outset submitted that the original stay was granted in A.Y. 2008-09 to 2010-11 on 02/04/2018. Thereafter time to time Stay has been extended. He placed on record copies of all those stay orders vide which the stay has been extended, the last order was passed on 01/05/2024. 3. The Ld. CIT DR on the other hand contended that primary legal issue raised by the assessee on the strength of Hon’ble Bombay High Court’s decision is pending for adjudication before the Hon’ble Supreme Court and matters are stated to be listed on 12/11/2024. He submitted that till the Hon’ble Supreme Court decide the legal issue involved in all these appeals, hearing be deferred. He further pointed out that the decisions of the Hon’ble Bombay High Court and other High Courts have relied upon by the assessee been stayed by the Hon’ble Supreme Court. 4. Considering the above stand we are of the view that hearing ought to be adjourned in all these matters. Since stay has already been granted to the assessee in past which has been extended from time to time, therefore, following this consistent stand of the Benches we also extend the stay. For the facility of reference we took note of the last order dt. 01/05/2024 which read as under: “4. Having considered the submissions of both the parties, we find no change in the facts and circumstances considering which the earlier applications seeking extension of stay were allowed by the Coordinate Benches. Admittedly, the 3 conditions stipulated while granting original stays stand complied with by the assessee as has been noted by the Coordinate Benches time and again while extending the stays. Further, the delay in disposal of the appeals has not been found to be attributable to the assessee and the Revenue seeks to await the decision of the Hon’ble Supreme Court in matter referred supra. Considering the facts and circumstances of the case, we, deem it appropriate to extend the stay sought in all the captioned applications for a period of six months or till the disposal of the appeals whichever is earlier. The other conditions as stipulated in the original stay orders will remain applicable as such. The Department is also directed that in the interim, no coercive and recovery action be taken against the assessee for recovery of the outstanding demand. 5. Resultantly, all the above Stay Applications filed by the assessee stand disposed off in light of aforesaid directions.” 5. In view of the above, these applications are allowed subject to the following conditions: a. The outstanding demand shall remain stayed for a period of 180 days or till the disposal of appeal whichever event occurs first. b. The assessee will not seek any adjournment unless unavoidable circumstances warrant so. c. The hearing in the appeal is adjourned to 21/01/2025. Order pronounced in the open Court on 06/11/2024 Sd/- Sd/- क ृणवȶ सहाय राजपाल यादव (KRINWANT SAHAY) (RAJPAL YADAV) लेखा सद˟/ ACCOUNTANT MEMBER उपाȯƗ/VICE PRESIDENT AG आदेश कᳱ ᮧितिलिप अᮕेिषत/ Copy of the order forwarded to : 1. अपीलाथᱮ/ The Appellant 2. ᮧ᭜यथᱮ/ The Respondent 3. आयकर आयुᲦ/ CIT 4. आयकर आयुᲦ (अपील)/ The CIT(A) 5. िवभागीय ᮧितिनिध, आयकर अपीलीय आिधकरण, च᭛डीगढ़/ DR, ITAT, CHANDIGARH 6. गाडᭅ फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar "