HUAWEI TECHNOLOGIES INDIA PRIVATE LIMITED,BENGALURU V. DEPUTY COMMISSIONER OF INCOME TAX, CENTRAL CIRCLE 2(1), BENGALURU, BENGALURU

SA 159/BANG/2025

AI Insights

Huawei Technologies India Private Limited filed stay petitions against the outstanding tax demands for the assessment years 2020-21 and 2021-22. The demands were significant, totaling over Rs.105 crores. The Tribunal considered the financial burden on the assessee, especially with a substantial amount already under provisional attachment and pending refunds from previous years. The Tribunal's decision aimed to balance the immediate financial impact on Huawei while ensuring the government's interests were protected through the adjustment of the demands with the attached and refundable amounts.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 827759 (ITAT-BANGALORE)
• Duration Of Justice: 14 day(s)
• Appeal Type: Stay Application
• Pronouncement Date: 09-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2021-2022
• Appeal Filed On: 26-12-2025
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: N. BALUSAMY
• Assessee Lawyers: PADAM KINCHA
• Keywords: Application of stay
• Section: 244A

Judgement Text

"SP Nos.158 & 159/Bang/2025 M/s. Huawei Technologies India Private Limited IN THE INCOME TAX APPELLATE TRIBUNAL “C’’ BENCH: BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI KESHAV DUBEY, JUDICIAL MEMBER SP No.158/Bang/2025 (Arising out of IT(TP)A No.1558/Bang/2024) SP No.159/Bang/2025 (Arising out of IT(TP)A No.2282/Bang/2024) Assessment Years: 2020-21 & 2021-22 Huawei Technologies India Private Limited SY No.37, 46, 45/3, 45/4, ETC., KNO 154 Divyashree Technopark Kundalahalli Village Bengaluru 560 037 Karnataka PAN NO : AAACH8599L Vs. DCIT Central Circle-2(1) Bengaluru APPELLANT RESPONDENT Appellant by : Sri Padam Kincha, A.R. Respondent by : Sri N. Balusamy, D.R. Date of Hearing : 09.01.2026 Date of Pronouncement : 09.01.2026 O R D E R PER KESHAV DUBEY, JUDICIAL MEMBER: These stay petitions are filed by the assessee seeking stay against the outstanding demand for the assessment years 2020-21 & 2021-22 as detailed below: AY Demand notice dated Demand raised 20% of demand 2019-20 Final assessment order not received 2020-21 26/06/2024 45,87,97,290/- 9,17,59,458/- 2021-22 27/09/2024 59,39,92,816/- 11,87,98,563/- Total 1,05,27,90,106 21,05,58,021/- Printed from counselvise.com SP Nos.158 & 159/Bang/2025 M/s. Huawei Technologies India Private Limited Page 2 of 3 2. Both these stay petitions are clubbed together, heard together and disposed of by this common order for the sake of convenience and brevity. 3. This Tribunal vide its original stay order dated 18.3.2025 has directed as follows:- 5.3 Being so, considering the totality of the facts of the case, it will be unjust for the assessee, if we direct the assessee to pay 20% of the total outstanding demand for the assessment years 2020-21 & 2021-22 again specially when the amount of Rs.19,53,18,408/- has been held under the provisional attachment by the department and as claimed by the assessee a total amount of Rs.6,86,89,632/- along with the Interest u/s 244A thereon are pending for granting refund for assessment years 2003-04, 2010-11 & 2011-12. Accordingly, it will be just & proper, if we direct the AO that the 20% of total outstanding demand for the assessment years 2020-21 & 2021-22 amounting to Rs.21,05,58,021/- (Rs.105,27,90,106/- x 20%) may be adjusted with the amount lying with the provisional attachment amount of Rs.19,53,18,408/- and balance Rs.1,52,39,613/- may be adjusted with the pending refunds for assessment years 2003-04, 2010-11 & 2011-12 amounting to Rs.6,86,89,632/-. The balance amount of outstanding demand for the assessment years 2020-21 & 2021-22 are stayed for payment till 180 days from the date of issue of this order or till the disposal of appeal, whichever is earlier on the above terms. The AO is also directed to issue refunds for the assessment years 2003-04, 2010- 11 & 2011-12 after adjusting the amount of Rs.1,52,39,613/-. The stay petitions are disposed of as per the terms indicated above. We also direct the assessee that if during the period of stay granted, the provisional attachment stands vacated for any reason, then the assessee shall within 7 days from the date of vacation forthwith deposit the amount of Rs.19,53,18,408/- & thereafter submit the copy of the challan to the Department forthwith. It is ordered accordingly. 3.1 Accordingly, in pursuance to above direction, the provisional attachment of account bearing no. 827200135047 having a balance amounting to Rs.19,53,18,408/- was converted into the actual payment of Rs.11,87,98,564/- vide challan No.69136 dated 19/09/2025 and Rs.7,65,19,844/- vide challan No. 69137 dated 19/09/2025 totaling Rs. 19,53,18,408/- and the balance of Rs.1,52,39,613/- as stated by the AR of the assessee is still pending for refunds & adjustments for the assessment years 2003-04, Printed from counselvise.com SP Nos.158 & 159/Bang/2025 M/s. Huawei Technologies India Private Limited Page 3 of 3 2010-11 & 2011-12 as directed by this Tribunal. This, being so, we direct the AO to grant stay of demand for both these assessment years for the period of 180 days from the date of this Order or till the disposal of appeal, whichever is earlier. We again direct the AO to dispose off the pending OGE/154 for the Asst. years 2003-04, 2010- 11 & 2011-12 & adjust the balance of Rs.Rs.1,52,39,613/- against the refund of said Asst. years in the interest of Revenue. 4. In the result, stay petitions filed by the assessee for both these assessment years are allowed. Order pronounced in the open court on 9th Jan, 2026 Sd/- (Waseem Ahmed) Accountant Member Sd/- (Keshav Dubey) Judicial Member Bangalore, Dated 9th Jan, 2026. VG/SPS Copy to: 1. The Applicant 2. The Respondent 3. The CIT 4. The DR, ITAT, Bangalore. 5 Guard file By order Asst. Registrar, ITAT, Bangalore. Printed from counselvise.com "