M/s Kalpatharu wines, Bellary V. Income tax Officer, Ward-2, Bellary

ITA 1184/BANG/2014

• Counselvise Citation: [2015] 120 COUNSELVISE.COM (IT) 8691 (ITAT-BANGALORE)
• Duration Of Justice: 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-03-2015
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 02-11-2016
• Assessment Year: 2006-2007
• Appeal Filed On: 15-09-2014
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: C H SUNDAR RAO
• Assessee Lawyers: K R PRADEEP
• Keywords: Recovery proceedings

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI N.V.VASUDEVAN , JUDICIAL MEMBER A ND SHRI ABRAHAM P . GEORGE , ACCOUNTANT MEMBER STAY PETN.NO.42/BANG/2015 (IN IT (TP ) A NO. 328 / BANG/20 1 5) (ASSESSMENT YEAR: 20 1 0 - 11 ) M/S.GE MEDICAL SYSTEM S (INDIA) PVT. LTD. (SINCE MERGED WITH WIPRO GE HEALTHCARE PVT.LTD.) PLOT 3, 3A, 4 KADUGODI INDUSTRIAL AREA, BANGALORE - 560067. APPELLANT PAN: AAACG7655G VS. DEPUTY COMMISSIONER OF INCOME - TAX, CIRCLE 7 ( 1 ) (2) , BANGALORE - RES PONDENT APPELLANT BY: SHRI K.R.PRADEEP, CA. RESPONDENT BY: SHRI C.H.SUNDAR RAO, CIT(DR). DATE OF HEARING : 26 - 0 3 - 2015 . DATE OF PRONOUNCEMENT: 26 - 03 - 2015 . O R D E R PER ABRAHAM P . GEORGE , A M : THROUGH THIS STAY PETITION, ASSESSEE PLEADS FOR STAY OF RECOVERY OF TAX AND INTEREST OF RS.35,06,18,271/ - OUT OF TOTAL DEMAND OF RS.56,03,20,053/ - . 2. LEARNED COUNSEL FOR THE ASSESSEE SUBMITTED THAT OUT OF THE TOTAL DEMAND OF RS.56,03,20,053/ - , A SUM OF RS.20,97,01,783/ - STANDS PAID/ADJUSTED BY THE DEPARTMENT. SP NO . 42/BANG/2015 M/S.GE MEDICAL SYSTEMS(INDIA) PVT. LTD PAGE 2 OF 3 ACCORDING TO HIM, THE ASSESSMENT GIVING RISE TO THE DEMAND WAS ON A NON - EXISTING COMPANY. AS PER THE LEARNED COUNSEL FOR THE ASSESSEE, M/S.GE MEDICAL SYSTEMS (INDIA) PVT. LTD., STOOD MERGED WITH M/S.WIPRO GE HEALTHCARE P VT. LTD. THROUGH HIGH COURT ORDER DATED 27/8/2013 AND DESPITE THIS FACT COMING TO THE NOTICE OF THE LOWER AUTHORITIES, ASSESSMENT WAS DONE IN THE NAME OF M/S.GE MEDICAL SYSTEMS (INDIA) PVT. LTD., PER CONTRA, LEARNED DEPARTMENTAL REPRESENTATIVE SUBMITTED T HAT ASSESSEE WAS NOT ABLE TO ESTABLISH ANY PRIMA FACIE CASE FOR GRANT OF A STAY, NOR SHOW ANY FINANCIAL DIFFICULTY. 3. WE HAVE HEARD THE COUNSEL AND PERUSED THE ORDERS. COPY OF ORDER DATED 24/07/2013 OF HON BLE JURISDICTIONAL HIGH COURT IN CO.P .NO.34/2013 C/W CO.P.NO.40/2013 WHEREBY THEIR LORDSHIPS HAD ALLOWED THE PETITIONS OF THE ASSESSEE AND M/S.WIPRO GE HEALTHCARE PVT. LTD., FOR AMALGAMATING THE FORMER WITH THE LATTER. DRAFT ASSESSMENT ORDER WAS PASSED BY THE ASSESSING OFFICER ON 28/02/2014 WHEN THE AMALGAMATION STOOD APPROVED BY THE COURT. WHILE FILING THE OBJECTIONS BEFORE DRP IN FORM 35A, NAME WAS MENTIONED BY THE ASSESSEE AS WIPRO GE HEALTHCARE PVT. LTD. FOR (FOR THE MERGED ENTITY GE MEDICAL SYSTEMS (INDIA) PVT. LTD.). DESPITE THIS THE DRP ISSUED DIRECTIONS UNDER SECTION 144C(5) OF THE INCOME - TAX ACT, 1961 [HEREINAFTER REFERRED TO AS 'THE ACT' FOR SHORT] ON 28/11/2014 IN THE NAME OF GE MEDICAL SYSTEMS (INDIA) PVT. LTD. FINAL ASSESSMENT ORDER DATED 30/12/2014 WAS ALSO PASSED IN THE SAM E NAME. THUS, THE SP NO . 42/BANG/2015 M/S.GE MEDICAL SYSTEMS(INDIA) PVT. LTD PAGE 3 OF 3 ASSESSEE, IN OUR OPINION, HAS BEEN TO SHOW A PRIMA FACIE CASE THAT THE ASSESSMENT AND DEMAND WERE ON A NON - EXISTENT ENTITY, WHICH DID NOT EVEN HAVE A BANK A CCOUNT IN ITS OWN NAME. 4. WE THEREFORE, GRANT STAY OF THE BALANCE DEM AND OF RS.35,06,18,271/ - FOR A PERIOD OF 180 DAYS FROM THE DATE OF THIS ORDER. THE APPEAL IS POSTED FOR HEARING ON 21/7/2015. DATE DECLARED IN OPEN COURT. 5. IN THE RESULT, STAY PETITION STANDS ALLOWED. PRON OUNCED IN THE OPEN COURT ON 26 TH MARCH , 201 5 . S D/ - SD/ - ( N.V.VASUDEVAN ) (ABRAHAM P.JEORGE) JUDICIAL MEMBER ACCOUNTANT MEMBER EKSRINIVASULU COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR INCOME - TAX APPELLATE TRIBUNAL BANGALORE