JYPORE MANUFACTURING JEWELLERS PRIVATE LIMITED,JAIPUR V. DEPUTY COMMISSIONER OF INCOME TAX, JAIPUR

SA 2/JPR/2025

AI Insights

The case involves M/s. Jypore Manufacturing Jewellers Pvt Ltd, who filed a stay application against the demand confirmed by the CIT(A) following the additions made by the Assessing Officer (AO). The total demand was Rs. 7,64,03,100, which included tax and interest. The assessee argued that the demand was excessive and that their case was supported by precedents from the Jurisdictional Hon'ble Rajasthan High Court. The Department opposed the stay, citing the nature of the addition and the assessee's failure to meet the legal requirements for a stay. After considering the arguments and the financial constraints of the assessee, the Tribunal decided to grant a conditional stay, allowing the assessee to pay the demand in installments.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 28487 (ITAT-JAIPUR)
• Appeal Type: Stay Application
• Pronouncement Date: 19-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2018-2019
• Other Referred Cases: M/s. Jewels Emporium and M/s. Esspal International Private Limited by our Jurisdictional High Court
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ALKA GAUTAM
• Assessee Lawyers: S.L. PODDAR
• Keywords: Application of stay

Judgement Text

" vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”B” JAIPUR Mk0 ,l- lhrky{eh] U;kf;d lnL; ,oaJh jkBksM deys'k t;UrHkkbZ] ys[kk lnL; ds le{k BEFORE: DR. S. SEETHALAKSHMI, JM & SHRI RATHOD KAMLESH JAYANTBHAI, AM Stay Application No.2/JP/2025 (Arising out of vk;dj vihy la-@ITA No. 432/JP/2025) fu/kZkj.k o\"kZ@Assessment Year : 2018-19 M/s. Jypore Manufacturing Jewellers Pvt Ltd. Plot No. 1 & 2, Ratan Shikha Building Near Gokhle Park, Janta Colony, Jaipur-302005 cuke Vs. The DCIT Central Circle-1 Jaipur LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: AAACJ 4640 C vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@Assessee by : Shri S.L. Poddar, Advocate jktLo dh vksj ls@Revenue by: Mrs. Alka Gautam, CIT-DR lquokbZ dh rkjh[k@Date of Hearing : 26/03/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement: 26/03/2025 vkns'k@ORDER PER: RATHOD KAMLESH JAYANTBHAI, AM The assessee has filed a Stay Application praying therein to stay the demand because the assessee will suffer irreparable loss in case the recovery of the demand is not stayed till the disposal of the appeal which is filed before the ITAT Jaipur Benches. The assessee also mentioned in the stay application that the ld. CIT(A) confirmed the additions made by S.A. No. 02/JP/2025 Jypore Manufacturing Jewellers Pvt. Ltd vs DCIT, Central Circle-1, Jaipur . 2 the AO without providing reasonable opportunity to defend the case. The ld. AR submitted that there is a huge demand of Rs.7,64,03,100/- and thus the Department made total addition of Rs.7,22,17,930/-. It was informed by the ld. AR of the assessee that the assessee has already paid Rs.37.75 lacs to the Department even though his case is fully covered by the decision of the Jurisdictional Hon’ble Rajasthan High Cout. 2.1 The ld. DR objected for the stay of the demand and prayed that looking to the nature of addition, no stay is eligible but at the same time the ld. DR contended that looking to the financial constraint and assessee has partly paid amount, Bench may decide the stay application in accordance with the law as the assessee has not paid the amount as required under the law and thereby the assessee’s stay application has not merit. 2.2 We have heard the rival contentions and perused the materials available on record. The ld. AR of the assessee contended that his case is covered with the finding given on a similar fact in the case of M/s. Jewels Emporium and M/s. Esspal International Private Limited by our Jurisdictional High Court. Even though the ld. AR of the assessee made alternative submission that he may allowed to have the payment by way of installment and the proposal he made reads as under:- S.A. No. 02/JP/2025 Jypore Manufacturing Jewellers Pvt. Ltd vs DCIT, Central Circle-1, Jaipur . 3 Total demand Tax Rs. 5,59,33,351 Interest Rs. 2,04,69,749 Total Rs. 7,64,03,100 20 % of the total demand Rs. 1,52,80,620 Already paid by the assessee so far Rs. 37,75,860 Balance Rs. 1,15,04,760 Considering the overall aspect of the matter we direct the assessee to pay 20 % of the demand in installment and thus, out of this balance, amount payable for Rs. 1,15,04,760/-, the assessee shall pay Rs. 12,50,000/- within 24 hours for the release of bank account and balance amount shall be paid in 10 months instalments of Rs. 10 lacs each month end starting from April 2025 and balance amount, if any, in the 11 months. Based on this direction, we direct the ld. AO / TRO to vacate the attachment of the bank account of the assessee immediately and thereby the assessee shall comply with the direction of the payment of demand. S.A. No. 02/JP/2025 Jypore Manufacturing Jewellers Pvt. Ltd vs DCIT, Central Circle-1, Jaipur . 4 3.0 In the result, the Stay Application of the assessee is allowed as pronounced in open Court on 26-03-2025. Sd/- Sd/- ¼Mk0 ,l- lhrky{eh ½ ¼ jkBksM deys'k t;UrHkkbZ ½ (Dr. S. Seethalakshmi) (Rathod Kamlesh Jayantbhai) U;kf;d lnL;@Judicial Member ys[kk lnL;@Accountant Member Tk;iqj@Jaipur fnukad@Dated:- 26 /03/2025 *Mishra vkns'k dh izfrfyfi vxzsf’kr@Copy of the order forwarded to: 1. The Appellant- M/s. Jypore Manufacturing Jewellers Pvt Ltd., Jaipur ,. 2. izR;FkhZ@ The Respondent- The DCIT, Central Circle -1, Jaipur . 3. vk;dj vk;qDr@ The ld CIT 4. foHkkxh; izfrfuf/k] vk;dj vihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur 5. xkMZ QkbZy@ Guard File (SA No. 2/JP/2025) vkns'kkuqlkj@ By order, lgk;d iathdkj@Asst. Registrar "