M/S. QUESS CORP LIMITED,BANGALORE V. DEPUTY COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE-2(1), BENGALURU

SA 4/BANG/2025

AI Insights

The case involves M/s. Quess Corp Ltd., the appellant, seeking an extension of stay regarding an outstanding tax demand for the assessment year 2019-20. Initially, a stay was granted by the Tribunal, requiring the payment of 20% of the demand, which was subsequently adjusted against a refund from the CPC. The Tribunal considered the extension due to delays in hearing the appeal, caused by the pendency of a related issue before the Supreme Court, and not due to the appellant's actions. The Tribunal decided to extend the stay for an additional six months or until the appeal's disposal, whichever comes first.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 633073 (ITAT-BANGALORE)
• Appeal Type: Stay Application
• Pronouncement Date: 09-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2019-2020
• Other Referred Cases: Roca Bathroom Products (P.) Ltd.
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PARITHIVEL V
• Assessee Lawyers: MANASA ANANATHAN
• Keywords: Application of stay; Extension of stay
• Section: 154

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH : BANGALORE BEFORE SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER AND SHRI SOUNDARARAJAN K., JUDICIAL MEMBER S.P. No. 4/Bang/2025 (in IT(TP)A No. 942/Bang/2023 Assessment Year : 2019-20 M/s. Quess Corp Ltd., 3/3/2, Quess House, Sarjapur Ambalipura Road, Bellandur Gate, Bangalore – 560 102. PAN: AABCI7601M Vs. The Deputy Commissioner of Income Tax, Central Circle – 2(1), Bangalore. APPELLANT RESPONDENT Assessee by : Smt. Manasa Ananathan, Advocate Revenue by : Shri Parithivel .V, JCIT – DR Date of Hearing : 14-02-2025 Date of Pronouncement : 09-06-2025 ORDER PER SOUNDARARAJAN K., JUDICIAL MEMBER This is an extension of stay application filed by the assessee on 05/02/2025 in which they sought for extension of the stay granted by this Tribunal on 09/08/2024. 2. At the time of hearing, the Ld.AR submitted that originally this Tribunal granted a stay in S.P. No. 05/Bang/2024 vide order dated Page 2 of 3 S.P. No. 4/Bang/2025 (in IT(TP)A No. 942/Bang/2023) 02/02/2024 with the direction to pay 20% of the outstanding demand on or before 29/02/2024. Thereafter the CPC had adjusted the refund amount of Rs. 135,49,20,070/- relating to the A.Y. 2023-24 against the demand of the current year. Then the AO passed an order u/s. 154 of the Act on 18/03/2024 resulting in refund of 107.25 crores for the A.Y. 2019-20. The Ld.AR submitted that after considering the refund of Rs. 107.25 crores, the said amount is over and above the amount of 20% as directed by the Tribunal. 3. The Ld.AR further submitted that the appeal could not be taken up for hearing since the Ld.DR requested time on the ground that one of the issue involved in this appeal is Roca Bathroom Products (P.) Ltd. which issue is pending before the Hon’ble Supreme Court. 4. We have heard the arguments of both sides and perused the materials available on record. 5. We have also perused the earlier order of the Tribunal dated 09/08/2024 in which this Tribunal had considered the stay application and granted extension of stay for a further period of six months from the date of that order or till the disposal of the appeal whichever is earlier. Before us, it was also demonstrated that the appeal could not be taken up for hearing not because of the reasons attributable to the assessee. In fact, the department is taking time to complete the appeals in view of the pendency of the Roca Bathroom Products (P.) Ltd. issue before the Hon’ble Supreme Court. In such circumstances, we are of the view that the stay already granted on 09/08/2024 is extended for a further period of six months from the date of this order or till the disposal of the appeal whichever is earlier. Page 3 of 3 S.P. No. 4/Bang/2025 (in IT(TP)A No. 942/Bang/2023) 6. In the result, the stay extension petition filed by the assessee is allowed. Order pronounced in the open court on 09th June, 2025. Sd/- Sd/- (LAXMI PRASAD SAHU) (SOUNDARARAJAN K.) Accountant Member Judicial Member Bangalore, Dated, the 09th June, 2025. /MS / Copy to: 1. Appellant 2. Respondent 3. CIT 4. DR, ITAT, Bangalore 5. Guard file 6. CIT(A) By order Assistant Registrar, ITAT, Bangalore "