DCIT CEN CIR 3(2), MUMBAI V. UNIVERSAL MEDICARE P.LTD, MUMBAI

MA 203/MUM/2019

• Counselvise Citation: [2019] 111 COUNSELVISE.COM (IT) 5278 (ITAT-MUMBAI)
• Duration Of Justice: 3 month(s) 7 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 25-06-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: F
• Assessment Year: 2012-2013
• Appeal Filed On: 18-03-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: CHAUDHARY ARUNKUMAR
• Keywords: Application of stay

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, MUMBAI BENCH F, MUMBAI BEFORE SHRI RAJESH KUMAR, ACCOUNTANT MEMBER AND SHRI AMARJEET SINGH, JUDICIAL MEMBER MA NO.203/M/2019 (ARISING OUT OF SA NO.441/M/2018) ASSESSMENT YEAR: 2012-13 DCIT, CEN. CIR. 3(2), ERSTWHILE ASST CIT CEN. CIR 20, R.NO.1923, 19 TH FLOOR, AIR INDIA BLDG., NARIMAN POINT, MUMBAI 400 021 VS. M/S. UNIVERSAL MEDICARE P. LTD., CAPSULATION PREMISES, SION TROMBAY RD., DEONAR, MUMBAI - 400038 PAN: AAACU0717B (APPELLANT) (R ESPONDENT) PRESENT FOR: ASSESSEE BY : SHRI MADHUR AGRAWAL, A.R. REVENUE BY : SHRI CHAUDHARY ARUN KUMAR, D.R. DATE OF HEARING : 17.05.2019 DATE OF PRONOUNCEMENT : 25.06.2019 O R D E R PER RAJESH KUMAR, ACCOUNTANT MEMBER: BY VIRTUE OF THIS MISCELLANEOUS APPLICATION, REVEN UE SEEKS THE VACATION OF STAY ON RECOVERY OF DEMAND IN VIEW OF THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF AS IAN RESURFACING OF ROAD AGENCY PVT. LTD. & ORS. VS. CEN TRAL BUREAU OF INVESTIGATION, IN CRIMINAL APPEAL NO.1375-1376/2 013 & ORS. 2. THE LD. D.R. SUBMITTED BEFORE THE BENCH THAT THE HON'BLE TRIBUNAL DOES NOT HAVE THE JURISDICTION TO EXTEND T HE STAY BEYOND A PERIOD OF 6 MONTHS BY PLACING HEAVY RELIAN CE ON THE DECISION OF HONBLE SUPREME COURT IN THE CASE OF AS IAN RESURFACING OF ROAD AGENCY PVT. LTD. & ORS. (SUPRA) . THE LD. D.R. SUBMITTED THAT EVEN IF THE APPEAL OF THE ASSES SEE IS NOT MA NO.203/M/2019 M/S. UNIVERSAL MEDICARE P. LTD. 2 DISPOSED OF THAT TOO FOR THE REASONS NOT ATTRIBUTED TO THE ASSESSEE EVEN THEN THE OUTSTANDING DUES OF INCOME T AX OUTSTANDING DUE TO THE STAY GRANTED BY THE HONBLE TRIBUNAL BEYOND A PERIOD OF SIX MONTHS IS WITHOUT JURISDICTI ON IN VIEW OF THE DECISION OF THE APEX COURT AS REFERRED TO SUPRA . THE LD. D.R. THEREFORE, PRAYED THAT THE SAID STAY MAY KINDLY BE VACATED FORTHWITH SO THAT THE RECOVERY COULD BE MADE. 3. THE LD. A.R., ON THE OTHER HAND, STRESSED UPON T HE POINT THAT THE HON'BLE TRIBUNAL HAS JURISDICTION TO EXTEN D THE STAY FOR A PERIOD OF SIX MONTHS EVERY TIME AFTER CONSIDERING THE MERITS OF THE CASE. THE LD. A.R. SUBMITTED THAT THE DECISION RELIED UPON BY THE REVENUE IN THE CASE OF ASIAN RESURFACING OF ROAD AGENCY PVT. LTD. & ORS. (SUPRA) HAS BEEN CONSIDERED BY THE JURISDICTIONAL HIGH COURT IN THE CASE OF ORACLE FIN ANCIAL SERVICES SOFTWARE LTD. VS. DCIT, W.P. NO.542/2019 DATED 28.0 2.2019 WHEREIN THE HONBLE HIGH COURT HAS HELD THAT TRIBUN AL HAS THE JURISDICTION TO EXTEND THE STAY BEYOND A PERIOD OF SIX MONTHS. THE LD. A.R., THEREFORE PRAYED THAT THE MISCELLANEO US APPLICATION FILED BY THE REVENUE MAY BE DISMISSED. 4. AFTER HEARING BOTH THE PARTIES AND PERUSING THE MATERIAL ON RECORD, WE OBSERVE THAT THE TRIBUNAL HAS GRANTED TH E STAY OF DEMAND ORIGINALLY AND THEREAFTER THE EXTENSIONS WER E ALSO GRANTED FROM TIME TO TIME EXTENDING THE PERIOD OF S TAY FOR SIX MONTHS EVERY TIME. AFTER PERUSING THE DECISION OF THE HONBLE SUPREME COURT WE OBSERVE THAT THE SAID DECISION WAS RENDERED IN THE CONTEXTS OF CRIMINAL PROCEEDINGS AND NOT AP PLICABLE TO THE INCOME TAX MATTERS. MOREOVER, THE SAID DECISION OF THE APEX COURT HAS BEEN CONSIDERED BY THE JURISDICTIONAL HIG H COURT IN MA NO.203/M/2019 M/S. UNIVERSAL MEDICARE P. LTD. 3 THE CASE OF ORACLE FINANCIAL SERVICES SOFTWARE LTD. (SUPRA) AND REJECTED THE ARGUMENTS OF REVENUE THAT PERIOD OF ST AY CAN NOT BE EXTENDED FOR A PERIOD OF SIX MONTHS. EVEN CO-ORDIN ATE BENCH OF THE TRIBUNAL IN THE CASE OF DCIT VS. PIRAMAL ENTERP RISE LTD. IN MA NO.143/M/2019 DATED 15.03.2019 HAS CONSIDERED TH E IDENTICAL ISSUE AND HELD THAT THE TRIBUNAL HAS THE JURISDICTION TO EXTEND THE STAY BEYOND A PERIOD OF SIX MONTHS AFTER CONSIDERING THE DECISION OF HONBLE SUPREME COURT IN THE CASE O F ASIAN RESURFACING OF ROAD AGENCY PVT. LTD. & ORS. (SUPRA) . WE ACCORDINGLY HOLD THAT THE MA FILED BY THE DEPARTMEN T IS DEVOID OF MERITS AND IS ACCORDINGLY DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 25.06.2019. SD/- SD/- ( AMARJEET SINGH) (RAJESH KUMAR) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DATED: 25.06.2019. * KISHORE, SR. P.S. COPY TO: THE APPELLANT THE RESPONDENT THE CIT, CONCERNED, MUMBAI THE CIT (A) CONCERNED, MUMBAI THE DR CONCERNED BENCH //TRUE COPY// [ BY ORDER DY/ASS TT. REGISTRAR, ITAT, MUMBAI.