Sri Pydi Giridhar Babu, Visakhapatnam V. The ITO, Ward-4(2), Visakhapatnam

SA 17/VIZ/2017

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 3927 (ITAT-VISAKHAPATNAM)
• Duration Of Justice: 1 year(s) 8 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-05-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2012-2013
• Appeal Filed On: 09-08-2017
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: V MADHUVANI
• Assessee Lawyers: T KAMASASTRY
• Keywords: Sale consideration of property below Jantri Value; Application of stay; Fair market value
• Section: 143(3); 50C

Judgement Text

SP NO.17/VIZAG/2017 P. GIRIDHAR BABU, VSKP 1 , , IN THE INCOME TAX APPELLATE TRIBUNAL, VISAKHAPATNAM BENCH, VISAKHAPATNAM . , . . ' , % BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER & SHRI D.S. SUNDER SINGH, ACCOUNTANT MEMBER S.P. NO.17/VIZAG/2017 (ARISING OUT OF I.T.A.NO.27/VIZAG/2017) ( / ASSESSMENT YEAR: 2012-13) P. GIRIDHARA BABU , VISAKHAPATNAM ITO, WARD - 4(2), VISAKHAPATNAM [PAN NO. AKYPP6502A ] ( ' / APPELLANT) ( ()' / RESPONDENT) / APPELLANT BY : SHRI T. KAMASASTRY, AR / RESPONDENT BY : S MT. V. MADHU VANI, DR / DATE OF HEARING : 31.08.2017 / DATE OF PRONOUNCEMENT : 31.08.2017 / O R D E R PER D.S. SUNDER SINGH, ACCOUNTANT MEMBER: THIS STAY APPLICATION IS FILED BY THE ASSESSEE, SEE KING STAY OF OUTSTANDING DEMAND OF TAX AND INTEREST FOR THE ASSE SSMENT YEAR 2012-13. 2. IN THIS CASE THE ASSESSMENT WAS MADE U/S 143(3) OF THE INCOME TAX ACT, 1961 (HEREINAFTER CALLED AS 'THE ACT') ON TOTAL INCOME OF ` SP NO.17/VIZAG/2017 P. GIRIDHAR BABU, VSKP 2 6,48,01,836/- AND THE TAX WAS DETERMINED AT ` 1,78,32,460/-. THE ISSUE INVOLVED IN THIS APPEAL IS RELATED TO THE ADOPTION OF FAIR MARKET VALUE AS DETERMINED BY THE STAMP VALUATION AUTHORITY U/S 50C OF THE ACT. THE ASSESSEE WENT ON APPEAL BEFORE THE CIT(A) AND THE C IT(A) PARTLY ALLOWED THE APPEAL AND THE DEMAND PAYABLE WAS REVIS ED TO ` 1,72,10,287/- ON WHICH THE ASSESSEE SOUGHT STAY OF THE DEMAND. 3. DURING THE HEARING FOR STAY PROCEEDINGS, THE LD. A.R. REQUESTED FOR STAY OF DEMAND STATING THAT THERE WAS NO FINANCIAL CAPACITY TO THE ASSESSEE TO MAKE THE PAYMENT OF THE TAX DEMAND AND ACCORDING TO THE LD. A.R., THE ASSESSEE IS HAVING FAIR CHANCES FOR S UCCEEDING AN APPEAL. SUBSEQUENT TO CIT(A)S ORDER, NO TAX WAS PAID BY TH E ASSESSEE. THE LD. A.R. PLEADED FOR LIFTING THE ATTACHMENT ORDERS ISSU ED BY THE DEPARTMENT. HOWEVER, THE LD. A.R. COULD NOT EXPLAIN HOW THE TAX WILL BE PAID IN CASE THE ASSESSEE DOES NOT SUCCEED IN THE APPEAL. 4. ON THE OTHER HAND, THE LD. D.R. VEHEMENTLY OPPOS ED FOR GRANTING STAY. 5. WE HAVE HEARD BOTH THE PARTIES, PERUSED THE MA TERIALS AVAILABLE ON RECORD AND GONE THROUGH THE ORDERS OF THE AUTHOR ITIES BELOW. THE ASSESSEE COULD NOT EXPLAIN THE REASONS FOR NON PAYM ENT OF TAXES AND NO AMOUNT OF TAX WAS PAID BY THE ASSESSEE EVEN THOUGH THE ASSESSMENT ORDER WAS PASSED ON 30.3.2015. THE LD. CIT(A) HAS PASSED ORDER ON SP NO.17/VIZAG/2017 P. GIRIDHAR BABU, VSKP 3 4.11.2006 SO FAR NO AMOUNT OF TAX WAS PAID BY THE A SSESSEE. THE LD. A.R. ALSO COULD NOT EXPLAIN HOW THE DEMAND IS SECUR ED IN THE EVENT OF GRANTING THE STAY. THEREFORE, WE ARE NOT INCLINED TO GRANT THE STAY TO THE ASSESSEE, ACCORDINGLY, STAY IS REJECTED AND EAR LY HEARING IS GRANTED. THE CASE IS POSTED FOR HEARING ON 18.9.2017. SINCE THE DATE OF HEARING IS PRONOUNCED IN THE OPEN COURT, NO SEPARATE NOTICE WILL BE ISSUED TO THE CONCERNED PARTIES AND THE REGISTRY IS DIRECTED TO F IX THE APPEAL ON THE DATE AS MENTIONED ABOVE FOR FRESH HEARING. THE ABOVE ORDER WAS PRONOUNCED IN THE OPEN COURT ON 31 ST AUG17. SD/- SD/- ( . ) ( . . ' ) (V. DURGA RAO) (D.S. SUNDER SINGH) /JUDICIAL MEMBER /ACCOUNTANT MEMBER ! /VISAKHAPATNAM: % /DATED : 31.08.2017 VG/SPS )! *! /COPY OF THE ORDER FORWARDED TO:- 1. / THE APPELLANT SRI PYDI GIRIDHARA BABU, VENKATA RAMANA, D.NO.39-16- 36/1, MURALINAGAR, MADHAVADHARA, VISAKHAPATNAM 2. / THE RESPONDENT THE ITO, WARD-4(2), VISAKHAPATN AM 3. + / THE CIT-1, VISAKHAPATNAM 4. + ( ) / THE CIT (A)-2, VISAKHAPATNAM 5. ! . , . , ! / DR, ITAT, VISAKHAPATNAM 6 . / GUARD FILE / BY ORDER // TRUE COPY // SR. PRIVATE SECRETARY ITAT, VISAKHAPATNAM