M/s Nissin Foods India Limited , Bangalore V. The Income TAx Officer Ward-5(1)(1), Bangalore

SA 187/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 5999 (ITAT-BANGALORE)
• Duration Of Justice: 10 month(s) 11 day(s)
• Appeal Type: Income Tax (Transfer Pricing) Appeal
• Pronouncement Date: 01-05-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Appeal Filed On: 20-06-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PADMA MEENAKSHI JT BENGALURU
• Assessee Lawyers: T SURYANARAYANA
• Section: 234B

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, JUDICIAL MEMBER AND SHRI JASON P. BOAZ , ACCOUNTANT MEMBER S.P. NO.187/BANG/2018 [IN I TA NO. 808/BANG/2018] ASSESSMENT YEAR : 2013 - 14 NISSIN FOODS INDIA LTD., 3 RD FLOOR, CENTENARY BUILDING, 28, M.G. ROAD, BANGALORE 560 001. PAN: AACCN 9583A VS. THE INCOME TAX OFFICER, WARD 5(1)(1), BANGALORE. APPLICANT RESPONDENT APPLICANT BY : SHRI T. SURYANARAYANA, ADVOCATE RE SPONDENT BY : S MT. PADMA MEENAKSH I , JT.CIT(DR)(ITAT), BENGALURU. DATE OF HEARING : 20 .0 7 .201 8 DATE OF PRONOUNCEMENT : 20 .07.2018 O R D E R PER N.V. VASUDEVAN, JUDICIAL MEMBER THIS IS AN APPLICATION FILED BY THE ASSESSEE PRAY ING FOR AN ORDER OF STAY OF RECOVERY OF OUTSTANDING DEMAND OF RS.2,11,9 3,482 FOR THE ASSESSMENT YEAR 2013-14. THE ABOVE APPEAL HAS ALRE ADY BEEN HEARD BY THIS TRIBUNAL AND ORDERS IN THIS APPEAL ARE AWAITED . IT APPEARS THAT COERCIVE STEPS ARE CONTEMPLATED BY THE RESPONDENT. WE ARE O F THE VIEW THAT AT THIS STAGE WHEN THE APPEAL HAS BEEN HEARD AND THE ORDERS ARE AWAITED, IT WOULD NOT BE APPROPRIATE TO PERMIT THE RESPONDENT TO TAKE COERCIVE ACTION FOR RECOVERY OF OUTSTANDING DEMAND. IT IS ALSO SEEN THA T THE ASSESSEE HAS MADE THE FOLLOWING PAYMENTS:- ITA NO. S.P. NO.187/BANG/2018 PAGE 2 OF 3 PARTICULA RS AMOUNT (INR) AMOUNT (INR) INCOME RETURNED 17,15,770 ADDITION FOR PROVISION FOR EXPENSES 2,43,58,700 ADDITION ON ACCOUNT OF REIMBURSEMENT OF EXPENSES 13,69,01,801 INCOME ASSESSED (A) 16,29,76,271 TAX PAYABLE (B) TAX @ 30.9% ON (A) 5,03,59,668 SURCHARGE @ 5% 25,17,983 5,28,77,651 TAX DEDUCTED AT SOURCE (34,08,315) TAX REFUND RECEIVED 28,78,140 INTEREST RECEIVED ON REFUND 2,30,248 (2,99,927) DEMAND PAYABLE (B) INTEREST PAYABLE U/S 234B U/S 234C 1,78,08,948 3,26,382 1,81,35,330 TOTAL DEMAND PAYABLE AS PER NOTICE OF DEMAND (B+C) AMOUNT PAID/ADJUSTED (E) REFUND OF EARLIER YEARS ADJUSTED ON 27 SEPTEMBER 2016 (11,19,830) AMOUNT PAID UNDER PROTEST ON 05 JANUARY 2017 (1,06,00,000) AMOUNT PAID AS PER STAY DIRECTIONS (1,96,64,412) BALANCE TAX PAYABLE (REFUNDABLE) (B E) 2,11,93,482 2. IN TERMS OF THE TAX PORTION OF THE OUTSTANDING DEMAND, THE ASSESSEE HAS ALREADY PAID 60% OF THE OUTSTANDING TAX COMPONE NT OF THE DEMAND AND 45% OF THE OVERALL DEMAND. IN THESE CIRCUMSTANCES, WE ARE OF THE VIEW THAT THE REVENUE IS SUFFICIENTLY SAFEGUARDED. KEEP ING IN MIND THE EXISTENCE OF A PRIMA FACIE CASE, BALANCE OF CONVENIENCE AND RELATIVE HARDSHIP , WE ORDER THAT THERE SHALL BE AN ORDER OF STAY OF RECOV ERY OF OUTSTANDING DEMAND FOR A PERIOD OF THREE (3) MONTHS FROM THE DA TE OF THIS ORDER, OR TILL THE DISPOSAL OF THE APPEAL BY THIS TRIBUNAL, WHICHE VER IS EARLIER. ITA NO. S.P. NO.187/BANG/2018 PAGE 3 OF 3 3. THE STAY PETITION IS ACCORDINGLY ALLOWED. PRONOUNCED IN THE OPEN COURT ON THIS 20 TH DAY OF JULY, 2018. SD/- SD/- ( JASON P. BO AZ ) ( N.V. VASUDEVAN ) ACCOUNTANT MEMBER JUDICIAL MEMBER BANGALORE, DATED, THE 20 TH JULY, 2018. / D ESAI S MURTHY / COPY TO: 1. THE APPLICANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER SENIOR PRIVATE SECRETARY ITAT, BANGALORE.