M/s. Huawei Technologies India Private Limited , Bangalore V. Assistant Commissioner of Income Tax Circle-3(1)(2), Bangalore

SA 213/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6082 (ITAT-BANGALORE)
• Duration Of Justice: 8 month(s) 7 day(s)
• Appeal Type: Income Tax (Transfer Pricing) Appeal
• Pronouncement Date: 01-05-2019
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2013-2014
• Appeal Filed On: 24-08-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S IDDAPAJI R N
• Assessee Lawyers: UMASHANKAR GAUTAM
• Keywords: Extension of stay

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCH A BEFORESHRI N. V. VASUDEVAN, JUDICIAL MEMBER AND SHRI A.K. GARODIA, ACCOUNTANT MEMBER S.P. NO. & ITA NO. PETITIONER RESPONDENT 212 & 213/BANG/2018 (IN ITA NOS. 1939 & 1940/BANG/2017) (A.YS. 2012 13 & 2013 - 14) M/S. HUAWEI TECHNOLOGIES INDIA PVT. LTD., SY. NO. 37, 46, 45/3 & 45/4 ETC. K NO 1540, DIVYASHREE TECHNO PARK, NEAR EPIP INDUSTRIAL AREA, KUNDALAHALLI VILLAGE, WHITEFIELD, BANGALORE 560037. PAN : A A A C H8599L THE JCIT (OSD), CIRCLE 3 (1) (2), BANGALORE. ASSESSEE BY :SHRI UMASHANKAR GAUTA M, ADVOCATE REVENUE BY : SHRI S IDDAPAJI R. N. ADDL. CIT DR DATE OF HEARING :07.09.2018. DATE OF PRONOUNCEMENT :07.09.2018. O R DE R PER SHRI A. K. GARODIA, A.M. : THE ASSESSEE HAS FILED THESE TWO STAY PETITIONS SEE KING EXTENSION OF STAY EARLIER GRANTED BY THE TRIBUNAL ON 18.12.2017 IN S. P. NO. 199 & 200/BANG/2017 FOR 6 MONTHS. AS PER THE PRESENT STAY PETITIONS, TH E DISPUTED OUTSTANDING DEMANDS ARE OF RS.18,65,45,857/- FOR A. Y. 2012 1 3 & RS. 20,18,79,778/- FOR A. Y. 2013 14. THE EARLIER STAY WAS GRANTED SUBJE CT TO CERTAIN CONDITIONS I.E. A PAYMENT OF RS. 2.5 CRORES ON OR BEFORE 30.12.2017 AND MAINTENANCE OF MINIMUM BALANCE .OF 20% OF THE TAX DEMAND IN ITS BA NK ACCOUNT. 2. IN COURSE OF HEARING OF THESE STAY PETITIONS, IT WAS SUBMITTED BY THE LEARNED AR OF THE ASSESSEE THAT THESE CONDITIONS OF THE EARLIE R STAY ORDER WERE COMPLIED WITH. HE SUBMITTED A COPY OF CHALLAN DATED 29.12.20 17 EVIDENCING PAYMENT OF RS. 2.5 CRORES FOR A. Y. 2013 14. HE ALSO SUBMITT ED A CERTIFICATE ISSUED BY HSBC BANK DATED 05.09.2018 CERTIFYING THAT THE ASSE SSEE HAS MAINTAINED AN AVERAGE MINIMUM BALANCE OF RS. 10.50 CRORES IN ITS CURRENT ACCOUNT NO. 071 321434 002 DURING THE PERIOD DECEMBER 2017 TO AUG UST 2018. HE ALSO SUBMITTED THAT THESE APPEALS WERE ALREADY HEARD ON 30.01.2018 BUT LATER 2 S.P. NOS.212 & 213/BANG/2018 (IN ITA NOS. 1939 & 1940/BANG/2017) RELEASED ON 24.04.2018 AND THE HEARING WAS FIXED ON 18.07.2018 BUT ON THAT DAY, THE AR OF THE ASSESSEE WAS BUSY IN A PRE FIXED MATTER IN MUMBAI BENCH OF ITAT AND THEREFORE, REQUEST WAS MADE BY THE ASSESSE E FOR ADJOURNMENT AND NOW THE HEARING IS FIXED ON 23.10.2018. HE SUBMITTE D THAT THE DELAY IN DISPOSAL OF THESE APPEALS IS NOT ATTRIBUTABLE TO THE ASSESSE E AND THEREFORE, EXTENSION OF STAY SHOULD BE GRANTED. LEARNED DR OF THE REVENUE O PPOSED TO THIS REQUEST OF THE ASSESSEE FOR EXTENSION OF STAY. 3. WE HAVE CONSIDERED THE ENTIRE FACTS AS DISCUSSED ABOVE AND CONSIDERED THE RIVAL SUBMISSIONS. IN OUR CONSIDERED OPINION, SINCE THE ASSESSEE HAS COMPLIED WITH THE DIRECTIONS OF THE BENCH AS PER EARLIER S. P. ORDER DATED 18.12.2017 AND THE DELAY IN DISPOSAL OF THESE APPEALS IS NOT ATTRI BUTABLE TO THE ASSESSEE, EXTENSION OF STAY SHOULD BE GRANTED. WE THEREFORE, GRANT EXTENSION OF STAY FOR 6 MONTHS FROM THE DATE WHEN THE EARLIER ORDER OF THE TRIBUNAL IN S. P. NO. 199 & 200/BANG/2017 DATED 18.12.2017 GRANTING STAY FOR SI X MONTHS HAS LAPSED OR TILL DISPOSAL OF THESE APPEALS, WHICHEVER IS EARLIER.. W E WANT TO MAKE IT CLEAR THAT THE ASSESSEE SHOULD CONTINUE TO MAINTAIN MINIMUM BA LANCE .OF 20% OF THE TAX DEMAND IN ITS BANK ACCOUNT AS PER THE CONDITION IMP OSED BY THE TRIBUNAL AS PER EARLIER S. P. ORDER DATED 18.12.2017 AND THE ASSESS EE SHOULD NOT SEEK ADJOURNMENT IN COURSE OF HEARING OF THESE APPEALS W ITHOUT JUSTIFIABLE REASONS AND IF THE ASSESSEE DOES SO, THE STAY GRANTED BY TH IS ORDER SHALL STAND VACATED AUTOMATICALLY.. 4. IN THE RESULT, THE STAY PETITIONS FILED BY THE A SSESSEE ARE ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THE D ATE OF HEARING ON CONCLUSION OF THE HEARING. SD/- SD/- (N.V. VASUDEVAN) (A. K. GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED: 07.09.2018. MS* 3 S.P. NOS.212 & 213/BANG/2018 (IN ITA NOS. 1939 & 1940/BANG/2017) COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER SENIOR PRIVATE SECRETARY, INCOME TAX APPELLATE TRIBUNAL, BANGALORE.