M/s 24/7 Customer Private Limited , Bangalore V. Deputy Commissioner of INCome TAx Circle-2(1)(1), Bangalore

SA 226/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6064 (ITAT-BANGALORE)
• Duration Of Justice: 7 month(s) 14 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: 17-09-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SREENANDINI DAS
• Keywords: Recovery proceedings

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH : BANGALORE BEFORE SHRI N.V. VASUDEVAN, JUDICIAL MEMBER AND SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER SP NO.226/BANG/2018 [IN ITA NO. 2541 /BANG/201 7 ] ASSESSMENT YEAR : 20 13 - 14 M/S.24/7 CUSTOMER PVT.LTD. PRESTIGE TECH PLATINA-2 VARTHUR HOBLI, OUTER RING ROAD, BETWEEN SARJAPUR AND MARATHAHALLI, BANGALORE-560 087 PAN: AAACZ 1041A VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-2(1)(1), BANGALORE. APPLICANT RESPONDENT APPLICANT BY : MS.SHASHI M. KAPILA, ADVOCATE RESPONDENT BY : SMT.SREE NANDINI DAS, ADDL.CIT DATE OF HEARING : 05.10.2018 DATE OF PRONOUNCEMENT : 05.10.2018 O R D E R PER N.V. VASUDEVAN, JUDICIAL MEMBER THIS IS AN APPLICATION FILED BY THE ASSESSEE PR AYING FOR AN ORDER EXTENDING THE ORDER OF STAY OF RECOVERY OF OUTSTAND ING DEMAND OF RS.15,93,92,059 FOR A PERIOD OF SIX MONTHS OR TILL THE DISPOSAL OF THE APPEAL, WHICHEVER IS EARLIER. 2. IT HAS BEEN STATED IN THE APPLICATION FOR EXTEN SION OF STAY BY AN ORDER DATED 26.2.2018 IN S.P.NO.51/BANG/2018 IN IT( TP) NO.2541/BANG/2017 FOR AY 2013-14, THIS TRIBUNAL GRA NTED CONDITIONAL STAY SP NO.214/BANG/2018 PAGE 2 OF 3 OF RECOVERY OF OUTSTANDING DEMAND IN RESPECT OF THE ORDER OF ASSESSMENT FOR AY 2013-14 FOR A PERIOD OF 6 MONTHS FROM 26.2.2 018 OR TILL DISPOSAL OF THE APPEAL WHICHEVER IS EARLIER. THE APPEAL WAS FI XED FOR HEARING ON 27.3.2018. THE ASSESSEE HAD COMPLIED WITH THE COND ITIONS IMPOSED FOR GRANT OF STAY. ON 27.3.2018, THE APPEAL WAS POSTED FOR HEARING AND WAS ADJOURNED TO 4.6.2018 AT THE REQUEST OF THE LEARNED DR. ON 4.6.2018, THE APPEAL WAS HEARD AND ORDERS WERE RESERVED. THE APP EAL WAS HOWEVER RELEASED AND FIXED FOR FRESH HEARING BY ORDER SHEET NOTING DATED 6.9.2018. SINCE THE PERIOD FOR WHICH STAY WAS GRANTED EXPIRED ON 25.8.2018, THE ASSESSEE APPREHENDS RECOVERY PROCEEDINGS AND HENCE THIS APPLICATION SEEKING AN ORDER EXTENDING THE ORDER OF STAY FOR A PERIOD OF 6 MONTHS. 3. THE LD. COUNSEL FOR THE ASSESSEE SUBMITTED T HAT THE ASSESSEE HAS COMPLIED WITH THE CONDITIONS FOR GRANT OF STAY AND THE NON DISPOSAL OF THE APPEAL WITHIN THE PERIOD OF 6 MONTHS FOR WHICH STAY WAS GRANTED IS NOT ATTRIBUTABLE TO THE ASSESSEE AND THEREFORE THE ORDE R OF STAY SHOULD BE EXTENDED AS PRAYED FOR. 4. WE HAVE HEARD THE SUBMISSION OF THE LEARNED CO UNSEL FOR THE ASSESSEE. FROM THE FACTS NARRATED ABOVE, IT IS CLE AR THAT THE DELAY IN NON- DISPOSAL OF THE APPEAL IS NOT ATTRIBUTABLE TO THE A SSESSEE. THE LAW IS BY NOW WELL SETTLED THAT IF THE DELAY IN NON-DISPOSAL OF THE APPEAL IS NOT ATTRIBUTABLE TO THE ASSESSEE, THEN THE TRIBUNAL HAS POWER TO EXTEND THE PERIOD OF STAY EVEN BEYOND THE TIME LIMIT LAID DOWN IN THIRD PROVISO TO SECTION 254(2A) OF THE ACT. REFERENCE MAY BE MADE TO THE DECISION OF THE HONBLE DELHI HIGH COURT IN THE CASE OF PEPSI FOODS (P) LTD. V. ACIT, 376 ITR 87 (DEL) WHICH WAS FOLLOWED BY THE ITAT BANGALORE BENCH IN T HE CASE OF M/S. SAP LABS (I) PVT. LTD. V. ACIT, 67 TAXMANN.COM 78. WE THEREFORE EXTEND THE ORDER OF STAY OF RECOVERY OF OUTSTANDING DEMAND FOR A PERIOD OF SP NO.214/BANG/2018 PAGE 3 OF 3 SIX MONTHS FROM THE DATE OF THIS ORDER, OR TILL THE DISPOSAL OF THE APPEAL, WHICHEVER IS EARLIER. THE APPEAL IS ALREADY FIXED F OR HEARING ON 22.11.2018. 5. IN THE RESULT, THE STAY PETITION IS ALLOWED. PRONOUNCED IN THE OPEN COURT ON THIS THE 5 TH DAY OF OCTOBER, 2018. SD/- SD/- ( INTURI RAMA RAO ) ( N.V. VASUDEVAN ) ACCOUNTANT MEMBER JUDICIAL MEMBER BANGALORE, DATED, THE 5 TH OCTOBER, 2018. NVV/ DESAI SMURTHY / 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 ASST. REGISTRAR/SENIOR PRIVATE SECRETA RY ITAT, BANGALORE.