M/s Continental Automotive Components India Private Limited , Bangalore V. Deputy Commissioner of Income Tax Circle-2(1)(1), Bangalore

SA 35/BANG/2019

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 6146 (ITAT-BANGALORE)
• Duration Of Justice: 3 month(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: 2014-2015
• Appeal Filed On: 01-02-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIKAS K SURYAVANSHI
• Assessee Lawyers: T SURYANARAYANA

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI ARUN KUMAR GARODIA, ACCOUNTANT MEMBER A ND SHRI LALIET KUMAR, JUDICIAL MEMBER S.P. NO.35/BANG/2019 (IN ITA NO. 129 / BANG/201 9 ) ASSESSMENT YEAR : 20 1 4 - 1 5 M/S. CONTINENTAL AUTOMOTIVE COMPONENTS INDIA PVT. LTD., PLOT NO. 53B, BOMMASANDRA INDUSTRIAL AREA, HOSUR ROAD, ATTIBELEHOBLI, ANEKAL TALUK, BANGALORE 560 099. PAN: AAKCS9578C VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 2 (1) (1), BANGALORE. APPELLANT RESPONDENT ASSESSEE BY : SHRI T. SURYA NARAYANA, ADVOCATE REVENUE BY : SHRI VIKAS K. SURYAVANSHI, ADDL. CIT (DR) DATE OF HEARING : 22 . 0 2 .201 9 DATE OF PRONOUNCEMENT : 22. 0 2 .201 9 O R D E R PER SHRI A.K. GARODIA, ACCOUNTANT MEMBER; THIS STAY PETITION IS FILED BY THE ASSESSEE REQUEST ING FOR STAY OF OUTSTANDING DISPUTED DEMAND OF RS. 56,20,06,690/-. 2. IN COURSE OF HEARING OF THIS STAY PETITION, IT W AS SUBMITTED BY LD. AR OF ASSESSEE THAT THE ASSESSEE HAS ALREADY MADE PAYMENT OF RS. 12 CRORES AGAINST THIS DISPUTED OUTSTANDING DEMAND ON 29.01.2 019 AND HE SUBMITTED A COPY OF THE PAYMENT CHALLAN IN SUPPORT OF THIS CO NTENTION. THEREAFTER HE SUBMITTED THAT THE ASSESSEE HAS A VERY GOOD PRIMA F ACIE CASE AND THEREFORE, STAY SHOULD BE GRANTED. IN REPLY TO A Q UERY BY THE BENCH, HE SUBMITTED THAT ASSESSEE CAN MAKE FURTHER PAYMENT OF RS. 6 CRORES. THE LD. DR OF REVENUE STRONGLY OPPOSED GRANTING OF STAY. 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND WE FIND THAT OUT OF TOTAL DISPUTED DEMAND OF RS. 56,20,06,690/-, THE DEMAND I N RESPECT OF TAX IS ONLY RS. 36,02,60,694/- AND THE BALANCE AMOUNT OF RS. 20 ,17,45,992/- IS IN RESPECT OF INTEREST U/S. 234B. THE ASSESSEE HAS AL READY MADE PAYMENT OF RS. 12 CRORES ON 29.01.2019 AND ASSESSEE IS READY T O MAKE FURTHER S.P. NO. 35/BANG/2019 (IN ITA NO. 129/BANG/2019) PAGE 2 OF 2 PAYMENT OF RS. 6 CRORES. IN THAT SITUATION, TOTAL PAYMENT BY THE ASSESSEE WILL BE ABOUT 50% OF THE DISPUTED TAX DEMAND EXCLUD ING INTEREST. UNDER THESE FACTS, WE FEEL THAT THIS IS FIT CASE FOR GRAN TING STAY AND HENCE, WE GRANT STAY TO THE ASSESSEE FOR SIX MONTHS FROM THE DATE O F THIS ORDER OR TILL THE DISPOSAL OF THE APPEAL WHICHEVER IS EARLIER SUBJECT TO THIS CONDITION THAT ASSESSEE SHOULD MAKE FURTHER PAYMENT OF RS. 6 CRORE S ON OR BEFORE 15.03.2019. THE APPEAL AT PRESENT IS FIXED FOR HEA RING ON 11.07.2019. BUT IN VIEW OF GRANTING OF STAY, WE PREPONE THE DATE OF HEARING AND FIX THE DATE OF HEARING ON 25.03.2019. SINCE THE DATE OF HEARIN G IS PRONOUNCED IN THE OPEN COURT, NO SEPARATE NOTICE OF HEARING IS REQUIR ED TO BE ISSUED. WE WANT TO MAKE IT CLEAR THAT THE ASSESSEE SHOULD NOT SEEK ANY ADJOURNMENT IN THE COURSE OF HEARING OF THE APPEAL WITHOUT ANY JUSTIFI ABLE REASONS AND IF THE ASSESSEE DOES SO, THEN THE STAY GRANTED BY THIS ORD ER SHALL STAND VACATED AUTOMATICALLY. 4. IN THE RESULT, THE STAY PETITION FILED BY THE AS SESSEE IS ALLOWED. ORDER PRONOUNCED IN THE OPEN COURT ON THE DATE OF H EARING ON CONCLUSION OF THE HEARING. SD/- SD/- (LALIET KUMAR) (ARUN KUMAR GARODIA) JUDICIAL MEMBER ACCOUNTANT MEMBER BANGALORE, DATED, THE 22 ND FEBRUARY, 2019. /MS/ COPY TO: 1. APPELLANT 4. CIT(A) 2. RESPONDENT 5. DR, ITAT, BANGALORE 3. CIT 6. GUARD FILE BY ORDER ASSISTANT REGISTRAR, INCOME TAX APPELLATE TRIBUNAL, BANGAL ORE.