M/s. Toyota Tausho India Private Limited, Bengaluru V. Deputy Commissioner of Income Tax, Circle -3(1)(1), Bengaluru

SA 95/BANG/2018

• Counselvise Citation: [2019] 117 COUNSELVISE.COM (IT) 5873 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 1 month(s) 13 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: 19-03-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Transfer pricing; International transaction; Application of stay

Judgement Text

SP.95/BANG/2018 PAGE - 1 IN THE INCOME TAX APPELLATE TRIBUNAL BANGALORE BENCH 'B', BENGALURU BEFORE SHRI. N. V. VASUDEVAN, JUDICIAL MEMBER AND SHRI. JASON P. BOAZ, ACCOUNTANT MEMBER STAY PETITION NO.95/BANG/2018 (IN I.T(TP).A NO.2806/BANG/2017 (ASSESSMENT YEAR : 2013-14) TOYOTA TSUSHO INDIA P. LTD, PLOT NO.33 & 34, BIDADI INDUSTRIAL AREA, RAMANAGARA DISTRICT, BENGALURU 562109 .. APPLIC ANT PAN : AADCS6230N V. DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE -3(1)(1), BENGALURU .. RESPONDENT APPELLANT BY : SHRI. DARPAN KIRPALANI, CA RESPONDENT BY : SMT. PADMAMEENAKSHI, JCIT HEARD ON : 20.04.2018 PRONOUNCED ON : 20.04.2018 O R D E R PER N. V. VASUDEVAN, JUDICIAL MEMBER : THIS IS AN APPLICATION FILED BY THE ASSESSEE PRAYI NG FOR AN ORDER OF STAY OF RECOVERY OF OUTSTANDING DEMAND OF A SUM OF RS.4,89,46,350/-. THE OUTSTANDING DEMAND ARISES OU T OF AN ORDER OF ASSESSMENT PASSED BY THE DCIT, CIRCLE -3(1)(1), BEN GALURU, FOR A. Y. 2013-14, VIDE AN ORDER DT.25.10.2017, PASSED U/S .143(3) SP.95/BANG/2018 PAGE - 2 R.W.S.144C(13) OF THE INCOME-TAX ACT, 1961 (ACT). THE OUTSTANDING DEMAND ARISES OUT OF AN ADDITION MADE C ONSEQUENT TO DETERMINATION OF ALP U/S.92 OF THE ACT IN RESPECT O F AN INTERNATIONAL TRANSACTION BETWEEN THE ASSESSEE AND ITS ASSOCIATED ENTERPRISE. BESIDES THE ABOVE ADDITION, ANOTHER ADDITION BY WAY OF DISALLOWANCE U/S.35D OF THE ACT WAS ALSO MADE WHICH HAS GIVEN RISE TO THE OUTSTANDING DEMAND FOR A. Y. 2013-14. 02. WE HAVE HEARD THE SUBMISSIONS OF THE LEARNED CO UNSEL FOR THE ASSESSEE AND THE LD. DR. AFTER TAKING NOTE OF THE EXISTENCE OF A PRIMA FACIE CASE, BALANCE OF CONVENIENCE AND RELATI VE HARDSHIP, WE ARE OF THE VIEW THAT IT WILL BE JUST AND PROPER TO GRANT AN ORDER OF STAY OF RECOVERY OF OUTSTANDING DEMAND, SUBJECT TO THE CONDITION THAT THE ASSESSEE PAYS A SUM OF RS.2 CRORES TOWARDS OUTSTANDING DEMAND, IN THE FOLLOWING MANNER : I) RS.1 CRORE ON OR BEFORE 30.04.2018 II) RS.50 LAKHS ON OR BEFORE 31.05.2018 ; AND III) RS.50 LAKHS ON OR BEFORE 30.06.2018 03. APPEAL OF THE ASSESSEE IS ALREADY FIXED FOR HEA RING ON 25.04.2018. BUT THE LEARNED COUNSEL FOR THE ASSESS EE HAS PRAYED THAT THE CASE MAY BE FIXED FOR HEARING ON 03.05.201 8 AS THE ASSESSEES COUNSEL HAS TO TRAVEL FROM DELHI. THE PR AYER FOR SCHEDULING THE HEARING TO 3.5.2018 IS ACCEPTED. 04. THERE SHALL BE AN ORDER OF STAY OF RECOVERY OF OUTSTANDING FOR A PERIOD OF 6 MONTHS FROM TODAY OR DISPOSAL OF APPE AL OF THE ASSESSEE, WHICHEVER IS EARLIER. IF THE ASSESSEE DO ES NOT COMPLY WITH THE TERMS OF THE STAY AS STATED IN PARAGRAPH 02 ABO VE, THE ORDER OF SP.95/BANG/2018 PAGE - 3 STAY OF RECOVERY OF OUTSTANDING DEMAND SHALL STAND VACATED. THE APPEAL OF THE ASSESSEE IS FIXED FOR HEARING ON 03.0 5.2018. THE DATE OF HEARING WAS ANNOUNCED IN THE OPEN COURT. HENCE NO NOTICE WILL BE SENT TO THE PARTIES. 05. IN THE RESULT, STAY APPLICATION IS ALLOWED ON T HE TERMS INDICATED IN THE ORDER. ORDER PRONOUNCED IN THE OPEN COURT ON 20 TH DAY OF APRIL, 2018. SD/- SD/- (JASON P BOAZ) (N. V. VASUDE VAN) ACCOUNTANT MEMBER JUDICIAL MEMBER MCN* COPY TO: 1. THE ASSESSEE 2. THE ASSESSING OFFICER 3. THE COMMISSIONER OF INCOME-TAX 4. COMMISSIONER OF INCOME-TAX(A) 5. DR 6. GF, ITAT, BANGALORE BY ORDER SENIOR PRIVATE SECRETARY INCOME-TAX APPELLATE TRIBUNAL, BANGALORE BENCHES, BENGALURU