SIEGWERK INDIA PRIVATE LIMITED,DELHI V. NFAC, DELHI

SA 283/DEL/2025

AI Insights

Siegwerk India Private Limited filed a stay application seeking an extension on the recovery of an outstanding demand of Rs. 3,43,62,171 for the assessment year 2020-21. The original stay was granted by the Tribunal on the condition that the assessee deposits 20% of the outstanding demand, which was complied with. The Tribunal noted that the appeal had been adjourned multiple times due to issues related to the limitation period, which was under consideration by the Hon'ble Supreme Court in a related case. The Tribunal decided to extend the stay, recognizing that the assessee had adhered to the Tribunal's conditions and that the delay was due to judicial proceedings.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 360932 (ITAT-DELHI)
• Appeal Type: Stay Application
• Pronouncement Date: 23-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2020-2021
• Other Referred Cases: CIT v. Roca Bathroom Products (P) Ltd. 140 taxmann.com 304 (Mad.)
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: OM PARKASH
• Assessee Lawyers: NEERAJ JAIN; MANSHA BHALLA
• Keywords: Application of stay; Extension of stay
• Section: 143(3); 2

Judgement Text

"1 SA No. 283/Del/2025 (In ITA No. 4556/Del/2024) Siegwerk India Private Ltd. v. NFAC, Delhi A.Y: 2020-21 IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH: ‘H’: NEW DELHI) BEFORE SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER AND SHRI SUDHIR PAREEK, JUDICIAL MEMBER SA No. 283/Del/2025 (In ITA no. 4556/Del/2024) Assessment Year.: 2020-21 Siegwerk India Private Limited 303A, 3rd Floor, Hemkunt Chamber No. 89, Nehru Place, New Delhi-110019 v. NFAC, Delhi PAN No: AAACG4845N APPLICANT RESPONDENT Assesseeby : Shri Neeraj Jain, Adv.& Mrs. Mansha Bhalla, AR Revenue by : Shri Om Parkash, Sr. DR Date of Hearing : 23.05.2025 Date of Pronouncement :23.05.2025 ORDER PER RAMIT KOCHAR, AM: The assessee has filed this stay application in SA No. 283/Del/2025 which has arisen from ITA no. 4556/Del/2024 for assessment year 2020-21, seeking extensionof stay on recovery of the outstanding demand to the tune of Rs. 3,43,62,171/-. It is the say of the ld. Counsel for the assessee that the Tribunal after considering the entire matrix surrounding the case hasoriginally granted stay on the recovery of outstanding 2 SA No. 283/Del/2025 (In ITA No. 4556/Del/2024) Siegwerk India Private Ltd. v. NFAC, Delhi A.Y: 2020-21 demand vide order dated 18.10.2024 in SA No. 398/Del/2024 on the condition that the assessee deposit 20% of the outstanding demand of income-tax and interest thereon which was outstanding to the tune of Rs. 4,29,52,713/- . The said demand has arisen from assessment order passed u/s 143(3) read with Section 144C of the Income-tax Act, 1961, vide orders dated 28.09.2023. It is the say of ld. counsel that the assessee duly complied with the directions of the Bench, and an amount of Rs. 85,90,543/- stood deposited with Income-tax Department(GOI) vide challan no. 03204(BSR code 0002271) , Bank Reference No. CK00EUOJT6 of SBI(CIN:24110900022435SBIN), dated 09.11.2024. The copy of challan is placed on record in file. It is further stated that since grant of stay by ITAT vide orders dated 18.10.2024, the assessee has not sought any adjournment from the Bench, and no fault could be attributed to the assessee in the adjudication of the appeal, as it is the Bench which adjourned the appeal in ITA No. 4556/Del/2024 from time to time, keeping in view limitation issue based on judgment and order of Hon’ble Madras High court in the case of CIT v. Roca Bathroom Products (P) Ltd. 140 taxmann.com 304 (Mad.) , which was before Hon’ble Supreme Court for adjudication , and the same is now heard by Hon’ble Supreme Court , and judgment and orders are awaited. 2. Ld. Sr. DR submitted that the assessee may be asked to deposit further amount so that entire demand stood deposited. 3. After hearing both the parties we are inclined to extend the stay on the recovery of the remaining outstanding demandfor a further period of 180 days or till disposal of the corresponding appeal , as the factual circumstances and matrix as were before the Tribunal for grant of extension of stay vide orders dated 18.10.2024 in SA No. 3 SA No. 283/Del/2025 (In ITA No. 4556/Del/2024) Siegwerk India Private Ltd. v. NFAC, Delhi A.Y: 2020-21 398/Del/2024 arising out of ITA no. 4556/Del/2024 for assessment year 2020-21, remains the same. The assessee has already deposited 20% of the demand , and on the last date of hearing(s) on 27.02.2025 and 07.04.2025 , the appeal was adjourned by the Bench on joint request keeping in view the issued involved of limitation which is pending before Hon’ble Supreme Court in the case of Roca Bathroom Products Private Limited(supra). Under these circumstances, no fault can be attributed to the assessee , as the issue of limitation based on decision of Hon’ble Madras High Court in the case of Roca(supra) is pending before Hon’ble Supreme Court for adjudication, which adjudication shall have bearing on the outcome of the quantum appeal. Now, we are informed that the Hon’ble Supreme Court has already heard the matter, and judgment and order is awaited. The next date of hearing of the quantum appeal as per order sheet entries is 12.06.2025. We order accordingly. 4. In the result, stay application in SA No. 283/Del/2025 is allowed in the manner as indicated in this order Order pronounced in the open court on 23rdMay, 2025. Sd/- Sd/- (SUDHIR PAREEK) (RAMIT KOCHAR) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 26.05.2025. 4 SA No. 283/Del/2025 (In ITA No. 4556/Del/2024) Siegwerk India Private Ltd. v. NFAC, Delhi A.Y: 2020-21 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. DRP 5. DR 6. Guard File Asst. Registrar, ITAT, New Delhi "