SUBBA REDDIAR RAJENDRAN, THIRUNELVELI,THIRUVENGADAM, THIRUNELVELI V. ACIT, CIRCLE 1, TIRUNELVELI, INCOME TAX OFFICE, TIRUNELVELI

SA 13/CHNY/2025

AI Insights

The case involves Subba Reddiar Rajendran, a medical doctor and business owner, who filed a stay application against the recovery of an outstanding disputed demand of \\u20b91,29,42,226 for the assessment year 2017-18. The demand arose from an assessment under section 143(3) of the Income Tax Act, 1961, where the Assessing Officer added \\u20b91,51,82,506 as undisclosed investment under section 69 of the Act. The petitioner had already paid a part of the demand and sought a stay due to financial difficulties, which was not substantiated with documents. The tribunal, considering the merits of the case and the financial difficulties claimed, decided to grant an early hearing instead of a stay.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 107577 (ITAT-CHENNAI)
• Appeal Type: Stay Application
• Pronouncement Date: 29-01-2025
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: R.ANITA
• Assessee Lawyers: T.VASUDEVAN
• Keywords: Application of stay
• Section: 69

Judgement Text

"आयकर अपीलीय अिधकरण, ’सी’ Ɋायपीठ, चेɄई IN THE INCOME-TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI ŵी एस.एस. िवʷनेũ रिव, Ɋाियक सद˟ एवं ŵी जगदीश, लेखा सद˟ क े समƗ । Before Shri S.S. Viswanethra Ravi, Judicial Member & Shri Jagadish, Accountant Member S.A. No. 13/Chny/2025 [In I.T.A. No.27/Chny/2025 िनधाŊरण वषŊ/Assessment Year: 2017-18 Subba Reddiar Rajendran, 233, Kalugumalai Road, Thiruvengadam, Thirunelveli 627 719. [PAN:ABMPR4211M] Vs. The Assistant Commissioner of Income Tax, Circle 1, Tirunelveli. (अपीलाथŎ/Appellant) (ŮȑथŎ/Respondent) अपीलाथŎ की ओर से / Appellant by : Shri T. Vasudevan, Advocate ŮȑथŎ की ओर से/Respondent by : Ms. R. Anita, Addl. CIT सुनवाई की तारीख/ Date of hearing : 29.01.2025 घोषणा की तारीख /Date of Pronouncement : 29.01.2025 आदेश /O R D E R PER S.S. VISWANETHRA RAVI, JUDICIAL MEMBER: This stay application is filed by the petitioner seeking grant of stay from recovery of outstanding disputed demand of ₹.1,29,42,226/- till the final disposal of the appeal of the petitioner for the assessment year 2017-18. 2. The ld. AR Shri T. Vasudevan, Advocate submits that the petitioner is a medical Doctor engaged in running a clinic in the name of M/s. Padma Clinic and also running the business of stone metal S.A. No.13/Chny/25 2 works. He further submits that the return filed by the petitioner was selected for limited scrutiny to verify the accretion to capital. The Assessing Officer completed the assessment order under section 143(3) of the Income Tax Act, 1961 [“Act” in short] dated 25.12.2019 determining the total income at ₹.2,35,99,626/- and made an addition of ₹.1,51,82,506/- as undisclosed investment under section 69 of the Act, which was confirmed by the ld. CIT(A). The petitioner preferred further appeal before the ITAT. The ld. AR submits that against the total demand of ₹.1,69,84,712/-, the assessee paid ₹.40,42,486/-. Thus, the ld. AR prayed for grant of stay of recovery of outstanding demand till the final disposal of the appeal preferred by the petitioner or to grant early hearing of the appeal. 3. The ld. DR Ms. R. Anita, Addl. CIT strongly opposed grant of stay and submits that early hearing may be granted. 4. We have heard both the parties, perused the material available on record and considered the contents of stay application filed by the assessee. Though the petitioner stated the reason for seeking stay as paucity of liquid resources, the petitioner did not file any document establishing financial difficulties. Since the ld. AR prayed that the S.A. No.13/Chny/25 3 petitioner claims that he has good case on merits, we grant early hearing and post the main appeal for hearing on 05.02.2025 and pronounced in the open Court. Thus, separate hearing notice is dispensed with. 5. In the result, the Stay Application filed by the assessee is dismissed. Order pronounced in the open Court on 29th January, 2025 at Chennai. Sd/- Sd/- (JAGADISH) ACCOUNTANT MEMBER (S.S. VISWANETHRA RAVI) JUDICIAL MEMBER Chennai, Dated, 29.01.2025 Vm/- आदेश की Ůितिलिप अŤेिषत/Copy to: 1. अपीलाथŎ/Appellant, 2.ŮȑथŎ/ Respondent, 3. आयकर आयुƅ/CIT, Chennai/Madurai/Coimbatore/Salem 4. िवभागीय Ůितिनिध/DR & 5. गाडŊ फाईल/GF. "