2018 (12) TMI 1628 - AT - Income Tax

Extension of stay granted - stay extended for 180 days - eligibility of deduction under section 80IC - HELD THAT - We have gone through the Tribunal Orders granting stay on various occasions i.e. the first order on 29.09.2017, wherein the detail order granting stay was passed. In view of the above, we are of the view that the stay should be extended for 180 days from today. Accordingly, we grant the stay and appeal is already fixed for hearing on 31.01.2019, for which no further notice to either parties will be sent. Stay is extended.

Issues Involved:
Eligibility of deduction under section 80IC of the Act, Extension of stay granted, Prima facie case for further extension of stay, Tribunal orders granting stay.

Eligibility of Deduction under Section 80IC of the Act:
The issue pertained to the eligibility of deduction under section 80IC of the Act, which arose for the first time in the assessment year 2008-09 and was followed in subsequent years, including the assessment year 2011-12. The appeal for the assessment year 2008-09 was heard earlier, and the matter was adjourned multiple times due to pending orders and common grounds. The Tribunal observed that the issue regarding deduction under section 80IC was allowed based on legal arguments in the assessment year 2008-09 without adjudicating on merits. Consequently, the Tribunal decided that the merit needed to be addressed first in the assessment year 2008-09 before proceeding with other common grounds and subsequent assessment years. The applicant made an application for early hearing for the assessment years 2009-10 and 2010-11 along with the current appeal for the assessment year 2011-12. The Tribunal, after considering the circumstances, adjourned the matter to a later date to ensure proper adjudication.

Extension of Stay Granted:
The applicant filed a stay application seeking an extension of the stay previously granted. The stay was initially extended for 180 days in a previous order dated 06.04.2018. The Tribunal reviewed the orders granting stay on various occasions, notably the first order on 29.09.2017, where a detailed order granting stay was passed. After considering the facts and circumstances, the Tribunal decided to extend the stay for an additional 180 days from the date of the current order. The Tribunal also scheduled the appeal for hearing on 31.01.2019 without sending further notice to the parties, indicating that the stay was extended to accommodate the upcoming hearing date.

Prima Facie Case for Further Extension of Stay:
The applicant contended that without a further extension of stay for the outstanding demand, there would be hardship as the assessee had a prima facie case, and stay had been granted multiple times previously. The Tribunal, after reviewing the arguments and previous orders, agreed that the stay should be extended to prevent hardship to the assessee. The Tribunal granted the extension of stay to ensure fairness and proper adjudication of the matter.

Tribunal Orders Granting Stay:
The Tribunal carefully examined the previous orders granting stay, particularly the order dated 29.09.2017, where a detailed stay order was issued. Based on the review of these orders and the circumstances presented by the applicant, the Tribunal decided to grant the extension of stay for 180 days from the date of the current order. The Tribunal's decision to extend the stay was aimed at providing relief to the assessee and ensuring a fair hearing of the appeal scheduled for a later date.

In conclusion, the Tribunal allowed the stay application of the assessee, extending the stay for an additional 180 days from the date of the order to facilitate the upcoming hearing without sending further notice to the parties. The decision was made to address the eligibility of deduction under section 80IC of the Act, ensure fairness in the proceedings, and prevent hardship to the assessee.

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