2009 (3) TMI 53 - HC - Income Tax

Application for stay - Demand - Against the demand, an appeal has been preferred by assessee before CIT(A). The Assessee had applied for stay before the AO which has been rejected Now, Assessee is directed to deposit a sum of Rs.1 crore with the AO within 4 days of the accounts of the Assessee petitioner being defreezed - CIT(A) is directed to hear the appeal pending before it expeditiously, after giving due opportunity to the appellant - balance demand is stayed till the disposal and final hearing by CIT(A)

Summary

The Bombay High Court heard a case where the Revenue demanded Rs. 5 crores from the Assessee. The Assessee appealed to CIT(A) and applied for a stay, which was rejected. The court ordered the Assessee to deposit Rs. 1 crore within 4 days of their accounts being defreezed. The CIT(A) was directed to expedite the appeal process. The Revenue agreed to defreeze the accounts by a specified date. The court ruled in favor of the Assessee, staying the balance demand until the appeal is resolved. The petition was disposed of with no costs.