2019 (1) TMI 1221 - AAAR - VAT and Sales Tax

Stay on demand of balance part (70%) of the adjudged amount of tax, interest and penalty which arises pursuant to the order impugned order in these appeals - Counsel for the appellant submits that the Bank Guarantees shall be kept alive till the disposal of these appeals - Held that - His statement is accepted. In the circumstances, during the pendency of these appeals, the demands impugned in these appeals shall remain stayed - application disposed off.

Summary

Issues: Stay applications for demand of balance amount of tax, interest, and penalty, Bank Guarantees, and final disposal of appeals.

Analysis:
The judgment pertains to stay applications filed by the Appellant relating to the demand of the balance amount of tax, interest, and penalty following an impugned order. The Appellant had already deposited 30% of the impugned demands, including tax, interest, and penalty, and covered the remaining amount through Bank Guarantees. A detailed table was submitted by the Counsel, outlining the demands, payments made, and Bank Guarantee amounts for each year in question. The Respondent did not dispute the accuracy of the table presented by the Appellant's Counsel, and it was agreed that the Bank Guarantees would remain valid until the final disposal of the appeals.

The Chairperson accepted the submissions made by the Appellant's Counsel, and it was decided that the demands impugned in the appeals would remain stayed during the pendency of the appeals. This stay order would continue until the final order is passed in the appeals. Consequently, all the stay applications were disposed of, and the matter was adjourned for a hearing on the main appeals on 31.01.2019. The judgment ensures that the demands in question are stayed, and the Bank Guarantees provided by the Appellant will remain in force until the final resolution of the appeals, providing a temporary relief to the Appellant while the appeals are being heard and decided upon.