9911796707
TMI Blog2010 (12) TMI 734X X X X Extracts X X X X X X X X Extracts X X X X ..... adverse effect on its routine business - Hence, the balance of convenience clearly lies in favour of the assessee and it is a fit case to grant the stay of entire outstanding demand - Thus, the stay application of the assessee is allowed. X X X X Extracts X X X X X X X X Extracts X X X X ..... d in demand against the assessee on account of tax amounting to Rs. 23,08,40,203 and interest thereon amounting to Rs. 7,40,80,767. Out of the said total demand amounting to Rs. 30,49,20,970, the Department has already recovered a sum of Rs. 9,53,63,114 from the assessee and the balance outstanding demand of Rs. 20,95,57,856 is being sought to be stayed by the assessee by way of the present application. 3. We have heard the arguments of both the sides and also perused the relevant material on record. As submitted by the learned counsel for the assessee, the decision of Hon'ble Karnataka High Court in the case of CIT vs. Samsung Electronics Co. Ltd. (supra) relied upon by the AO as well as by the learned CIT(A) to justify the addition of R ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... merits on this issue. It is also observed that the sum of Rs. 9.54 crores has already been recovered from the assessee which is more than 40 per cent of the tax demand originally raised against it. The liquidity position of the assessee also is not very favourable in as much as its current payables as on today are more than the receivables by a sum of Rs. 12 crores and even the bank account has an overdraft balance of Rs. 3.25 crores. Any further recovery of outstanding demand thus, is likely to cause a genuine hardship to the assessee and may have an adverse effect on its routine business. Having regard to all these facts of the case, we are of the view that the balance of convenience clearly lies in favour of the assessee and it is a fit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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