2019 (3) TMI 480

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..... tayed for a period of six months from the date of this order subject to condition that the assessee would deposit 25,00,00,000/- on or before 15-03-2019. The assessee is also granted out of turn hearing on 23-04-2019 and the registry is directed accordingly. Since the date of hearing is announced in the open court, the issuance of separate notices is dispensed with.
Shri Mahavir Singh, Judicial Member And Shri Rajesh Kumar, Accountant Member For the Assessee : Shri Farrokh Irani, Sr. Advocate, Shri Sunil Mehta For the Revenue : Shri Chaudhary Arun Kumar Singh, CIT-DR, Shri Senthil Kumar ORDER PER RAJESH KUMAR, A.M: By this present Stay Application, the assessee seeks the stay of demand of ₹ 2,64,67,23,090/-, out of the total d .....

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..... ging the order of CIT(A) and also requesting for the stay of outstanding demand. Ld. AR while taking us through the provisions of Section 44 of the Act, which deal with computation of income of the Insurance Companies, submitted that the income of the assessee was also computed u/s. 44 r.w.r. 5 of the First Schedule and therefore, the computational provisions in respect of income under the head Income from Securities, Income from House Property, Capital Gains and Income from Other Sources are not applicable to the Insurance Companies. Ld. AR submitted that Rule 5 of the First Schedule deals with the computation of profits and gains of other insurance business subject to certain adjustments by stating that one of such adjustments in Clause(b .....

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..... sed the contentions of Ld. AR by submitting that with the amendment to Rule 5, wherein Clause(b) is re-inserted by the Finance Act, 2010 w.e.f. 01-04-2011 clearly makes the gain arising out of sale of securities, investments as liability to tax and therefore there is no leverage left by the said amendment for further interpretation. The Ld. DR submitted that the assessee should be directed to deposit at least 50% of the outstanding demand before granting any stay of the demand failing which the stay application may be dimissed. 5. We have heard the rival submissions and perused the material available on record. We observe from the facts before us that a demand of ₹ 2,64,67,23,090/- is outstanding against the assessee, after payment o .....

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