9911796707
TMI Blog2019 (7) TMI 1222X X X X Extracts X X X X X X X X Extracts X X X X ..... the next aspect as regards the balance of convenience is concerned, the learned counsel for the assessee relied upon a decision of the Kolkata Bench of the Tribunal in respect of one Ravindra Sanghai (HUF) [ 2012 (5) TMI 811 - ITAT KOLKATA] and submitted that it also pertains to dealing of shares in the company M/s.Multiplus Resources. In the said case, the Tribunal ruled in favour of the assessee by order dated 22.05.2012. Thus, we find that the balance of convenience, at this stage, would lean in favour of the assessee. Total tax paid by the assessee is ₹ 19,98,004/- out of the tax demand of ₹ 28,20,927/- which comes to nearly 71% of the demand. If interest on the tax is added, then the amount which has been paid by the as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ion filed by the assessee in S.P.No.158/Chny/2019 in I.T.A.No.1524/Chny/2019 on the file of the Income Tax Appellate Tribunal 'C' Bench, Chennai (for brevity, the Tribunal ), for the assessment year 2012-13. 2.The Tribunal by the impugned order while considering the prayer for stay of the demand of ₹ 37,40,152/-, held that the assessee could not make out any case for undue financial hardship in paying the outstanding demand and it has not established any prima facie case on the merits of the addition and therefore, held that it is not a fit case for grant of absolute stay. However, the Tribunal granted the order of stay subject to the condition that the assessee pays a sum of ₹ 10,00,000/- in monthly ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have heard Mr.R.Sandeep Bagmar, learned counsel for the appellant/assessee; and Ms.R.Hemalatha, learned Senior Standing Counsel for the respondent/Revenue. 7.The three cardinal principles, which the Court is required to consider while granting an interim order are whether the petitioner/litigant has made out a prima facie case; whether balance of convenience is in his favour; and if the prayer for stay is not granted to a litigant, he will be put to irreparable hardship. 8.So far as the prima facie case is concerned, the Tribunal holds that it does not find any prima facie case on the merits of the addition. However, it is not clear as to how the Tribunal came to such a conclusion, as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... idity of the reopening and not rejected the appeal on the ground that the authorized representative of the assessee participated in response to the notice issued under Section 148 of the Act. This, in our considered view, would be sufficient for the present to hold that the assessee has made out a prima facie case. 11.Coming to the next aspect as regards the balance of convenience is concerned, the assessee is an individual and the assessment was reopened based upon an investigation which had commenced in Kolkata pertaining to certain stock brokers and the allegation being, there are criss gross deals among five stock brokers and many of the brokers involve stocks of shell companies. 12.On a query raised ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ven years before and the assessee has no funds to pay the disputed tax. 15.The learned counsel for the assessee has produced a chart showing the computation of tax demand and for better appreciation, we quote the same hereunder:- Computation of Tax Demand Particulars Amount Rs. Tax Demanded as per AO Order 28,20,927 Interest On Tax 19,17,226 Total Tax and Interest 47,38,153 Tax already paid ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ior to the passing of the interim order by the Tribunal and upon compliance of the payment of first instalment totalling a sum of ₹ 19,98,004/- would sufficiently safeguard the interest of the Revenue. 18.Accordingly, the respondent need not insists upon any further payment till the disposal of the appeal and the balance tax and interest payable by the assessee shall remained stayed till the disposal of the appeal filed by the assessee before the Tribunal. 19.For the above reasons, the appeal is partly allowed and the order passed by the Tribunal is modified to the extent indicated above. Consequently, the substantial questions of law are left open. No costs. The conn ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
