9911796707
TMI Blog2025 (1) TMI 244X X X X Extracts X X X X X X X X Extracts X X X X ..... sed u/s 143 (3) of the Income Tax Act 1961 along with copy of demand notice issued u/s 156 of the Income Tax Act 1961 against the petitioner. Thereafter the petitioner has filed an application under Section 220 (6) of the Income Tax Act, 1961 filed on 29.04.2024 before respondent No. 3. The respondent- No. 3 has not decided the case on the basis of prima facie case, balance of convenience, irreparable loss caused to the petitioner, Genuine hardship, CBDT instruction and hi-pitched assessment. Respondent No. 3 rejected the application without reasoned and speaking order on 14.06.2024. Subsequently, aggrieved of the same, the petitioner has filed review application before the respondent No. 2/PCIT (Central) Bhopal. The respondent No. 2 has al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 14.06.2024 rejecting stay application/application not to treat assessee in default preferred by the assessee/petitioner under Section 220 sub-section (6) of the Income Tax Act before respondent No. 3/ Assistant Commissioner of Income Tax Central Circle 2 Raipur on 30.04.2024 whereby impugned orders dated 18.10.2024 and 14.06.2024 have been rejected by an cryptic manner and without appreciating the detailed submissions made by the petitioner and without looking into the financial stringency and balance of convenience and also without giving any opportunity of hearing. 3. Learned counsel for the petitioner submits that the application filed under Section 220 (6) before the respondent No. 3 and also review application filed by the petitioner ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2022-23 and stay application pertaining to A.Y. 2022-23 which is de hors parameters laid down by the Judgment of the Hon ble Bombay High Court in KEC International Ltd. vs. B.R. Balakrishnan and Ors. reported in 2001 SCC OnLine Bom 1229 , required to be adhered to by the authorities in cases where a stay application is made by an assessee pending appeal to the first appellant authority. 5. Learned counsel for the petitioner further submits that the rejection of review application and stay application in the present case without considering submissions and indicating at lease brief reasons is impermissible as per the judgment of the Hon ble Bombay High Court in UTI Mutual Fund vs. Income Tax Officer 13(3)(2) Ors., reported in 2012 SCC OnLine ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the petitioner. Thereafter the petitioner has filed an application under Section 220 (6) of the Income Tax Act, 1961 filed on 29.04.2024 before respondent No. 3. The respondent- No. 3 has not decided the case on the basis of prima facie case, balance of convenience, irreparable loss caused to the petitioner, Genuine hardship, CBDT instruction and hi-pitched assessment. The respondent No. 3 rejected the application without reasoned and speaking order on 14.06.2024. Subsequently, aggrieved of the same, the petitioner has filed review application before the respondent No. 2/PCIT (Central) Bhopal. The respondent No. 2 has also not decided the review application on merits and passed the order to pay 20% of the tax liability by way of installmen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c) In cases where the assessee relies upon financial difficulties, the authority concerned can briefly indicate whether the assessee is financially sound and viable to deposit the amount if the authority wants the assessee to so deposit. (d) The authority concerned will also examine whether the time to prefer an appeal has expired. Generally, coercive measures may not be adopted during the period provided by the statute to go in appeal. However, if the authority concerned comes to the conclusion that the assessee is likely to defeat the demand, it may take recourse to coercive action for which brief reasons may be indicated in the order. (e) We clarify that if the authority concerned complies with the above parameters while passing orders o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o what has been held in the preceding previous years without there being a material change in facts or law, that is a relevant consideration in deciding the application for stay; 4. When a bank account has been attached, before withdrawing the amount, reasonable prior notice should be furnished to the assessee to enable the assessee to make a representation or seek recourse to a remedy in law; 5. In exercising the powers of stay, the Income Tax Officer should not act as a mere tax gatherer but as a quasi judicial authority vested with the public duty of protecting the interest of the Revenue while at the same time balancing the need to mitigate hardship to the assessee. Though the AO has made an assessment, he must objectively decide the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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