Income Tax Appellate Tribunal - Hyderabad
Country Club Hospitality & Holidays ... vs Acit, Circle-1(2), Hyderabad, ... on 17 March, 2017
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SA.Nos.48 & 49/H/2017 in ITA.Nos.1689/H/12 & 1714/H/2014
M/s. Country Club Hospitality & Holidays Ltd., Hyderabad.
IN THE INCOME TAX APPELLATE TRIBUNAL
HYDERABAD BENCHES "A" : HYDERABAD
BEFORE SHRI D. MANMOHAN, VICE PRESIDENT
AND
SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER
S.A.No.48/Hyd/2017
Arising out of
ITA.No.1689/Hyd/2012 - Assessment Year 2009-2010
M/s. Country Club Hospitality
& Holidays Limited (Formerly vs. ACIT, Circle-1(2)
known as Country Club Hyderabad.
(India) Ltd., Hyderabad.
PAN AAACC8276B
(Applicant) (Respondent)
S.A.No.49/Hyd/2017
Arising out of
ITA.No.1714/Hyd/2014 - Assessment Year 2010-2011
M/s. Country Club Hospitality
& Holidays Limited (Formerly vs. ACIT, Circle-1(2)
known as Country Club Hyderabad.
(India) Ltd., Hyderabad.
PAN AAACC8276B
(Applicant) (Respondent)
For Applicant : Shri P. Muralimohan Rao
For Revenue : Shri A. Sitarama Rao
Date of Hearing : 17.03.2017
Date of Pronouncement : 17.03.2017
ORDER
PER D. MANMOHAN, V.P. By these applications, the assessee seeks stay of collection of outstanding demand, referrable to the A.Ys. 2009-2010 and 2010- 2011.
2SA.Nos.48 & 49/H/2017 in ITA.Nos.1689/H/12 & 1714/H/2014 M/s. Country Club Hospitality & Holidays Ltd., Hyderabad.
2. The Learned Counsel for the Assessee placed before us a chart indicating the additions made by the A.O. which were disputed before the Tribunal and also the relevant case law to submit that major issues are covered by the orders of the Tribunal and therefore, there is a strong prima facie case on merits. It is also pointed out that the assessee-company is reeling under losses and on account of financial stringency any recovery made from the bank account would completely cripple the day-to-day activities of the company and inturn will cause irreparable loss to the company. He therefore, prayed that the balance of convenience is in favour of granting of stay of collection of outstanding demand, pending disposal of the appeals. He also adverted our attention to the orders passed by the A.O. to highlight that the company is entitled to refund of the amount paid in the earlier years which also could have been adjusted against the tax payable in these years.
3. On the other hand, Ld. D.R. submitted that stay applications were filed yesterday i.e., on 16.03.2017 and in fact the appeals were posted for hearing on 15.03.2017 but adjourned to 04.04.2017 at the request of the assessee and thus, it is not appropriate to grant stay till the disposal of the appeal particularly when the assessee had reasonable funds to pay the outstanding demand.
4. At the outset, it may be noticed that there are 05 appeals i.e., two appeals for the A.Ys. 2008-09, two appeals for the A.Y. 2009- 10 and one appeal for the A.Y. 2010-2011. For the sake of convenience and at the request of the parties, the appeals are clubbed and transferred to 'A' Bench.
3SA.Nos.48 & 49/H/2017 in ITA.Nos.1689/H/12 & 1714/H/2014 M/s. Country Club Hospitality & Holidays Ltd., Hyderabad.
5. We have carefully considered the rival submissions and perused the record. Since the appeals are also listed for hearing from time to time, the merits of the issues are well-known to the Departmental Representative and there is no need to seek further instructions from the A.O. The case of the assessee is that major issues are covered in favour of the assessee and in support thereof he placed copies of the orders of the Tribunal as well as High Court and the D.R. could not contradict the claim of the assessee. Thus, we are of the view that there is a strong prima facie case on merits and balance of convenience is in favour of grant of stay of collection of outstanding demand till the disposal of the appeals. Since the appeals are posted on 04th April, 2017 we grant ad-interim stay till 04th April, 2017. If the assessee seeks adjournment on that date, the ad-interim stay granted shall stand vacated, unless there is a reasonable ground and if the Revenue seeks adjournment, the stay would continue till the further date of hearing. Needless to observe that the assessee shall furnish surety to the satisfaction of the A.O. With these observations, the stay applications filed by the assessee are treated as partly allowed.
Order pronounced in the open Court on 17.03.2017.
Sd/- Sd/-
(S. RIFAUR RAHMAN) (D.MANMOHAN)
ACCOUNTANT MEMBER VICE PRESIDENT
Hyderabad, Dated 17th March, 2017.
VBP/-
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SA.Nos.48 & 49/H/2017 in ITA.Nos.1689/H/12 & 1714/H/2014 M/s. Country Club Hospitality & Holidays Ltd., Hyderabad.
Copy to
1. M/s. Country Club Hospitality & Holidays Limited (Formerly known as Country Club (India) Ltd., Country Club Kool, 4th and 5th Floors, 6-3-1219, Begumpet, Hyderabad.
2. ACIT, Circle-1(2), Hyderabad.
3. DCIT, Circle-3(2), Hyderabad.
4. CIT(A)-2, Hyderabad.
5. CIT-1, Hyderabad.
6. D.R. ITAT, Hyderabad "A" Bench, Hyderabad.
7. Guard File