Income Tax Appellate Tribunal - Delhi
Jones Lang Lasalle Property ... vs Addl. Cit, New Delhi on 17 March, 2017
IN THE INCOME TAX APPELLATE TRIBUNAL
DELHI BENCH: 'Friday/I-2' NEW DELHI
BEFORE SH. I.C. SUDHIR, JUDICIAL MEMBER
AND
SH. O.P. KANT, ACCOUNTANT MEMBER
S.A. No. 48/Del/2017
[In ITA No. 398/Del/2017]
Assessment Year: 2012-13
Jones Lang LaSalle Property Vs. Addl. CIT, Special Range-5, New
Consultants (India) Pvt. Ltd., Delhi
1110, Ashoka Estate,
Barakhamba Road, Connaught
Place, New Delhi
PAN : AAACL2089B
(Appellant) (Respondent)
Appellant by S/sh. Nageswar Rao & Purushottam
Anand, Advocates
Respondent by Sh. Neeraj Kumar, Sr.DR
Date of hearing 17.03.2017
Date of pronouncement 17.03.2017
ORDER
PER O.P. KANT, A.M.:
The present stay application has been filed by the applicant in ITA No. 398/Del/2017 for assessment year 2012-13 praying for stay of recovery of outstanding demand of Rs.9,91,42,960/-.
2. Ld. counsel of the applicant inviting our attention to the application and documents annexed with it, submitted that in the final assessment order passed by the Assessing Officer in compliance to the direction of the Ld. Dispute Resolution Panel (DRP), addition on account of the transfer pricing adjustment of Rs.22,76,86,344/- has been made and the total income has been assessed at Rs.139,77,13,504/- as against 2 S.A. No. 48/Del/2017 AY: 2012-13 returned income of Rs.117,00,27,160/-. The net demand of Rs.9,91,42,960/- payable by the assessee is computed as under:
Particulars Amount (in INR)
Tax payable (as per the assessment order) (A) 45,34,88,146
Amount of taxes already paid:
- TDS 48,78,54,978
- Advance tax 0
- Self assessment tax 0
- Regular assessment tax -10,05,68,154
Total taxes paid (B) 38,72,86,824
Additional income tax and interest payable on distributed profits (C) 64,68,066 Amount already refunded (D) 10,05,68,154 Amount of tax payable (A-B+C) 7,26,69,388 Interest u/s 244A 0 Interest made u/s 244A recovered 1,20,68,184 Interest u/s 234D 1,44,05,387 Net amount payable by the assessee 9,91,42,960
3. The Ld. counsel submitted that after the disposal of the rectification application, net demand of Rs. 20 lakh will only be left for recovery, thus, application of the assessee may be allowed and the appeal of the applicant may be fixed on priority.
4. The stay application of the applicant was earlier fixed on 3/02/2017. On that day Ld. counsel submitted that assessee has filed a rectification application before the Assessing Officer for allowing credit of tax deducted at source (TDS) on 20/01/2017 and which was pending before the Assessing Officer. On that day matter was adjourned to 3 S.A. No. 48/Del/2017 AY: 2012-13 17/3/17, awaiting the disposal of the application under section 154 by the Assessing Officer.
5. On enquiry by the bench regarding the status of the rectification application filed by the applicant before the Assessing Officer, the Ld. DR could not inform the status of the disposal of the rectification application. In view of the contention of the Ld. AR, that after rectification demand of approximately Rs. 20 lakh will be left for recovery, he submitted that appeal may be fixed for early hearing.
6. We have heard the submission of the parties and perused the relevant material on record. We find that in the case of the assessee demand of Rs.45,34,88,146/- was raised on assessment and against which the Assessing Officer allowed credit of TDS of Rs.48,78,54,978/- as against the claim of TDS of the applicant of Rs.59,44,64,851/-. Further, in the rectification application, the applicant has stated that refund of Rs.10,05,68,154/- has actually not been received by the applicant, and thus credit withdrawn of said amount is also required to be given . The applicant has claimed that dividend distribution tax paid of Rs.64,68,066/- has been added in the additional demand, which also need to be withdrawn. Further, the outstanding demand include interest under section 244AA recovered amounting to Rs.1,20,68,184/- and interest under section 234D of the Act, amounting to Rs.1,44,05,387/-
7. Further, we find that the assessee filed the said rectification application on 20/01/2017 before the Assessing Officer, however, the Department has not provided any information whether the application has been allowed or rejected. When the Department is pursuing recovery of demand from the applicant, it should have attended the rectification application on priority basis. We find that as per the claim of the applicant, substantial part of the tax of the applicant has already been deducted and deposited with the Department, in such circumstances, it is 4 S.A. No. 48/Del/2017 AY: 2012-13 not appropriate to direct the applicant for making further payment against outstanding demand for inaction of the Assessing Officer.
8. Considering the above, we direct:
1. that recovery of outstanding demand is stayed for a period of six months or passing of the order by the Tribunal in the appeal, whichever is earlier.
2. that ITA No. 398/Del/2017 is fixed for hearing on 05/06/2017.
The said date was announced after taking into consideration the convenience of both the parties.
3. that no adjournment shall be moved by the assessee while hearing the appeal by the Tribunal, other than any reasonable ground.
9. In the result, the stay application of the assessee is allowed on the above terms.
The decision is pronounced in the open court on 17th March, 2017.
Sd/- Sd/-
(I.C. SUDHIR) (O.P. KANT)
JUDICIAL MEMBER ACCOUNTANT MEMBER
Dated: 17th March, 2017.
RK/-(D.T.D)
Copy forwarded to:
1. Appellant
2. Respondent
3. CIT
4. CIT(A)
5. DR
Asst. Registrar, ITAT, New Delhi