Income Tax Appellate Tribunal - Kolkata
West Bengal Housing Infrastructure ... vs Dcit, Circle-14(2), Kolkata, Kolkata on 8 November, 2017
IN THE INCOME TAX APPELLATE TRIBUNAL "C" BENCH : KOLKATA
[Before Hon'ble Shri A.T. Varkey, JM & Shri M.Balaganesh, AM]
S.A.No.103/Kol/2017
(A/o I.T.A No. 627 /Kol/2017)
Assessment Year : 2013-14
WB Housing Infrastructure Develop. Corporation Ltd. -vs- DCIT, Circle-14, Kolkata
[PAN : AAACW 4115 F]
(Appellant) (Respondent)
For the Appellant : Shri Sanjay Bhattacharya, AR
For the Respondent :Shri Sallong Yaden, Addl. CIT, Sr. DR
Date of Hearing : 03.11.2017
Date of Pronouncement : 03.11.2017
ORDER
Per M.Balaganesh, AM
By virtue of this Stay application the assessee seeks to keep the demand of Rs. 35,01,88,910/- as on date in abeyance. We find from the records that the Ld. AO had framed an assessment for assessment year 2013-14 raising a demand of Rs. 82,50,02,750/- which was reduced to 51,01,88,910/- after giving appeal effect u/s 251 of the Act. The assessee has so far paid a sum of Rs. 16 crores, the details of which are as under:
01.09.2017 10 crores 25.09.2017 6 crores The assessee made a request to the Ld. AO to grant installment schemes for payment of taxes at Rs. 2 crores per month. This request was rejected by the Ld. AO. The Ld. AO intimated the assessee to settle the tax arrears in seven installments commencing from September, 2017 by way of a letter. The assessee after this letter had paid the installments due for the month of September, 2017 amounting to Rs. 6 crores on 2 S.A.No.103/Kol/2017 A/o ITA No.626/Kol/2017 WB Housing Infrastructure Develop. Corporation Ltd A.Y.2013-14 25.09.2017. The assessee before us prayed for keeping the balance demand of Rs.
35,01,88,910/- in abeyance till the disposal of the appeal by this Tribunal. In this regard, we find that the demand had apparently arose due to denial of deduction u/s 80IA of the Act. It was stated by the Ld. AR that the assessee started claiming deduction u/s 80IA for the first year commencing from assessment year 2005-06 onwards, which was disallowed by the Ld. AO. When the matter reached this Tribunal , this Tribunal had restored the issue to the file of the Ld. CIT(A) and the same is pending as on date. It was further informed by the Ld. AR that for the assessment year 2008-09 the Ld. CIT(A) had granted deduction u/s 80IA of the Act to the assessee, against which the revenue had preferred appeal before this Tribunal which was disposed off by restoring the issue to the file of the Ld. AO. The Ld. AR further informed that the Ld. AO again disallowed the deduction u/s 80IA of the Act and the issue is now pending before the Ld. CIT(A). Hence, it could be seen that the claim of deduction u/s 80IA of the Act is to be first examined in the initial assessment year in which the same was claimed by the assessee. Since, the relevant initial assessment year appeal is pending before the Ld. CIT(A) and also for subsequent years, it may not be possible for this Tribunal to dispose off the appeal for the subsequent assessment years without knowing the outcome of the earlier years on the claim of deduction u/s 80IA of the Act. In these facts and circumstances, we deem it fit and appropriate to grant stay of demand for a period of three months up to 31.01.2018 subject to the following conditions:-
(i) The assessee is directed to pay Rs. 4 crores on or before 10.11.2017 ;
(ii) The assessee shall pay Rs. 2 crores every month for the month of December, 2017 and January, 2018;
(iii) The Ld. AR is directed to co-ordinate with the Ld. CIT(A) and get the appeal for the first year i.e Assessment Year 2005-06 disposed off and produce the outcome of the same to this Tribunal on the date of next hearing i.e. 29.01.2018.2 3
S.A.No.103/Kol/2017 A/o ITA No.626/Kol/2017 WB Housing Infrastructure Develop. Corporation Ltd A.Y.2013-14
(iv) The assessee is also directed not to alienate its immovable properties in any manner whatsoever without prior permission of the jurisdictional Commissioner of Income Tax till the discharge of the total tax arrears in this case for this assessment year. This direction is given in order to protect the interests of the revenue.
2. In case if the aforesaid conditions are not fulfilled by the assessee then the stay gets automatically vacated. The stay petition preferred by the assessee is disposed accordingly. The main appeal is fixed for hearing on 29.01.2018 for which no fresh notices would follow as both the parties are informed in the open Court.
3. In the result, this Stay Application preferred by the assessee is partly allowed subject to the conditions/directions given above.
Order pronounced in the open Court on 03.11.2017.
Sd/- Sd/-
[A.T. Varkey] [M.Balaganesh]
Judicial Member Accountant Member
Dated : 03.11.2017.
SB, Sr. PS
Copy of the order forwarded to:
1. West Bengal Housing Infrastructure Development Corporation Ltd., Hidco Bhawan, 35-1111, Major Arterial Road, Newtown, Kolkata-700156.
2. DCIT, Circle-14(2), Kolkata, Aayakar Bhawan Poorva Circle-14(2), 6th Floor, Room No. 611, 110, Shantipalli, Kolkata-700107.
3. CIT(A)- , Kolkata 4. CIT, Kolkata
5. CIT(DR), Kolkata Benches, Kolkata True copy By Order Senior Private Secretary Head of Office/D.D.O., ITAT Kolkata Benches, Kolkata.
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