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Income Tax Appellate Tribunal - Delhi

Jindal Steel & Power Ltd., New Delhi vs Dcit, Gurgaon on 28 April, 2017

  IN THE INCOME TAX APPELLATE TRIBUNAL
     DELHI BENCH: 'FRIDAY/G' NEW DELHI

     BEFORE SHRI R. S. SYAL, VICE PRESIDENT
                       AND
    MS SUCHITRA KAMBLE, JUDICIAL MEMBER

                   S.A. No.262/Del/2017
               (In I.T.A No.2403/Del/2017)
                Assessment Year : 2008-09


Jindal Steel & Power Ltd., Vs   DCIT,
Jindal Centre,                  Circle-1(1), 5th Floor,
12, Bhikaji Cama Place,         HSIDC Building,
New Delhi.                      Vanijya Nikunj, Udyog Vihar,
                                Phase-V,
PAN: AAACJ7097D                 Gurgaon.

     (Applicant)                      (Respondent)

    Assessee by:         Shri Ajay Vohra, Sr. Advocate &
                         Shri Rohit Jain, Advocate
    Revenue by:          Shri Anil Kumar Sharma, Sr. DR

    Date of Hearing      28.04.2017
    Date of              28.04.2017
    Pronouncement
                          ORDER

PER R. S. SYAL, VP:

By means of the present stay application, the assessee requires the Tribunal to stay demand of Rs.238,40,88,159/-
2 SA No. 262/Del/2017
inclusive of interest for the A.Y. 2008-09 till the disposal of the captioned appeal by the Tribunal.

2. We have heard both the sides and perused the relevant material on record. It is noticed that during the pendency of appeal before the ld. CIT(A), the assessee approached the Departmental authorities who granted stay subject to the condition of the assessee depositing a sum of Rs.41.64 crore, which constituted 15% of the total demand. The Assessing Officer was further permitted to adjust any refund which may arise in favour of the assessee company. The assessee challenged this order before the Hon'ble Punjab & Haryana High Court by means of a Writ Petition, contending that the right of the Department to adjust the refunds should be limited to Rs.41.64 crore. The Hon'ble High Court, vide its judgment dated 21.09.2016, a copy of which is available on record, directed in the concluding para 30, as under:-

"30. In the circumstances, the writ petition is disposed of by holding that the petitioner shall be entitled to a stay of the demand subject to its depositing the installments as required by the order dated 14.06.2016 and that the future refunds can be adjusted only to the 3 SA No. 262/Del/2017 extent of the balance amount directed to be paid as a condition for the stay."

3. The ld. AR contended that now the appeal has been disposed of by the ld. CIT(A) and the matter is pending before the Tribunal and, hence, the stay be granted. On a specific query, it was submitted that as against the direction to deposit Rs.41.64 crore, the assessee has deposited only a sum of Rs.39.16 crore so far. In the given circumstances, when the Hon'ble High Court has already granted stay subject to deposit of Rs.41.64 crore, we do not have any jurisdiction to give any further direction or concession. The verdict of the Hon'ble High Court be followed forthwith and the assessee is directed to make further payment to complete the total payment of Rs.41.64 crore as directed by the Hon'ble High Court without any further delay.

4. Considering the totality of facts and circumstances of the instant case, we are inclined to grant stay on the remaining 85% of the demand for a period of six months or till the disposal of appeal, whichever is earlier, subject to the compliance of the full direction 4 SA No. 262/Del/2017 by the Hon'ble High Court, namely, in depositing a further sum of Rs. 2.48 crore (Rs.41.64 crore minus Rs.39.16 crore) immediately. An announcement to this effect was made in the open court on the conclusion of hearing. Acceding to the request of the ld. AR, we direct to fix this appeal for hearing on the 17th July, 2017, after receiving copies of the challans for full deposit of Rs.41.64 crore as directed by the Hon'ble High Court. With these observations, and subject to the above terms and conditions, the stay application of the assessee gets disposed of accordingly.

5. In the result, the stay application is allowed in above terms.

Order pronounced in the open Court at the time of hearing i.e. on 28.04.2017.

         Sd/-                                            Sd/-
 (SUCHITRA KAMBLE)                                (R. S. SYAL)
  JUDICIAL MEMBER                              VICE PRESIDENT

Dated: 28.04.2017

dk
                      5            SA No. 262/Del/2017



Copy forwarded to:
1. Appellant
2. Respondent
3. CIT
4. CIT(Appeals)
5. DR: ITAT

                         ASSISTANT REGISTRAR