Income Tax Appellate Tribunal - Mumbai
Tata Communication Ltd. (Formerly ... vs Addl.C.I.T.Rg.1(3), Mumbai on 8 December, 2017
आयकर अपीऱीय अधिकरण "K" न्यायपीठ मुंबई में ।
IN THE INCOME TAX APPELLATE TRIBUNAL "K" BENCH, MUMBAI
BEFORE SHRI SAKTIJIT DEY, JUDICIAL MEMBER AND
SHRI RAMIT KOCHAR, ACCOUNTANT MEMBER
SA Nos. 526/Mum/2017
Arising out of ITA No . 7514/Mum/2011
Assessment Year 2007-08
Tata Communications Ltd. Addl. Commissioner of Income-
Videsh Sanchar Bhavan tax, Range-1(3)
M G Road , Fort, Mumbai
Mumbai-400 001 v.
PAN - AAACV2808C
Applicant Respondent
Applicant by Shri. Dinesh Vyas
Respondent by Shri Saurabh Deshpande
Date of Hearing : 08 -12-2017
Date of Pronouncement : 08 -12-2017
ORDER
PER RAMIT KOCHAR, Accountant Member:
1. The assessee has filed this interlocutory application for extension of stay of outstanding demand of taxes and interest bearing number SA No. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 for assessment year 2007-08 with Income-tax Appellate Tribunal(hereinafter called "the tribunal") , which stay of demand was last extended by the SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08 tribunal on 09.06.2017 in SA no. 311/Mum/2017 for a period of 6 months or till disposal of the appeal , whichever is earlier. The Stay of demand was initial granted by the tribunal in SA no. 264/Mum/2011 vide orders dated 21- 12-2011 , which was extended by the tribunal from time to time and was lastly extended on 09.06.2017. The Ld. Senior Counsel for the assessee submitted since the last stay of outstanding demand of taxes and interest was granted by the tribunal on 09.06.2017 , there was only one hearing which took place in the intervening period on 16.08.2017 till date and on 16-08-2017, the Revenue sought adjournment on the said date. The Ld. Senior Counsel for the assessee has given the details of the hearing which took place since the stay was last extended on 09-06-2017, as under:-
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Date of hearing Details of Hearing 09.06.2017 The stay extension was granted vide Stay order dated June 9, 2017 extending the stay for a period of six months or till the date of passing the order, whichever is earlier.
16.08.2017 The Department Representative sought adjournment vide letter dated 16-08-2017 (copy enclosed) on the ground that the case has been assigned to Special Counsel Shri Girish Dave for AY 2007-08; this appeal has to be argued first and other years involve similar issues; and that it will take some time to officially intimate Shri Girish Dave and therefore adjournment may be given.
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SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08 The Bench refixed the appeal hearing on January 9, 2018.
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It is submitted by the Ld. Senior Counsel for the assessee that assessee has always complied with the terms and conditions of stay of demand and has not sought adjournment after the last extension of the stay on 09.06.2017. It was submitted that the next date of hearing in this case is 09.01.2018 and it was stated that the assessee will continue to comply with the terms of the stay which was imposed on the assessee by the tribunal while the stay of demand way originally granted on 21.12.2011 in SA no. 264/Mum/2011 as also from time to time by the tribunal, thus it is contended that all conditions of the stay of demand as imposed by the tribunal were met and the factual matrix as well circumstances have not changed since them and the assessee is entitled for the extension of the stay of outstanding demand of tax and interest on the same terms and conditions. It was also claimed that assessee has good prima facie case and balance of convenience is in favour of the assessee. It was also claimed that the tribunal while granting stay of demand originally on 21-12-2011 has discussed factual matrix of the issues in appeal. Thus, prayer was made by 3 SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08 learned Senior counsel for the assessee to extend the stay on outstanding demand . On the other hand , Ld. DR appearing on behalf of the Revenue did not disputed factual submissions of the Ld. Senior Counsel of the assessee but however Ld. DR submitted that assessee may be directed to deposit some more amounts of outstanding demand of tax and interest.
2.We have considered rival contentions and have perused the material on record . We have observed that assessee was granted stay on recovery of balance outstanding demand of taxes and interest originally on 21.12.2011 by the tribunal in SA no 264/Mum/2011 in ITA no. 7514/Mum/2011 for assessment year 2007-08 subject to deposit of Rs. 50 crores on or before 06.01.2012 . The said stay on recovery of the outstanding demand of taxes and interest was extended from time to time by the tribunal and last such extension took place on 09.06.2017 in SA no. 311/Mum/2017 in ITA no. 7514/Mum/2011 for AY 2007-08 vide stay orders dated 09.06.2017 . After the said extension of stay of demand , the hearing of the appeal took place only once before the tribunal on 06.08.2017 wherein the Ld. DR sought the adjournment and details are as under:-
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SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08 "
Date of hearing Details of Hearing 09.06.2017 The stay extension was granted vide Stay order dated June 9, 2017 extending the stay for a period of six months or till the date of passing the order, whichever is earlier. 16.08.2017 The Department Representative sought adjournment vide letter dated 16-08-2017 (copy enclosed) on the ground that the case has been assigned to Special Counsel Shri Girish Dave for AY 2007 -08; this appeal has to be argued first and other years involve similar issues; and that it will take some time to officially intimate Shri Girish Dave and therefore adjournment may be given.
The Bench refixed the appeal hearing on January 9, 2018.
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We have observed that the assessee has not sought any adjournment after the extension of the stay of demand on 09.06.2017 and has complied with the terms and conditions of the stay of demand and hence in the fitness of the matter, the stay is further extended for a period of 180 days or till the disposal of appeal , whichever is earlier as it is not brought on record by Revenue that factual matrix of the case has changed since then warranting our interference . The earlier conditions imposed by the tribunal from time to time , however, shall remain same which the assessee has agreed to comply with . The next date of hearing fixed in 5 SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08 appeal of the assessee in ITA no. 7514/Mum/2011 is fixed for hearing on 09.01.2018. We may hasten to add that both the parties are directed to make sincere efforts for disposal of the appeal at the earliest. We would also like to clarify that we have not commented on the merits of the issue in the appeal in ITA no.7514/Mum/2011 connected with this interlocutory stay application. The interlocutory stay application vide SA no. 526/Mum/2017 arising out of appeal in ITA no. 7514/Mum/2011 for AY 2007-08 is disposed of as per above terms and conditions. We order accordingly.
Order pronounced in the open court on 08.12.2017 Sd-/ Sd-/ (SAKTIJIT DEY) (RAMIT KOCHAR) JUDICIAL MEMBER ACCOUNTANT MEMBER Mumbai,08-12-2017.
Nishant Verma Sr. Private Secretary copy to...
1. The appellant
2. The Respondent
3. The CIT(A) - Concerned, Mumbai 6 SA no. 526/Mum/2017 arising out of ITA no. 7514/Mum/2011 , AY 2007-08
4. The CIT- Concerned, Mumbai
5. The DR Bench, E
6. Master File // Tue copy// BY ORDER DY/ASSTT. REGISTRAR ITAT, MUMBAI 7