Income Tax Appellate Tribunal - Hyderabad
Gac Shipping (India) Private Limited, ... vs Ito, International Taxation, Nellore, ... on 19 May, 2017
IN THE INCOME TAX APPELLATE TRIBUNAL
HYDERABAD BENCH "B", HYDERABAD
BEFORE SHRI D. MANMOHAN, VICE PRESIDENT
AND SHRI D.S. SUNDER SINGH, ACCOUNTANT MEMBER
S.A. No. 78/Hyd/2017
(in ITA No. 264/H/17
Assessment Year : 2014-15 )
GAC Shipping India (P.) Ltd., Nellore vs. Income-tax Officer - International
Taxation, Nellore.
PAN - AABCG 4164H
(Applicant) (Respondent)
Applicant by : Shri R. Sreenivasan
Revenue by : Smt. U. Minichandran
Date of hearing : 19-05-2017
Date of pronouncement : 19 -05-2017
ORDER
PER D.S. SUNDER SINGH, A.M.:
This Stay application has been filed by the applicant seeking stay of recovery of outstanding demand of Rs. 5,24,020/-.
2. Briefly, the facts of the case are that the applicant is a company engaged in the business of agents for tramp vessels and other shipping lines like Freight carrier and so on. For the AY 2014-15, assessment u/s 172(4) was made by the ITO (International Taxation), Nellore, dated 31/12/2014 determining the taxable income of Rs. 17,72,649/- and demanding tax of Rs. 7,48,590/-. According to the ITO, out of total freight of USD 743925, only an amount of Rs. 3,66,175/- was considered for relief, as having remitted to Singapore, being the country of freight carrier. Though the proof of having remitted the balance freight was produced before the CIT(A), the CIT(A) was not prepared to accept such additional evidence produced 2 S.A. No. 78/Hyd/2017 M/s GAC Shipping India (P.) Ltd., Nellore and confirmed the action of the AO. Hence, appeal was filed before the ITAT, which is pending for disposal.
3. Referring to the above factual back ground, the ld. AR submitted that out of the total tax demand of Rs. 7,48,590/-, the applicant has already paid an amount of Rs. 2,24,570/- and the balance outstanding demand is Rs. 5,24,020/-. He submitted that there is a prima facie case in favour of the applicant and therefore, applicant will have balance of convenience in his favour. He, therefore, prayed for grant of absolute stay of the recovery of outstanding demand till the disposal of the appeal filed before the Tribunal, as the applicant is not in a position to pay the demand due to lack of funds.
4. Ld. DR, on the other hand, objected to grant of absolute stay to applicant.
5. Considered the rival submissions and perused the orders of the revenue authorities. On facts of the case, we are of the view that this is a good case for considering the stay of demand. Therefore, we are inclined to grant stay of recovery of outstanding demand for a period of 180 days from the date of this order or till the disposal of the corresponding appeal, whichever is earlier. As the date of hearing of the corresponding appeal is directed to be fixed on 15/06/2017, which is announced in the open court, no notice is required to be issued to the parties. The applicant is directed not to take any adjournment on the date of hearing of the appeal.
3 S.A. No. 78/Hyd/2017M/s GAC Shipping India (P.) Ltd., Nellore
6. In the result, S.A filed by applicant is allowed, as indicated above.
Pronounced in the open court on 19 th May, 2017.
Sd/- Sd/-
(D. MANMOHAN) (D.S. SUNDER SINGH)
VICE PRESIDENT ACCOUNTANT MEMBER
Hyderabad, Dated: 19 th May, 2017.
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Copy to:-
1) M/s GAC Shipping (India) Pvt. Ltd., C/o M/s Rangamani & Co., CA, CARD Bank Building, IInd Floor, VCSB Road, Alleppey - 688001
2) ITO (International Taxation), Nellore Circle - 8(1), Hyderabad.
3) CIT(A) - 10, Hyderabad
4) CIT - (IT & TP), Hyderabad
5) The Departmental Representative, I.T.A.T., Hyd.
6) Guard File