Wpms/101/2023 Of Maa Sheetla Ventures Ltd v. Assistant Commissioner Of Income Tax

Vs. L.G. Electronics India Pvt. Ltd, (2018) 18 SCC 447 has observed that administrative circular will not operate as a fetter on the Commissioner since it is a quasi-judicial authority. It need to clarify that it will be open to the authorities, on the facts of individual cases, to grant deposit orders of a lesser amount than 20%, pending appeal. In this case, petitioner has filed an appeal before the Appellate Authority challenging the assessment order. He has also filed an application, allegedly before the Assessing Officer for stay of realising the assessed amount but the Assessment Officer directed him to deposit 20% of the disputed amount. 20% of the disputed amount comes to Rs. 45 Lakh and out of Rs. 45 Lakh, he has already deposited Rs. 18 Lakh. In that view of the matter, writ petition is disposed of by giving liberty to the petitioner file a fresh appropriate application before the Assessing Officer for grant of stay within two weeks from today and on such an event, after giving reasonable opportunity of hearing to the petitioner as well as counsel for the revenue, the Assessing Officer shall make an order in terms of Section 220 (6) of the Income Tax Act, 1961, keeping in mind the observations made by Hon’ble Supreme Court in the case of LG Electronic (supra) within next 21 days. Writ petition stands disposed of. (Sanjaya Kumar Mishra, J.) 10.01.2023 (Grant urgent certified copy of this order, as per Rules) SKS