The Income Tax Appellate Tribunal (ITAT), Bangalore Bench allowed the further extension of stay of collection of outstanding tax demand to the tune of Rs.1260.56 Crores against Google India for a period of 6 months.
Originally the stay was granted by the Tribunal for a period of six months. As per the original stay order of the Tribunal, the assessee was directed to pay Rs.15 crore towards the outstanding tax demand within a period of one month from the date of receipt of the order.
The assessee, Google India had complied with the conditions mentioned by the Tribunal for the grant of stay. Later, the stay against recovery of outstanding tax arrears was extended.
The assessee submitted that appeal of the applicant was adjourned to January 5, 2021, and further to February 9, 2021, at the behest of the Bench to await the outcome of appeals pending before the Hon’ble High Court of Karnataka in the Applicant’s own case for the preceding years, involving identical issues.
The assessee urged that the non-disposal of appeal is not due to the fault of the assessee and accordingly prayed for an extension of the stay.
The Coram consists of George George K. and B.R. Baskaran extended the stay of collection of outstanding demand for a period of 6 months from the date of the order or till the date of disposal of the appeal, whichever period expires earlier. The ITAT while allowing the stay petition ordered that the assessee shall not seek adjournment on the date of hearing without reasonable cause failing which the present stay order shall be subjected to review by the division bench hearing the appeal.
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