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2012 (4) TMI 191 - HC - Income TaxException granted in proviso of Section 220(1) – period of less than 30 days granted for deposit of demand of Rs 36.56 crores – assessee contended no detriment to the interests of the Revenue since ACIT has already levied a provisional attachment u/s 281B on assesse’s investment in mutual funds of Rs 36.54 crores – Held that:- Proviso to Section 220(1) which empowers the AO to demand payment within a period lesser than 30 days with the prior approval of the JCIT cannot be exercised casually and without due application of mind. In present case, since Revenue is adequately protected by the attachment levied u/s 281B, there would have been no basis for forming a reason to believe that if the period of 30 days was to be observed u/s 220(1), that would be detrimental to the Revenue. The detriment to the Revenue must be akin to a situation where the demand of the Revenue is liable to be defeated by an abuse of process by the Assessee. Therefore, order of A.O. was not justified and was contrary to law. Petition is disposed off by directing continuation of provisional attachment u/s 281 B until disposal of appeal before CIT(Appeals). No coercive steps will be taken for recovery of demand pending the appeal – Decided in favor of assessee
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