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2022 (2) TMI 1395 - HC - Income TaxStay of demand - condition imposed that unless the petitioner/assessee makes a payment of 20% of the demand, the petitioner/assessee is not entitled for stay - HELD THAT:- The judgment of the Hon'ble Supreme Court LG Electronics India Private Limited 2018 (7) TMI 1905 - SC ORDER] has been relied upon by the learned Judge in the said order in Queen Agencies case [2021 (4) TMI 609 - MADRAS HIGH COURT] as stated that definite 20% need not be imposed in each and every case, even a lesser percentage can be imposed while passing an order under Section 220(6) of the Act. If we take the said proposition this Court feels that, if at all the petitioner is having any grievance, that may be only to a limited extent to state that, 20% as has been sought for through the impugned order may be reduced to a lesser one. If it is a lesser one, we cannot once again remand the matter back to the respondent i.e., the assessing authority to use his discretion to fix a lesser percentage of the demanded amount to be paid by the petitioner/assessee. In this context, since the demand under the assessment which is in question before the appellate authority is Rs. 12,86,72,780/-, which is comparatively a huge sum, instead of 20% demand by citing the Department Instruction No.1914 dated 29.02.2016, the assessing authority could have passed an order by making a demand of some lesser percentage. Considering all this Court feels that, instead of remanding the matter back to the respondent for re-consideration, a direction can be given to the petitioner/assessee to make a payment of at least 15% of the demand and on that condition, the petitioner would be entitled to get a stay of the assessment order which is under appeal before the appellate authority. If such a direction is given as an interim arrangement, this Court feels that, the ends of justice would be met. Thus dispose of this writ petition with the following order. a. That the impugned order is modified to the effect that, instead of 20%, the petitioner/assessee shall pay 15% of the demand within a period of four weeks from the date of receipt of a copy of this order. b. On this condition, there shall be an order of stay of the assessment order till the disposal of the appeal filed before the second respondent. c. It is made clear that, within four weeks time if the payment of 15% of the demand as directed above has not been paid or complied with by the petitioner/assessee, the order of stay shall stand automatically vacated without any further reference to this Court.
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