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2019 (5) TMI 859 - HC - Income TaxRejection of stay of demand - application of comparables in transfer pricing - HELD THAT:- Out of seven companies which are taken as comparables, some of them stood excluded by the Tribunal in respect of the previous year and some of them were excluded by the DRP itself. This aspect has not been taken into account by the Tribunal. Therefore, we are of the view that this case would not fall under the category of a case where the application for stay deserved to be rejected outright. Outright rejection of the application for stay is not proper, we may in normal circumstances remand the matter back to the Tribunal for a fresh consideration of the application for stay. But, the same would motivate the Tribunal only to take up the application for stay first, leading to another round of litigation. Instead of having one more round of litigation at the stage of stay application, we think it better to put the petitioner on terms for the grant of stay. The total liability fixed under the order of assessment i.e., pending appeal before the Tribunal is ₹ 39,92,21,960/-. It is seen that there are also interest components under Section 234B and 234C. Writ Petition is disposed of directing the petitioner to pay a sum of ₹ 4,00,00,000/- (Rupees Four Crores) within a period of four weeks from the date of receipt of a copy of this order. Upon such payment is made, there will be an interim stay of collection of the balance of tax. However, the Tribunal shall endeavour to expedite the hearing of the appeal.
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