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2020 (1) TMI 1138 - HC - Income TaxStay petition against recovery proceedings - Whether ‘Prima facie case’ requires positive evidence of certainty of victory? - claim of deduction of Agency Commission towards third party disallowed - Whether the Hon’ble Tribunal erred in holding that decision of the Co-ordinate Benches of Hon’ble ITAT, holding the arms-length value under the Agency Agreement to be valid, is not a prima facie case for the grant of stay against recovery proceedings? - HELD THAT:- The amount demanded, even as per the appellant is ₹ 1,98,90,582/- in the narration of facts at Paragraph No.11. He has already paid a sum of ₹ 75 lakhs. The issue with regard to the claim for deduction of Agency Commission has to be decided only by the Tribunal. Pending disposal, what has to be seen is whether prima facie case has been made out by the appellant or not. In the view of the Tribunal, prima facie case is not made out. However, taking into consideration of the previous history and the fact that the appellant has already paid a sum of ₹ 75 lakhs, this Court is of the opinion that the interest of justice would be subserved by directing the appellant to pay a further sum of ₹ 25 lakhs. Hence, the appellant is hereby directed to pay a sum of ₹ 25 Lakhs within a period of four weeks from the date of receipt of the copy of this order. On such payment, there shall be an order of stay till the disposal of the appeal.
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