TMI Blog2012 (4) TMI 171X X X X Extracts X X X X X X X X Extracts X X X X ..... considered objectively. In present case, assessee continues to have a registration u/s 12A, which has not been revoked. Further, assessee has highlighted the nature of its activities in support of the plea for stay and also explained its financial position. In our view, First Petitioner does have serious issues to be urged before the CIT (Appeals) in appeal. This is a case where complete stay of demand ought to have been granted – Therefore, complete stay of demand granted – Decided in favor of assessee. - WRIT PETITION NO.684 OF 2012 - - - Dated:- 26-3-2012 - DR. D.Y.CHANDRACHUD M.S.SANKLECHA, JJ. Mr.Soli E. Dastur, Senior Advocate with Mr.Madhur Agrawal i/by M/s Federal Rashmikant, for the Petitioners. Mr.Vimal Gupta, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Year 200809. For Assessment Year 200910, the First Petitioner filed its return of income declaring a NIL total income. The assessment for Assessment Year 200910 had to be completed by 31 December 2011. On Friday, 23 December 2011, the First Petitioner received a notice from the Assessing Officer to show cause as to why an exemption under Section 11 should not be denied on the ground that receipt of donations by the First Petitioner amounted to a commercial activity. The First Petitioner submitted its reply on 26 December 2011. The Assessing Officer passed an order under Section 143(3) on 30 December 2011 by which the total income of the First Petitioner was computed at Rs.3.51 Crores. The Assessing Officer held that the donations received b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fore 26 March 2012, while the balance was stayed until 31 July 2012 or till the disposal of the appeal, whichever is earlier. 4 The parameters for the grant of a stay of demand have been laid down in the judgment of a Division Bench of this Court in KEC International Ltd. v/s B.R.Balakrishnan [2001] 251 ITR 158 (Bom). Recently, this Court had occasion to deal with the issue in a judgment delivered in the case of UTI Mutual Fund v/s Income Tax Officer WP(L) No.606/2012 decided on 14 March 2012. 5 In the present case, as in several cases which have come up before this Court and particularly in the month of March, it is evident that the Assessing Officer and the Director of Income Tax have both had scant regard to the parameters which have ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of Section 11(1). The appeal filed by the First Petitioner is pending before the Commissioner of Income Tax (Appeals). It is evident that the First Petitioner has continuously received the benefit of exemption upto Assessment Year 200809, a position which is now sought to be altered for the first time in Assessment Year 200910. Every Assessment Year constitutes a unit in itself and the principles of resjudicata do not strictly apply. Equally, it has been held by the Supreme Court that when a fundamental basis permeates through the case of the Assessee, that would certainly be a relevant matter which has to be borne in mind by the Assessing Officer. 8 Having heard the learned counsel appearing for the parties, we are of the view that the F ..... X X X X Extracts X X X X X X X X Extracts X X X X
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