TMI Blog2012 (12) TMI 372X X X X Extracts X X X X X X X X Extracts X X X X ..... nal such changed circumstances - when there is nothing to suggest that delay in disposal of appeal is attributable to the assessee, we extend the period of stay of demand until 31st March, 2012 or until disposal of appeal, whichever earlier - assessee shall not seek adjournment on the date of hearing of the appeal, now fixed for 8.11.2012 and in case of breach of this condition, the stay granted shall be vacated forthwith unless directed otherwise by the Bench. Decided in the case of Hon'ble Bombay High Court in CIT vs.Ronuk Industries Ltd [2010 (11) TMI 461 - BOMBAY HIGH COURT] followed. - Stay Application No.239/D/2012 (in ITA No.5042/Del/2011) - - - Dated:- 19-10-2012 - Rajpal Yadav and A.N. Pahuja, JJ. Appellants Rep b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ve caused substantial change in facts or relevant consideration. 2.1 Subsequently vide their order dated 01.05.2012 in stay application no.105/Del./2012, the period of stay was extended for a further period of six months or until the disposal of appeal, whichever is earlier. This period of stay is expiring on 30th October, 2012. It is further mentioned in the aforesaid application that hearing of appeal scheduled for 5th July, 2012, 23rd August, 2012 4th October, 2012 were adjourned on the written request on behalf of the Revenue. Since the circumstances which prevailed when the stay was initially granted and subsequently extended remained the same, the assessee sought further extension of period of stay of demand. 3. The ld. AR on be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stances,, Special Bench of the Tribunal, Mumbai in the case of Tata Communication Limited vs. ACIT, 130 ITD 19, following the decision of Hon'ble Bombay High Court in the case of CIT vs.Ronuk Industries Ltd., 333 ITR 99 (Bom) held that where delay in disposal of appeal is not attributable to assessee, the Tribunal has power to extend stay of demand beyond the period of 365 days even after insertion of third proviso to Section 254 (2A) of the Act w.e.f. 1.10.2008. However, in a subsequent decision dated 5.7.2012, relied upon by the ld. DR Hon'ble Karnataka High Court in M/s Ecom Gill Coffee Trading Pvt. Ltd. (supra) held that Tribunal did not have power to grant stay beyond a period of 365 days. Thus, Hon'ble Bombay High Court and Hon'ble Ka ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hority also to stay the proceedings, in order to avoid causing further mischief or injustice, during the pendency of the appeal. Here it is worthwhile to reproduce the following observations of the Hon'ble Apex Court:- "The argument advanced on behalf of the appellant before us that, in the absence of any express provisions in Sections 254 and 255 of the Act relating to stay of recovery during the pendency of an appeal, it must be field that no such power can be exercised by the Tribunal, suffers from a fundamental infirmity inasmuch as it assumes and proceeds on the premise that the statute confers such a power on the Income-tax Officer who can give the necessary relief to an assesses. The right of appeal is a substantive right and t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at the third proviso to Section 254 (2A) of the Act w.e.f. 1.10.2008, does not wean away or curtail the inherent power of Tribunal to grant stay in appropriate cases. In Centre for Women's Development Studies v. Deputy Director of Income Tax 78 TTJ (Del.) 740, a co-ordinate Bench held in the context of extant provisions of sec, 254(2A) of the Act as under:- "On a careful perusal of the relevant new provisions in the law and aforesaid judicial pronouncements, we are of the considered opinion that Sub-section (2A) was inserted in Section 254 to curtail the delays and ensure the disposal of the pending appeals within a reasonable time frame. There is no intention of the Legislature to curtain or withdraw the powers of the Tribunal for gr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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