9911796707
TMI Blog2019 (3) TMI 290X X X X Extracts X X X X X X X X Extracts X X X X ..... e business of development of Real Estate. In respect of assessment year 2016-2017, the petitioner filed a return of income and thereafter, revised return of income claiming deduction under Section 40(a)(i a) of the Income Tax Act, 1961 (in short the 'Act'). The return was taken up for detailed scrutiny and after exchange of notices and explanations, the assessment was completed by order dated 28.12.2018, passed under Section 143(3) of Income Tax Act, 1961 by the 2nd respondent. The assessment raises a demand of Rs. 1,63,37,841/- towards tax Rs. 19,60,541/- towards surcharge; Rs. 5,48,951/- towards Cess; Rs. 58,46,907/- towards interest on the default in payment of advance payment under section 234B and Rs. 32,895/- towards interest ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o the attachment. In any event, the provision is itself liable to be invoked only in a case where the department is able to establish that the assessee will thwart the collection of the demand. In the present case, there is absolutely no material available with the department to indicate or to lead them to such a conclusion. In such circumstances, the impugned order of attachment is contrary to law and liable to be reversed immediately. He relies, in this connection, on a decision of the Division Bench of the Bombay High Court in the case of Gandhi Trading Vs. Assistant Commissioner of Income Tax and others ((1999) 239 ITR 337). 5. The Revenue has filed a brief counter affidavit dated 19.01.2019 to the effect that the Writ Petition is misc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... order of assessment, on the same day. I let that rest, at that. 9. In the present case, the demand raised pursuant to the order of assessment dated 28.12.2018 is challenged in appeal before the Commissioner of income tax (Appeals) vide appeal filed on 25.01.2019. The petitioner has also filed a letter on 25.01.2019 before the assessing officer the contents of which are as follows: 'With reference to the above, we hereby request for a stay on payment of taxes demanded vide assessment order u/s 143(3) dated 28/12/2018 for the above assessment year and for the provisional attachment order as referred to above. 1. We bring to you notice and place on record that due to the provisional attachment u/s 281B our business has come to a stand ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the petitioner before the Commissioner of Income tax (Appeals). 11. As per the Schedule, the impugned provisional attachment covers the property situated at No.1, City Link Road, Adambakkam, Chennai, under the name and style of 'Shantiniketan Altair' comprising 414 apartments. 362 apartments have been sold and 52 remained unsold. As against the number of apartments remaining unsold, the petitioner has, as on date, confirmed the sales of nine (9) apartments that are pending registration. According to the learned counsel for the Petitioner, the value of the nine apartments as aforesaid is approximately Rs. 1.2 crores in total. Each apartment thus is valued at a sum of approximately, Rs. 13.5 lakhs. Mr.Narayanaswamy does not dispute this valu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... contentions raised by the parties, the following directions are issued: (i) The petitioner will deposit a sum of Rs. 50,00,000/- (Rupees fifty lakhs only) to the department. (ii) Upon receipt of the sum of Rs. 50,00,000/- as above, the Department will restrict the present attachment under section 281 B to the flats in S.Nos.1 to 20 of the tabulation set out in paragraph 12 above along with the undivided share of land in relation thereto. 14.Upon satisfaction of the above conditions, there shall be no further proceedings for recovery undertaken by the income tax department till the disposal of the petitioners' first appeal. 15.The Writ Petition is disposed of in the above terms. No costs. Consequently, connected Miscellaneous Petition ..... X X X X Extracts X X X X X X X X Extracts X X X X
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