LADHABHAI DAMJIBHAI PANARA Vs. PRINCIPAL COMMISSIONER OF INCOME

JUDGEMENT

(1.) The petitioner has challenged an order dated 30.06.2017 passed by the Principal Commissioner of Income Tax, Valsad, under which, the request of the petitioner to limit the requirement of pre-deposit pending petitioner's appeal against the order of assessment to 15% of the demand came to be rejected. The Principal Commissioner reiterated the stand of the department that the petitioner must deposit 50% of the dues in order to enjoy stay against recovery of the rest of the amount.

(2.) Brief facts are as under.

(3.) Petitioner is an individual and is a government contractor carrying out construction activities. For the assessment year 2014-15, the petitioner had filed the return of income on 29.11.2014 declaring total income of Rs. 48,20,010/. The Assessing Officer undertook the scrutiny assessment and passed the order under section 143(3) of the Act on 30.12.2016 determining total income of the petitioner at Rs. 3,38,00,260/. In such order the Assessing Officer made sizable additions. Resultantly, the tax demand of Rs. 1,34,09,720/arose. The petitioner paid 15% thereof i.e. Rs. 20,12,000/on 28.01.2017 and requested for suspension of the rest of the disputed demand pending appeal which the petitioner filed on 31.01.2017.