ITAT Grants further Stay to Infosys against Income Tax Demand of Rs.1564 Cr

Infosys Ltd. Vs DCIT (ITAT Bangalore)

This stay petition is filed by the assessee seeking extension of stay granted by the Tribunal in SP No.83/Bang/2021 dated 29.10.2021 against the outstanding demand of Rs.1029,20,96,950 for the assessment year 2012-13.

2. The ld. AR submitted that the extension of stay was earlier granted by the Tribunal in this case vide order dated 29.10.2021 for a period of six months. Consequently the appeals were listed for hearing before the Tribunal on various occasions from 26.3.2018 to 13.04.2022 and was either adjourned by the Bench or adjourned at the instance of the Department and therefore the delay in non-disposal of the appeal is not attributable to the assessee. The facts and circumstances for extending the stay in the last occasion on 29.10.2021 remains the same. Out of the total demand of RS. 1564,20,96,950, the assessee has already paid a sum of Rs.535 crores which amounts to 34.20% of the total demand. It was accordingly prayed that extension of stay in these cases may be granted.

3. We have heard both the parties and perused the material on record. We find that the appeals were listed for hearing and adjourned. The delay for non-disposal of the appeals is not attributable to the assessee. There is no change in the facts and circumstances from the earlier order of the Tribunal extending the stay by order dated 25.10.2021. Considering the overall facts and circumstances of the case and following the decision rendered by Hon’ble Delhi High Court in the case of Pepsi Foods Pvt. Ltd. 376 ITR 87 (Delhi) which was confirmed by the Hon’ble Supreme Court in [2021] 126 com 69 (SC) and the decision rendered by the coordinate bench in the case of SAP Labs (I) Pvt. Ltd. 67 Taxmann.com 78, we grant extension of stay for a period of six months from the date of this order, or till the disposal of the appeal, whichever is earlier. The assessee shall not seek adjournment and cooperate in the hearing of the appeal.

4. In the result, the stay petition is allowed as above.

Pronounced in the open court on the date mentioned on the caption page.