ORDER
Per B.R.Mittal, JM:
The assessee has filed this stay application for assessment year 2006-07 praying to stay the proceedings being initiated by the AO pursuant to the order of ld CIT-1, Chandigarh passed u/s.263 of the Act on 30.3.2012.
2. At the time of hearing, ld A.R. submitted that AO made original assessment order u/s.143(3) r.w.s. 144C(13) of the Act dated 5.2.2011. However, ld CIT-1, Chandigarh vide his order dated 30.3.2012 directed the AO to examine the information in terms of documents received from Foreign Tax Department (FTD) and take such further action
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as may be considered appropriate by him in accordance with the provisions of the I.T.Act, 1961. It is relevant to state that said documents relate to issue of rights shares to its existing shareholders. Ld A.R. submitted that assessee has already filed appeal before the Tribunal disputing the validity of order passed u/s.263 of the Act by ld CIT dated 30.3.2012 and the said appeal being I.T.A. No.605/Ch/2012 is pending for disposal. He submitted that pending disposal of the appeal, AO be restrained not to proceed to pass the assessment order. During the course of hearing, it was stated by ld A.R. that the period of limitation available with the AO passing the order giving effect to the order passed by ld CIT u/s.263 of the Act is upto 31.3.2013. In view of above fact that the AO is to complete the assessment order before 31.3.2013, it was indicated to ld A.R. that if the stay is granted restraining the AO to proceed with the assessment order pursuant to order passed by ld CIT u/s.263 of the Act, said assessment will become barred by limitation. Ld A.R. submitted that he may be permitted to withdraw the stay application with the liberty to file another stay application, if necessary. He further submitted that the appeal filed by the assessee before the Tribunal disputing validity of order passed by ld CIT u/s.263 may be taken up hearing on priority and decide the same well before 31.3.2013. Ld D.R. submitted that he has no objection to above submission of ld A.R.
3. Considering above submissions of ld representatives of parties and the fact as stated hereinabove, we accept the prayer of ld A.R. to permit to withdraw the stay application. Further, assessee will be at liberty to file fresh stay application, if so desires. Further, the appeal filed by the assessee being I.T.A. No.605/Ch/2012 disputing the validity of order passed u/s.263 of the Act dt.30.3.2012 be fixed for hearing on 18.2.2013 before 'A' Bench First On Board (FOB). Since the above date was indicated and as agreed to by ld representatives of both parties after conclusion of hearing, it was indicated that no notice will be sent to parties for the above date fixed for. The Registry is directed to fix the appeal on 18.2.2013 filed by assessee against order of ld CIT u/s.263 being I.T.A. No. 605/Ch/2012 before 'A' Bench, FOB. In view of above, stay application filed by assessee is rejected as withdrawn.
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5. In the result, stay application filed by assessee is rejected in terms indicated above.
Pronounced in the open court on 8thFebruary, 2013
Sd/- Sd/-
(RAJENDRA SINGH) (B.R. MITTAL)
Accountant Member Judicial Member Mumbai, Dated 8thFebruary, 2013 Parida
Copy to:
1. The appellant
2. The respondent
3. Commissioner of Income Tax (Appeals) concerned
4. Commissioner of Income Tax, concerned
5. Departmental Representative, Bench 'A' Mumbai
//TRUE COPY// BY ORDER
ASSTT. REGISTRAR, ITAT, MUMBAI
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