M/S. QUESS CORP LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME-TAX, CENTRAL CIRCLE-2(1), BENGALURU

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ITTPA 942/BANG/2023Status: FixedITAT Bangalore06 July 2026AY 2019-202 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal decided to extend the stay on the outstanding demand for a further period of 180 days or until the disposal of the appeal, whichever is earlier. The reasoning provided is that there has been no change in the facts and circumstances since the original stay order was granted. The Tribunal emphasized that the appeal must be taken up for hearing on the appointed date (06.07.2026) and that neither party should seek any adjournment, as this is the fourth extension of the original stay. The stay petition is accordingly allowed. The Tribunal did not expressly leave any issue undecided.

What were the facts?

The Assessee, Quess Corp Limited, filed a stay petition (SA No. 87/BANG/2026) for Assessment Year 2019-20, seeking an extension of the stay on an outstanding demand of Rs 112,98,12,504/-. An initial stay was granted in SA No. 5/Bang/2024 on 02.02.2024, conditional on the Assessee paying 20% of the demand. Subsequent extensions were granted on 09.08.2024, 09.06.2025, and 12.12.2025. The Assessee's appeal has been listed for hearing multiple times, with the Revenue reportedly seeking adjournments on each occasion. The Assessee's appeal is scheduled for hearing on 06.07.2026.

What were the issues?

1. Whether the stay on the outstanding demand of Rs 112,98,12,504/- for AY 2019-20 should be extended, considering the procedural history and the Assessee's compliance with the initial conditions. Assessee's Contention: The Assessee argued that the delay in the disposal of the appeal is not attributable to them, as the Revenue has sought adjournments on multiple occasions when the appeal was listed for hearing. The appeal is now fixed for hearing on 06.07.2026. Revenue's Contention: The judgment records that the learned DR (Revenue) was heard, but does not specify the Revenue's arguments regarding the stay extension.

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, BANGALORE BENCHES, BANGALORE

Before: SHRI PRASHANT MAHARISHI & SHRI KESHAV DUBEY

आदेश / ORDER

PER SHRI PRASHANT MAHARISHI, VICE PRESIDENT:

1.

The Assessee has filed SP No.87/BANG/2026 in IT(TP)A No.942/Bang/2023 for AY 2019-20, seeking extension of the stay on the outstanding demand of Rs 112,98,12,504/- . The original stay was granted in SA No.5/Bang/2024 by order dated 02.02.2024, subject to payment of 20% of the outstanding demand. The stay was thereafter extended by order dated 09.08.2024 in SA No.45/Bang/2024, and further extensions were granted on 09.06.2025 and 12.12.2025. It is submitted that the Assessee’s appeal has been listed

SA 87/BANG/2026 QUESS CORP LIMITED

for hearing more than ten times, but on each occasion the Revenue sought an adjournment; therefore, the delay in disposal of the appeal is not attributable to the Assessee. The learned AR, Smt. Tanmayee Rajkumar, Advocate, submitted that the appeal is now fixed for hearing on 06.07.2026.

2.

Having heard the learned AR and the learned DR, as no change in the facts and circumstances since original stay order, the stay is extended for a further period of 180 days or until disposal of the appeal, whichever is earlier. It is made clear that the appeal shall be taken up for hearing on the appointed date, and the parties shall not seek any adjournment, as this is the fourth extension of the original stay granted.

3.

Accordingly, the stay petition is allowed.

Order pronounced in the open court on 06th July, 2026.

Sd/- Sd/- KESHAV DUBEY PRASHANT MAHARISHI JUDICIAL MEMBER VICE PRESIDENT Bangalore Dated: the 06th July, 2026. / Desai S Murthy / Copy to:

1 QUESS CORP LTD., 3/3/2, QUESS HOUSE, SARJAPURA AMBALIPURA ROAD, BELLANDUR GATE, BANGALORE. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 2(1), 2 BENGALURU. 3 THE PCIT / CIT, 4 THE CIT(APPEALS) 5 THE D.R., ITAT, BANGALORE BENCH

BY ORDER

ASSISTANT REGISTRAR / SR. PRIVATE SECRETARY I.T.A.T., BANGALORE

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