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Facts
The assessees challenged final orders of the Assessing Officer, which were passed following directions of the DRP. The primary contention revolved around a moratorium imposed on the assessee companies (Unitech Limited and its subsidiaries) by the Hon'ble Supreme Court in Civil Appeal No.10856/2016, through a judgment dated 21.01.2020.
Held
The Tribunal held that, in light of the Supreme Court's moratorium order prohibiting the institution of proceedings and enforcement of orders against the companies, the present appeals were not maintainable. Consequently, the appeals were dismissed in-limine, with liberty granted to both the assessees and the department to seek their restoration if the moratorium is lifted or circumstances change.
Key Issues
Whether appeals against the Assessing Officer's orders are maintainable before the Income Tax Appellate Tribunal, given the Hon'ble Supreme Court's imposition of a moratorium on the assessee companies, prohibiting all legal proceedings and enforcement of orders.
Sections Cited
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ORDER PER BENCH In the above appeals the Assessees have challenged final orders of the Assessing Officer dated 27.10.2017, 31.10.2017 and order dated 30.10.2019 respectively which were passed consequent to directions of the DRP.
The Learned Counsels for the Assessees submitted that the Hon’ble Supreme Court in Civil Appeal No.10856/2016 and connected matters, vide Judgment dated 21.01.2020, ordered for moratorium on the Assessee company, therefore submitted that suitable order may be passed considering the judgment of the Supreme Court(Supra).
Per Contra Learned DR submitted that the appeals of the Assessees would be maintainable if the moratorium imposed by the Supreme Court are lifted. Thus, submitted that a liberty may be reserved to contest the matter on merits in case of lifting of the moratorium by the Supreme Court.
We have considered the submissions made by both the parties and also gone through the order of the Supreme Court in Civil Appeal No. 10856/2016 dated 21.01.2020. Hon’ble Supreme Court, while ordering for the moratorium on the Assessees at page-35 para(vii) held as under:
7/ Del/2018 & 9004/Del/2019 “(viii) Pending further orders of this Court, there shall be a moratorium against the institution of proceedings against Unitech Limited and its subsidiaries. The moratorium shall also extend to existing proceedings against the company as well as the enforcement of orders that may have been passed against the company.”
The Hon’ble Supreme Court vide order dated 21.01.2020 ordered for moratorium period on the Assessees companies, thus consequent to the said Judgment of the Hon’ble Supreme Court the present appeals filed by the Assessees are not maintainable and liable to be dismissed. Accordingly, we dismiss the appeals filed by the Assessees with the liberty to Assessees/department to seek for restoration of the above Appeals on lifting of the moratorium period ordered by the Hon’ble Supreme Court or any other change of circumstances.