1 S.A. No.13 to 18/Coch/2013 IN INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH, COCHIN Before Shri N.R.S. Ganesan (JM) and Shri B.R. Baskaran(AM) S.A.Nos 13 to 18/Coch/2013 (Arising out of I.T.A Nos. 331 to 335 & 337/Coch/2012) (Assessment years 2003-04 to 2007-08 & 2009-10) Rajan Jewellery vs Dy.CIT, Cent.Cir Kacherithazham Muvattupuzha Muvattupuzha PAN : AABFR9475P (Applicant) (Respondent) Applicant by : Shri K.I. John Respondent by : Smt. Susan George Verghese Date of hearing : 01-03-2013 Date of pronouncement : 01-03-2013 ORDER Per N.R.S. Ganesan (JM) All stay applications of taxpayer relate to assessment years 2005-06 to 2007-08 & 2009-10. 2. Shri K.I. John, ld.representative for taxpayer submitted that assessing officer rejected books of account without any valid 2 S.A. No.13 to 18/Coch/2013 reasons. Unless and until assessing officer pointed out any defect in books of account, rejection of books of account may not be justified. Therefore, there is no question of estimation of any profit. According to ld.representative, taxpayer has prima facie case for grant of stay. ld.representative for taxpayer further submitted that taxpayer is ready to pay 15% of outstanding demand. We heard, Smt. Susan George Verghese, ld.departmental representative also. ld.DR submitted that there is no prima facie case for grant of stay. 3. We have considered rival submissions on either side and also perused material available on record. assessing officer found that taxpayer was not keeping any books of account from 01-04-2008 to 09- 02-2008 and taxpayer was recording approximately 10% of actual sales. Accordingly, turnover was estimated for assessment year 2002-03 at 10 times. assessing officer made entire turnover as profit. On declared turnover assessing officer has estimated profit at 20%. fact remains is that profit was estimated by assessing officer. In those circumstances, this Tribunal is of considered opinion that there is prima facie case for grant of stay. Though 3 S.A. No.13 to 18/Coch/2013 taxpayer is ready to pay 15% of outstanding demand, this Tribunal is of considered opinion that payment of Rs.20 lakhs towards oustanding demand for all years under consideration would meet ends of justice. Accordingly, recovery of outstanding demand for all assessment years under consideration is hereby stayed subject to condition of payment of Rs.20 lakhs on or before 11-03-2013. It is made clear that if taxpayer fails to deposit Rs.20 lakhs on or before 11-03- 2013, stay granted shall stand automatically vacated without any further reference to this Tribunal. 4. appeals are already posted for hearing on 12-03-2013. Both parties shall not seek adjournment without any reasonable cause. 5. With above observations, all stay applications stand allowed. Order pronounced in open court at time of hearing on this 01st day of March, 2013. Sd/- sd/- (B.R. Baskaran) (N.R.S. Ganesan) ACCOUNTANT MEMBER JUDICIAL MEMBER Cochin, Dt : 01st March, 2013 pk/- 4 S.A. No.13 to 18/Coch/2013 copy to: 1. applicant 2. respondent 3. Commissioner of Income-tax 4. Commissioner of Income-tax(A) 5. DR (True copy) By order Asstt. Registrar, Income-tax Appellate Tribunal, Cochin Bench 5 S.A. No.13 to 18/Coch/2013 1. Date of dictation : 01-03 2. Date of placing draft order before Member : 01-03 3. Date on which approved draft comes to Sr.PS : 4. Date on which fair order is placed before dictating member: 5. Date of return of order to PS after approval : 6. Date of pronouncement : 7. Date on which file along with order sent to BC: 8. No. of pages of dictation pads attached to file : 04 9. No. of pages of draft copy of order attached to file : M/s.Rajan Jewellery v. DCIT