The Assessing Officer has raised the huge demand and directed to deposit 20 per cent of tax in dispute, relying on CBDT instruction dated July 31, 2017 ([2017] 396 ITR (St). On writ the Court held that the requirement to deposit 20 per cent. of the demand is not cast in stone. It can be scaled down in a given set of facts. Relied on PCIT v. LG Electronics Pvt Ltd (2018) 18 SCC 447/ 12 ITR-OL 334 (SC). Directed to carry out the de novo exercise. (AY.2021-22)
Amtek Transportation Systems Ltd. v ACIT (2023)456 ITR 4 / 156 taxmann.com 35 (Delhi)(HC)
S. 220 : Collection and recovery-Assessee deemed in default-Stay-Pendency of appeal Recovery Of Tax-Condition of deposit of 20 per.cent of outstanding demand is not mandatory. [S.220(6), Art. 226]