Allowing the petition the Court held that ; the total tax demand was quite high. Even 15 per cent. of the disputed tax dues would run into several crores of rupees. Considering such facts and circumstances, the requirement of depositing the disputed tax dues was to be reduced to 7.5 per cent. in order to enable the assessee to enjoy stay of pending appeals before the Commissioner. This would however be on a further condition that he should offer immovable security for the remaining 7.5 per cent. to the satisfaction of the assessing authority. The order passed by the Principal Commissioner was to be modified accordingly. Both these conditions should be satisfied by April 30, 2018. ( AY.2011-12, 2013-14, 2014-15)
Ashokbhai Jagubhai Kheni v. DCIT (2018) 405 ITR 179 / 258 Taxman 275 (Guj) (HC)
S. 226 : Collection and recovery – Stay- Pendency of appeal- Circular by Central Board Of Direct Taxes that 15 Per Cent. of disputed demand to be deposited for stay — Permits decrease or even increase in percentage of disputed tax demand to be deposited — Requirement reduced to 7.5 Per Cent. On Further condition of security for remaining tax in dispute .