Kerala State Beverages (Manufacturing & Marketing) Corporation Ltd. v. ACIT (2018) 256 Taxman 88/ 166 DTR 313/ 305 CTR 666 (Ker)( HC)

S. 225 : Collection and recovery – Stay of proceedings- Disallowance of expenditure has to be determined having regard to object of provision and not on the basis of whether anybody else is also being levied same fee or charge- Directed to pay 20% of tax in dispute with in six weeks from the order . [ S.40(a)(iib) ]

Dismissing the petition, to stay the entire demand when the first appeal is pending before the CIT (A)  the Court observed that ,disallowance of expenditure has to be  determined having regard to object of provision and not on the basis of whether anybody else is also being levied same fee or charge. Directed to pay 20% of tax in dispute with in six weeks form the order .