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Judgment
Honourable Mr. Justice M. Jaichandren
This writ petition has been filed praying that this Court may be pleased to issue a Writ of Certiorarified Mandamus to call for and quash the impugned order of the fifth respondent and to direct the fifth respondent to grant stay of the collection of tax and the interest thereon, for the assessment year 2004-05, till the disposal of the appeal preferred before the third respondent.
The main contention of the learned counsel appearing on behalf of the petitioner is that the impugned order of the fifth respondent, dated 7.2.2012, directing the petitioner to pay 50% of the tax demand, while granting the order of stay, is arbitrary and illegal. He had also stated that the fifth respondent had erred in disallowing a sum of Rs. 232,64,49,342/- out of the additional vend fee special privilege fee payable for the relevant previous year, under the Tamilnadu Indian made Foreign Spirit (Supply by Wholesale) Rules, 1983. It had also been submitted that the first respondent had erred in holding that the Special Privilege Fee rates, enhanced at the end of the financial year, is not an allowable deduction, which is claimed in the P&L Account on mercantile system. Various other grounds have also been raised on behalf of the petitioner.
The learned counsel appearing on behalf of the respondents had submitted that this Court may pass an appropriate order, protecting the interest of the respondents, keeping in view the fact that the matter involves substantial public revenue.
In view of the submissions made by the learned counsels appearing on behalf of the petitioner, as well as the respondents, this Court finds it appropriate to direct the petitioner to pay a sum of Rs. 21,61,85,162.50/-, in respect of the tax demand of Rs. 86,47,40,650/-, as per the impugned order of the fifth respondent, dated 7.2.2012, made u/s 220(6) of the Income Tax, 1961, within eight weeks from the date of receipt of a copy of this order. On payment of the said sum before the fifth respondent, the third respondent shall consider the appeal and dispose of the same, on merits and in accordance with law, within a period of twelve weeks, thereafter.
Accordingly, the writ petition is disposed of, with the above directions. No costs. Consequently, connected miscellaneous petition is closed.